DNOW INC (DNOW) Fundamental Analysis & Valuation

NYSE:DNOW • US67011P1003

Current stock price

12.12 USD
+0.13 (+1.08%)
At close:
12 USD
-0.12 (-0.99%)
After Hours:

This DNOW fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

2

1. DNOW Profitability Analysis

1.1 Basic Checks

  • DNOW had positive earnings in the past year.
  • In the past year DNOW had a positive cash flow from operations.
  • Of the past 5 years DNOW 4 years were profitable.
  • Of the past 5 years DNOW 4 years had a positive operating cash flow.
DNOW Yearly Net Income VS EBIT VS OCF VS FCFDNOW Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M -200M -400M

1.2 Ratios

  • DNOW's Return On Assets of -2.27% is on the low side compared to the rest of the industry. DNOW is outperformed by 70.83% of its industry peers.
  • With a Return On Equity value of -3.99%, DNOW is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
Industry RankSector Rank
ROA -2.27%
ROE -3.99%
ROIC N/A
ROA(3y)6.21%
ROA(5y)5.75%
ROE(3y)8.72%
ROE(5y)8.41%
ROIC(3y)N/A
ROIC(5y)N/A
DNOW Yearly ROA, ROE, ROICDNOW Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40 -60

1.3 Margins

  • DNOW's Operating Margin has declined in the last couple of years.
  • DNOW has a worse Gross Margin (16.99%) than 79.17% of its industry peers.
  • DNOW's Gross Margin has improved in the last couple of years.
  • The Profit Margin and Operating Margin are not available for DNOW so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 16.99%
OM growth 3Y-33.8%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.83%
GM growth 5Y3.8%
DNOW Yearly Profit, Operating, Gross MarginsDNOW Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 -20

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. DNOW Health Analysis

2.1 Basic Checks

  • DNOW does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • Compared to 1 year ago, DNOW has more shares outstanding
  • The number of shares outstanding for DNOW has been increased compared to 5 years ago.
  • The debt/assets ratio for DNOW is higher compared to a year ago.
DNOW Yearly Shares OutstandingDNOW Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
DNOW Yearly Total Debt VS Total AssetsDNOW Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

2.2 Solvency

  • DNOW has an Altman-Z score of 1.56. This is a bad value and indicates that DNOW is not financially healthy and even has some risk of bankruptcy.
  • DNOW has a Altman-Z score of 1.56. This is in the lower half of the industry: DNOW underperforms 64.58% of its industry peers.
  • DNOW has a debt to FCF ratio of 3.28. This is a good value and a sign of high solvency as DNOW would need 3.28 years to pay back of all of its debts.
  • DNOW's Debt to FCF ratio of 3.28 is fine compared to the rest of the industry. DNOW outperforms 70.83% of its industry peers.
  • DNOW has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.19, DNOW is in the better half of the industry, outperforming 70.83% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.19
Debt/FCF 3.28
Altman-Z 1.56
ROIC/WACCN/A
WACC8.25%
DNOW Yearly LT Debt VS Equity VS FCFDNOW Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B 2B

2.3 Liquidity

  • DNOW has a Current Ratio of 2.34. This indicates that DNOW is financially healthy and has no problem in meeting its short term obligations.
  • With a decent Current ratio value of 2.34, DNOW is doing good in the industry, outperforming 70.83% of the companies in the same industry.
  • A Quick Ratio of 1.11 indicates that DNOW should not have too much problems paying its short term obligations.
  • DNOW has a Quick ratio (1.11) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 2.34
Quick Ratio 1.11
DNOW Yearly Current Assets VS Current LiabilitesDNOW Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. DNOW Growth Analysis

3.1 Past

  • DNOW shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.17%.
  • Measured over the past years, DNOW shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.79% on average per year.
  • DNOW shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.84%.
  • DNOW shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.74% yearly.
EPS 1Y (TTM)-2.17%
EPS 3Y-1.79%
EPS 5YN/A
EPS Q2Q%-40%
Revenue 1Y (TTM)18.84%
Revenue growth 3Y9.7%
Revenue growth 5Y11.74%
Sales Q2Q%67.95%

3.2 Future

  • Based on estimates for the next years, DNOW will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.80% on average per year.
  • DNOW is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.08% yearly.
EPS Next Y-11.6%
EPS Next 2Y9.26%
EPS Next 3Y11.41%
EPS Next 5Y10.8%
Revenue Next Year66.98%
Revenue Next 2Y34.29%
Revenue Next 3Y23.14%
Revenue Next 5Y18.08%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
DNOW Yearly Revenue VS EstimatesDNOW Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 1B 2B 3B 4B 5B
DNOW Yearly EPS VS EstimatesDNOW Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 0 0.5 -0.5 1 -1

More info and screens

Find the best growth stocksShow best growing peers

5

4. DNOW Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 13.47 indicates a correct valuation of DNOW.
  • 91.67% of the companies in the same industry are more expensive than DNOW, based on the Price/Earnings ratio.
  • When comparing the Price/Earnings ratio of DNOW to the average of the S&P500 Index (25.61), we can say DNOW is valued slightly cheaper.
  • Based on the Price/Forward Earnings ratio of 15.23, the valuation of DNOW can be described as correct.
  • Based on the Price/Forward Earnings ratio, DNOW is valued cheaper than 87.50% of the companies in the same industry.
  • DNOW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.79.
Industry RankSector Rank
PE 13.47
Fwd PE 15.23
DNOW Price Earnings VS Forward Price EarningsDNOW Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • 85.42% of the companies in the same industry are more expensive than DNOW, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 16.85
EV/EBITDA N/A
DNOW Per share dataDNOW EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.26%
EPS Next 3Y11.41%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. DNOW Dividend Analysis

5.1 Amount

  • No dividends for DNOW!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

DNOW Fundamentals: All Metrics, Ratios and Statistics

DNOW INC

NYSE:DNOW (3/25/2026, 8:22:10 PM)

After market: 12 -0.12 (-0.99%)

12.12

+0.13 (+1.08%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)02-20
Earnings (Next)05-05
Inst Owners102.02%
Inst Owner Change51.88%
Ins Owners1.6%
Ins Owner Change7.49%
Market Cap2.26B
Revenue(TTM)2.82B
Net Income(TTM)-89.00M
Analysts84.44
Price Target16.66 (37.46%)
Short Float %4.78%
Short Ratio2.73
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.64%
Min EPS beat(2)-1.96%
Max EPS beat(2)9.25%
EPS beat(4)3
Avg EPS beat(4)13.95%
Min EPS beat(4)-1.96%
Max EPS beat(4)24.44%
EPS beat(8)5
Avg EPS beat(8)15.88%
EPS beat(12)7
Avg EPS beat(12)13.2%
EPS beat(16)11
Avg EPS beat(16)18.45%
Revenue beat(2)0
Avg Revenue beat(2)-2.37%
Min Revenue beat(2)-2.44%
Max Revenue beat(2)-2.29%
Revenue beat(4)2
Avg Revenue beat(4)-1.05%
Min Revenue beat(4)-2.44%
Max Revenue beat(4)0.5%
Revenue beat(8)3
Avg Revenue beat(8)-1.43%
Revenue beat(12)5
Avg Revenue beat(12)-1.33%
Revenue beat(16)9
Avg Revenue beat(16)-0.33%
PT rev (1m)-7.55%
PT rev (3m)-3.92%
EPS NQ rev (1m)-39.13%
EPS NQ rev (3m)-33.33%
EPS NY rev (1m)-26.24%
EPS NY rev (3m)-25.71%
Revenue NQ rev (1m)-9.36%
Revenue NQ rev (3m)88.33%
Revenue NY rev (1m)-13.29%
Revenue NY rev (3m)-13.41%
Valuation
Industry RankSector Rank
PE 13.47
Fwd PE 15.23
P/S 0.8
P/FCF 16.85
P/OCF 14.57
P/B 1.01
P/tB 2.15
EV/EBITDA N/A
EPS(TTM)0.9
EY7.43%
EPS(NY)0.8
Fwd EY6.56%
FCF(TTM)0.72
FCFY5.93%
OCF(TTM)0.83
OCFY6.86%
SpS15.13
BVpS11.98
TBVpS5.64
PEG (NY)N/A
PEG (5Y)N/A
Graham Number15.58
Profitability
Industry RankSector Rank
ROA -2.27%
ROE -3.99%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 16.99%
FCFM 4.75%
ROA(3y)6.21%
ROA(5y)5.75%
ROE(3y)8.72%
ROE(5y)8.41%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)8.51%
ROCE(5y)8.74%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-33.8%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.83%
GM growth 5Y3.8%
F-Score4
Asset Turnover0.72
Health
Industry RankSector Rank
Debt/Equity 0.19
Debt/FCF 3.28
Debt/EBITDA N/A
Cap/Depr 40.38%
Cap/Sales 0.74%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 2.34
Quick Ratio 1.11
Altman-Z 1.56
F-Score4
WACC8.25%
ROIC/WACCN/A
Cap/Depr(3y)44.08%
Cap/Depr(5y)40.27%
Cap/Sales(3y)0.62%
Cap/Sales(5y)0.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.17%
EPS 3Y-1.79%
EPS 5YN/A
EPS Q2Q%-40%
EPS Next Y-11.6%
EPS Next 2Y9.26%
EPS Next 3Y11.41%
EPS Next 5Y10.8%
Revenue 1Y (TTM)18.84%
Revenue growth 3Y9.7%
Revenue growth 5Y11.74%
Sales Q2Q%67.95%
Revenue Next Year66.98%
Revenue Next 2Y34.29%
Revenue Next 3Y23.14%
Revenue Next 5Y18.08%
EBIT growth 1Y-150.38%
EBIT growth 3Y-27.38%
EBIT growth 5YN/A
EBIT Next Year132.22%
EBIT Next 3Y46.38%
EBIT Next 5Y35.28%
FCF growth 1Y-53.63%
FCF growth 3YN/A
FCF growth 5Y-5.84%
OCF growth 1Y-47.99%
OCF growth 3YN/A
OCF growth 5Y-3.89%

DNOW INC / DNOW Fundamental Analysis FAQ

What is the fundamental rating for DNOW stock?

ChartMill assigns a fundamental rating of 4 / 10 to DNOW.


What is the valuation status for DNOW stock?

ChartMill assigns a valuation rating of 5 / 10 to DNOW INC (DNOW). This can be considered as Fairly Valued.


What is the profitability of DNOW stock?

DNOW INC (DNOW) has a profitability rating of 2 / 10.


Can you provide the PE and PB ratios for DNOW stock?

The Price/Earnings (PE) ratio for DNOW INC (DNOW) is 13.47 and the Price/Book (PB) ratio is 1.01.