DNOW (NYSE:DNOW) Shares Gap Up on Better-Than-Expected Earnings

Shares of DNOW Inc. (NYSE:DNOW) gapped up before the market opened on Wednesday following a stronger than expected earnings report. The stock had previously closed at $15.24, but opened at $16.24. DNOW shares last traded at $14.62, with a volume of 532,489 shares.

The oil and gas company reported $0.27 EPS for the quarter, topping the consensus estimate of $0.22 by $0.05. The firm had revenue of $628.00 million for the quarter, compared to the consensus estimate of $612.60 million. DNOW had a return on equity of 9.00% and a net margin of 3.40%. The business’s quarterly revenue was down .8% compared to the same quarter last year. During the same period in the previous year, the business earned $0.25 EPS.

Analysts Set New Price Targets

Several research analysts have commented on DNOW shares. Susquehanna cut their target price on DNOW from $19.00 to $18.00 and set a “neutral” rating on the stock in a report on Monday, April 14th. Stifel Nicolaus cut their target price on DNOW from $19.00 to $18.00 and set a “buy” rating on the stock in a report on Monday, July 21st. Finally, Wall Street Zen raised DNOW from a “hold” rating to a “buy” rating in a report on Saturday, April 26th.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of DNOW. Ameriprise Financial Inc. lifted its stake in shares of DNOW by 376.3% in the 1st quarter. Ameriprise Financial Inc. now owns 2,914,681 shares of the oil and gas company’s stock valued at $49,802,000 after purchasing an additional 2,302,738 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of DNOW by 5.7% in the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,387,769 shares of the oil and gas company’s stock valued at $31,065,000 after purchasing an additional 128,252 shares during the period. First Trust Advisors LP lifted its stake in shares of DNOW by 0.7% in the 4th quarter. First Trust Advisors LP now owns 2,197,167 shares of the oil and gas company’s stock valued at $28,585,000 after purchasing an additional 15,869 shares during the period. American Century Companies Inc. lifted its stake in shares of DNOW by 16.8% in the 1st quarter. American Century Companies Inc. now owns 2,003,050 shares of the oil and gas company’s stock valued at $34,212,000 after purchasing an additional 288,311 shares during the period. Finally, JPMorgan Chase & Co. lifted its stake in shares of DNOW by 6.5% in the 4th quarter. JPMorgan Chase & Co. now owns 1,843,620 shares of the oil and gas company’s stock valued at $23,985,000 after purchasing an additional 112,135 shares during the period. 97.63% of the stock is owned by institutional investors and hedge funds.

DNOW Stock Performance

The company has a market capitalization of $1.50 billion, a price-to-earnings ratio of 19.14 and a beta of 1.13. The business has a 50 day moving average price of $14.80 and a 200-day moving average price of $15.26.

About DNOW

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.