StockNews.com Downgrades DNOW (NYSE:DNOW) to Hold

StockNews.com downgraded shares of DNOW (NYSE:DNOW) from a buy rating to a hold rating in a research note issued to investors on Wednesday morning.

Separately, Stifel Nicolaus lifted their price target on DNOW from $17.00 to $20.00 and gave the stock a “buy” rating in a research note on Friday, February 14th.

DNOW Stock Performance

Shares of NYSE DNOW opened at $17.46 on Wednesday. The firm has a market capitalization of $1.84 billion, a P/E ratio of 23.91 and a beta of 1.53. DNOW has a one year low of $11.42 and a one year high of $18.45. The company’s fifty day moving average is $14.25 and its two-hundred day moving average is $13.55.

DNOW (NYSE:DNOW) last issued its earnings results on Thursday, February 13th. The oil and gas company reported $0.25 EPS for the quarter, topping the consensus estimate of $0.11 by $0.14. DNOW had a net margin of 3.41% and a return on equity of 9.04%. On average, sell-side analysts forecast that DNOW will post 0.86 earnings per share for the current fiscal year.

DNOW declared that its board has initiated a stock repurchase program on Friday, January 24th that permits the company to buyback $160.00 million in shares. This buyback authorization permits the oil and gas company to reacquire up to 10% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s leadership believes its stock is undervalued.

Insider Transactions at DNOW

In related news, Director Paul M. Coppinger sold 26,186 shares of the business’s stock in a transaction dated Wednesday, November 27th. The shares were sold at an average price of $15.35, for a total value of $401,955.10. Following the completion of the transaction, the director now owns 56,568 shares of the company’s stock, valued at approximately $868,318.80. The trade was a 31.64 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Corporate insiders own 2.60% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in DNOW. Highland Capital Management LLC raised its stake in DNOW by 11.3% in the 3rd quarter. Highland Capital Management LLC now owns 16,417 shares of the oil and gas company’s stock valued at $212,000 after purchasing an additional 1,669 shares during the last quarter. GW Henssler & Associates Ltd. acquired a new position in DNOW in the 3rd quarter valued at about $182,000. Olympiad Research LP increased its stake in shares of DNOW by 32.1% during the 3rd quarter. Olympiad Research LP now owns 22,355 shares of the oil and gas company’s stock valued at $289,000 after acquiring an additional 5,434 shares during the last quarter. Versor Investments LP acquired a new position in shares of DNOW during the 3rd quarter valued at about $463,000. Finally, Victory Capital Management Inc. increased its stake in shares of DNOW by 35.4% during the 3rd quarter. Victory Capital Management Inc. now owns 99,416 shares of the oil and gas company’s stock valued at $1,285,000 after acquiring an additional 26,007 shares during the last quarter. Institutional investors and hedge funds 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.