Zacks Investment Research Lowers NOW Inc. (DNOW) to Sell
Zacks Investment Research downgraded shares of NOW Inc. (NYSE:DNOW) from a hold rating to a sell rating in a research report report published on Monday morning.
According to Zacks, “NOW Inc. is a distributor to the energy and industrial sectors. It stocks and sells a comprehensive offering of products for the upstream, midstream, and downstream & industrial market segments. The Company offers stock keeping units, including pipe, valves and valve automation, fittings, instrumentation, mill and industrial supplies, tools, safety supplies, electrical products, drilling and production equipment, fabricated equipment, and industrial paints and coatings. NOW also provides supply chain management solutions to energy and industrial manufacturing companies around the world. It operates primarily under the DistributionNOW and Wilson Export brands. NOW Inc. is headquartered in Houston, Texas. “
Several other analysts have also recently issued reports on the company. Credit Suisse Group decreased their price objective on NOW from $20.00 to $19.00 and set a neutral rating on the stock in a report on Monday, May 15th. Stephens raised NOW from an equal weight rating to an overweight rating and cut their target price for the company from $24.00 to $23.00 in a research report on Thursday, May 4th. Robert W. Baird raised NOW from a neutral rating to an outperform rating and boosted their target price for the company from $20.00 to $22.00 in a research report on Wednesday, April 26th. Cowen and Company cut their target price on NOW from $22.00 to $19.00 and set a market perform rating on the stock in a research report on Tuesday, April 11th. Finally, Seaport Global Securities downgraded NOW from a buy rating to a neutral rating and cut their target price for the company from $22.00 to $17.00 in a research report on Wednesday, June 21st. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and five have given a buy rating to the stock. NOW presently has a consensus rating of Hold and an average target price of $20.00.
NOW (NYSE:DNOW) opened at 16.42 on Monday. NOW has a one year low of $14.96 and a one year high of $23.53. The stock has a 50 day moving average of $16.39 and a 200 day moving average of $18.12. The company’s market cap is $1.77 billion.
NOW (NYSE:DNOW) last issued its quarterly earnings data on Wednesday, May 3rd. The oil and gas company reported ($0.15) earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.23) by $0.08. The business had revenue of $631 million for the quarter, compared to analysts’ expectations of $605.07 million. NOW had a negative return on equity of 10.27% and a negative net margin of 8.86%. The company’s revenue for the quarter was up 15.1% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.35) EPS. On average, analysts anticipate that NOW will post ($0.25) earnings per share for the current fiscal year.
In related news, Director James Crandell bought 5,000 shares of the business’s stock in a transaction dated Thursday, May 25th. The shares were purchased at an average price of $17.53 per share, with a total value of $87,650.00. Following the transaction, the director now owns 22,562 shares in the company, valued at approximately $395,511.86. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 3.30% of the company’s stock.
A number of institutional investors have recently made changes to their positions in the stock. FMR LLC increased its position in shares of NOW by 274.0% in the fourth quarter. FMR LLC now owns 66,339 shares of the oil and gas company’s stock valued at $1,358,000 after buying an additional 48,600 shares during the period. Credit Agricole S A acquired a new position in shares of NOW during the fourth quarter valued at approximately $276,000. Envestnet Asset Management Inc. increased its position in shares of NOW by 12.0% in the fourth quarter. Envestnet Asset Management Inc. now owns 19,582 shares of the oil and gas company’s stock valued at $396,000 after buying an additional 2,102 shares during the period. Ladenburg Thalmann Financial Services Inc. increased its position in shares of NOW by 13.7% in the fourth quarter. Ladenburg Thalmann Financial Services Inc. now owns 5,899 shares of the oil and gas company’s stock valued at $121,000 after buying an additional 711 shares during the period. Finally, Thrivent Financial for Lutherans increased its position in shares of NOW by 9.2% in the fourth quarter. Thrivent Financial for Lutherans now owns 18,390 shares of the oil and gas company’s stock valued at $376,000 after buying an additional 1,550 shares during the period. 98.50% of the stock is currently owned by institutional investors.
NOW Inc (NOW) is a global distributor to the oil and gas and industrial markets. The Company operates under the DistributionNOW and Wilson Export brands. Its segments include the United States, Canada and International. As of December 31, 2016, its segments, the United States, Canada and International, had over 200, 55 and 35 locations, respectively.
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