Denali Advisors LLC Sells 204,692 Shares of DNOW Inc. $DNOW

Key Points

• Denali Advisors LLC cut its DNOW stake by 46.2% in the fourth quarter, selling 204,692 shares and leaving it with 238,645 shares valued at about $3.16 million.
• DNOW reported first-quarter revenue of $1.18 billion, topping analyst estimates of $1.08 billion and rising sharply year over year, but earnings came in weak at $0.01 per share versus the $0.05 expected.
• Sentiment around the stock remains mixed: several analysts have lowered ratings or price targets, and the company is facing a securities class action investigation, adding legal and valuation pressure.

Denali Advisors LLC lowered its stake in DNOW Inc. (NYSE:DNOW - Free Report) by 46.2% in the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 238,645 shares of the oil and gas company's stock after selling 204,692 shares during the quarter. Denali Advisors LLC owned approximately 0.23% of DNOW worth $3,162,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also added to or reduced their stakes in the company. Blue Trust Inc. bought a new position in DNOW in the 4th quarter worth about $25,000. EverSource Wealth Advisors LLC boosted its stake in DNOW by 190.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,423 shares of the oil and gas company's stock worth $36,000 after purchasing an additional 1,589 shares during the period. Parkside Financial Bank & Trust boosted its position in shares of DNOW by 2,101.7% during the 3rd quarter. Parkside Financial Bank & Trust now owns 2,620 shares of the oil and gas company's stock valued at $40,000 after acquiring an additional 2,501 shares during the last quarter. Wealth Enhancement Advisory Services LLC bought a new stake in shares of DNOW during the 3rd quarter valued at about $44,000. Finally, SBI Securities Co. Ltd. grew its holdings in shares of DNOW by 17,756.3% during the fourth quarter. SBI Securities Co. Ltd. now owns 2,857 shares of the oil and gas company's stock worth $38,000 after purchasing an additional 2,841 shares in the last quarter. Institutional investors own 97.63% of the company's stock.

DNOW Stock Performance

NYSE:DNOW opened at $13.08 on Friday. The business has a 50 day moving average of $12.11 and a 200 day moving average of $13.48. The company has a market capitalization of $2.43 billion, a price-to-earnings ratio of -17.92 and a beta of 0.85. DNOW Inc. has a 1-year low of $10.94 and a 1-year high of $17.26. The company has a debt-to-equity ratio of 0.18, a current ratio of 2.34 and a quick ratio of 1.11.

DNOW (NYSE:DNOW - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The oil and gas company reported $0.01 EPS for the quarter, missing analysts' consensus estimates of $0.05 by ($0.04). The company had revenue of $1.18 billion during the quarter, compared to analysts' expectations of $1.08 billion. DNOW had a positive return on equity of 5.43% and a negative net margin of 4.14%.DNOW's revenue for the quarter was up 97.5% on a year-over-year basis. During the same period last year, the firm earned $0.22 earnings per share. On average, sell-side analysts predict that DNOW Inc. will post 0.66 earnings per share for the current fiscal year.

Key Stories Impacting DNOW

Here are the key news stories impacting DNOW this week:

• Positive Sentiment: DNOW reported first-quarter revenue of $1.18 billion, which came in above analyst expectations of $1.08 billion and rose sharply year over year, suggesting solid demand and helping support the stock. DNOW Reports First Quarter 2026 Results
• Positive Sentiment: The company also highlighted its first-quarter 2026 results and midstream expansion plans, which may reinforce the longer-term growth story for investors. Assessing DNOW (DNOW) Valuation After Recent Share Price Momentum And Midstream Expansion Plans
• Neutral Sentiment: Several earnings recap articles and the earnings call presentation are drawing attention to the quarter, but they largely repeat the same key takeaways: strong revenue growth, but weaker profitability. DNOW Inc. 2026 Q1 - Results - Earnings Call Presentation
• Neutral Sentiment: Market commentary notes that DNOW beat on revenue but missed earnings estimates, which is a mixed signal for the stock. DNOW’s NYSE: DNOW Q1 CY2026: Beats On Revenue
• Negative Sentiment: DNOW posted earnings of $0.01 per share, below the $0.05 consensus estimate and far under last year’s $0.22, raising concerns about profitability and margin pressure. DNOW (DNOW) Q1 Earnings Lag Estimates
• Negative Sentiment: Rosen Law Firm announced and reiterated a securities class action investigation into whether DNOW may have issued misleading business information, which can add legal overhang and pressure sentiment. ROSEN, LEADING INVESTOR COUNSEL, Encourages DNOW Inc. Investors to Inquire About Securities Class Action Investigation - DNOW

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on DNOW. Zacks Research downgraded shares of DNOW from a "hold" rating to a "strong sell" rating in a research note on Tuesday, March 24th. Stifel Nicolaus dropped their target price on shares of DNOW from $18.00 to $16.00 and set a "buy" rating for the company in a research report on Monday, February 23rd. Wall Street Zen lowered shares of DNOW from a "hold" rating to a "sell" rating in a research report on Saturday. Finally, Weiss Ratings lowered shares of DNOW from a "hold (c)" rating to a "sell (d+)" rating in a research report on Friday, February 27th. Two equities research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the stock. According to MarketBeat, DNOW has an average rating of "Hold" and a consensus target price of $17.00.

DNOW Company Profile

DistributionNOW NYSE: DNOW is a global distributor of energy and industrial products, serving a broad range of end-markets including oil and gas, petrochemical, power generation, and industrial manufacturing. Headquartered in Houston, Texas, the company provides solutions across the life cycle of energy and industrial assets, with an emphasis on safety, reliability and operational efficiency.

The company’s core product portfolio includes piping systems and related components (such as valves, fittings, flanges and gaskets), instrumentation, electrical and automation equipment, fasteners, industrial safety supplies, chemicals and composite products.

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