DNOW (NYSE:DNOW) Lowered to "Hold" Rating by Zacks Research

Key Points

• DNOW has been downgraded by Zacks Research from a "strong-buy" to a "hold" rating, reflecting a cautious outlook from analysts.
• The company has a market capitalization of $1.66 billion and reported quarterly earnings with an EPS of $0.27, exceeding analyst expectations.
• A consensus target price for DNOW is set at $18.00, with several research firms suggesting a hold rating for the stock.

DNOW (NYSE:DNOW - Get Free Report) was downgraded by investment analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a note issued to investors on Monday,Zacks.com reports.

A number of other research analysts also recently issued reports on the company. Weiss Ratings restated a "hold (c+)" rating on shares of DNOW in a research note on Saturday, September 27th. Stifel Nicolaus reduced their price objective on DNOW from $19.00 to $18.00 and set a "buy" rating for the company in a research note on Monday, July 21st. One analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $18.00.

DNOW Trading Down 2.6%

NYSE DNOW opened at $15.50 on Monday. The firm has a market capitalization of $1.66 billion, a P/E ratio of 20.39 and a beta of 1.05. The business has a fifty day simple moving average of $15.35 and a 200 day simple moving average of $15.26. DNOW has a 12 month low of $11.54 and a 12 month high of $18.45.

DNOW (NYSE:DNOW - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The oil and gas company reported $0.27 EPS for the quarter, beating analysts' consensus estimates of $0.22 by $0.05. The business had revenue of $628.00 million during the quarter, compared to analyst estimates of $612.60 million. DNOW had a return on equity of 8.97% and a net margin of 3.45%.DNOW's quarterly revenue was down .8% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.25 EPS. As a group, sell-side analysts predict that DNOW will post 0.86 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Squarepoint Ops LLC purchased a new position in DNOW during the 2nd quarter valued at about $703,000. Caxton Associates LLP purchased a new position in DNOW during the 2nd quarter valued at about $178,000. Public Sector Pension Investment Board grew its holdings in DNOW by 4.7% during the 2nd quarter. Public Sector Pension Investment Board now owns 430,130 shares of the oil and gas company's stock valued at $6,379,000 after buying an additional 19,407 shares in the last quarter. Tower Research Capital LLC TRC grew its holdings in DNOW by 419.1% during the 2nd quarter. Tower Research Capital LLC TRC now owns 12,770 shares of the oil and gas company's stock valued at $189,000 after buying an additional 10,310 shares in the last quarter. Finally, Vident Advisory LLC purchased a new position in DNOW during the 2nd quarter valued at about $439,000. Hedge funds and other institutional investors own 97.63% of the company's stock.

DNOW Company Profile

DNOW Inc distributes downstream energy and industrial products for petroleum refining, chemical processing, LNG terminals, power generation utilities, and customer on-site locations in the United States, Canada, and internationally. The company provides consumable maintenance, repair, and operating supplies; pipes, manual and automated valves, fittings, flanges, gaskets, fasteners, electrical instrumentations, artificial lift, pumping solutions, valve actuation and modular process, and measurement and control equipment; and mill supplies, tools, safety supplies, and personal protective equipment, as well as artificial lift systems, coatings, and miscellaneous expendable items.

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