DNOW Inc. (DNOW) — Stock Score Summary

DNOW Inc. (DNOW) has a MoatMap StockRank of 22/100 based on Quality (32/100), Value (37/100), and Momentum (39/100) factor scores. The current signal is SELL. DNOW is an asset-light distributor of energy and industrial products with a net-cash balance sheet and strong free cash flow generation. As geopolitical risks keep energy prices structurally high and supply chains regionalize, DNOW's localized distribution network becomes highly valuable. It possesses a strong competitive moat through its digital procurement platforms and deep customer relationships, trading at an attractive valuation relative to its owner earnings.

DNOW Inc. is a global distributor of maintenance, repair, and operating (MRO) supplies, production equipment, and supply chain solutions primarily for the energy and industrial sectors. The company leverages an extensive product catalog and a broad distribution network to serve upstream, midstream, and downstream operations worldwide. DNOW's competitive advantage lies in its comprehensive product offering, technical expertise, and efficient supply chain management, making it a critical partner for its diverse customer base.

Key Financial Metrics

Price$13.23
Market Cap$2.4B
P/E (Forward)14.31
Price/Book1.15
Return on Equity-9.4%
Return on Invested Capital-2.7%
Debt/Equity34.39
Gross Margin20.8%
Operating Margin-0.3%
Revenue Growth97.5%
Free Cash Flow$-723M

DNOW Inc. operates in the Industrial Distribution industry, part of the Industrials sector (United States).

Frequently Asked Questions

What is DNOW Inc.’s (DNOW) StockRank?
MoatMap’s StockRank for DNOW Inc. (DNOW) is 22/100, with a Sell signal. It is a composite of Quality (32), Value (37), and Momentum (39) factor ranks across MoatMap’s 19,000+ stock universe.
Does DNOW Inc. have an economic moat?
DNOW Inc. (DNOW) has a Quality factor score of 32/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is DNOW Inc. a buy, hold, or sell?
MoatMap’s current signal for DNOW Inc. (DNOW) is Sell, based on a StockRank of 22/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is DNOW Inc. in?
DNOW Inc. (DNOW) operates in the Industrials sector, specifically the Industrial Distribution industry (United States).