DNOW Inc. (DNOW) Stock Analysis
Recovery setup
Industrials · Industrial Distribution
Sell if holding. Engine safety override at $13.33: Quality below floor (2.7 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 6.2/10. Specifically: Below-average business quality; Below long-term trend.
DNOW Inc. distributes pipe, valves, fittings, pumps, and fabricated process and production equipment to energy and industrial markets from approximately 300 locations with ~5,300 employees; it acquired MRC Global in November 2025. Revenue comes from sales to upstream, midstream,... Read more
Sell if holding. Engine safety override at $13.33: Quality below floor (2.7 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 6.2/10. Specifically: Below-average business quality; Below long-term trend. Chart setup: Death cross but MACD improving, RSI 75. Score 6.2/10, moderate confidence.
Passes 5/8 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on favorable risk/reward ratio and earnings proximity 5d<=7d. Suitability: aggressive.
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomerenergy industry customers10-K Item 1A: 'The concentration of our customers in the energy industry may impact our overall exposure to credit risk as customers may be similarly affected by prolonged changes in economic and industry conditions'
Material Events(8-K, last 90d)
- 2026-02-27Item 5.02LOWBoard member Rodney Eads notified DNOW on February 25, 2026 of his intention not to stand for reelection at the 2026 annual meeting. No disagreement cited. No successor named; seat expires at end of term.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer
Rating Breakdown
2 floor-breakers·1 ceiling hit
Unprofitable operations — net margin -3.2%. Quality floor flags this regardless of sector context.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $13.33: Quality below floor (2.7 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 6.2/10. Specifically: Below-average business quality; Below long-term trend. Chart setup: Death cross but MACD improving, RSI 75. Prior stop was $12.57. Score 6.2/10, moderate confidence.
Take-profit target: $13.60 (+2.1% upside). Prior stop was $12.57. Stop-loss: $12.57.
Target reached (2.1% upside); Quality below floor (2.7 < 4.0).
DNOW Inc. trades at a P/E of N/A (forward 12.8). TrendMatrix value score: 7.9/10. Verdict: Sell.
9 analysts cover DNOW with a consensus score of 4.2/5. Average price target: $16.
What does DNOW Inc. do?DNOW Inc. distributes pipe, valves, fittings, pumps, and fabricated process and production equipment to energy and...
DNOW Inc. distributes pipe, valves, fittings, pumps, and fabricated process and production equipment to energy and industrial markets from approximately 300 locations with ~5,300 employees; it acquired MRC Global in November 2025. Revenue comes from sales to upstream, midstream, downstream, gas utility, and industrial customers across the U.S., Canada, and internationally.