Alert: Negative Investment/Fundamental Signals (10/18/24)-NOW Inc (NYSE: DNOW)

NOW Inc (NYSE: DNOW). Extremely important negative changes in investment behavior have recently occurred: negative upside/downside volume developed, and the stock fell on very heavy volume.

NOW Inc (NYSE: DNOW). Significant negative changes in fundamentals have recently occurred: the stock’s power rating fell below 50, and the consensus estimate for December, 2025 decreased significantly.

In light of these highly negative signals we are reviewing our current Overall Rating of C. We would view the shares with caution pending completion of this review in the next several days.

Current PriceTarget Research Rating

DNOW’s future returns on capital are forecasted to be above the cost of capital. Accordingly, the company is expected to continue to be a Value Builder.

NOW has a current Value Trend Rating of C (Low Neutral). With this rating, PTR’s two proprietary measures of a stock’s current attractiveness are providing contradictory signals. NOW has a slightly positive Appreciation Score of 60 but a slightly negative Power Rating of 35, triggering the Low Neutral Value Trend Rating.

Recent Price Action

NOW Inc (NYSE: DNOW) stock declined modestly by -1.7% on 10/18/24. The stock closed at $12.43. Moreover, trading volume in this decline was exceptionally high at 216% of normal. The stock has performed in line with the market over the last nine months and has declined -2.2% during the last week.