WallStSmart

Now Inc (DNOW) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Now Inc stock (DNOW) is currently trading at $12.12. Now Inc PS ratio (Price-to-Sales) is 0.79. Analyst consensus price target for DNOW is $16.00. WallStSmart rates DNOW as Hold.

  • DNOW PE ratio analysis and historical PE chart
  • DNOW PS ratio (Price-to-Sales) history and trend
  • DNOW intrinsic value — DCF, Graham Number, EPV models
  • DNOW stock price prediction 2025 2026 2027 2028 2029 2030
  • DNOW fair value vs current price
  • DNOW insider transactions and insider buying
  • Is DNOW undervalued or overvalued?
  • Now Inc financial analysis — revenue, earnings, cash flow
  • DNOW Piotroski F-Score and Altman Z-Score
  • DNOW analyst price target and Smart Rating
DNOW

Now Inc

NYSEINDUSTRIALS
$12.12
$0.13 (1.08%)
52W$10.94
$17.48
Target$16.00+32.0%

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WallStSmart

Smart Analysis

Now Inc (DNOW) · 9 metrics scored

Smart Score

59
out of 100
Grade: C
Buy
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in price/sales, price/book, revenue growth. Concerns around return on equity and operating margin. Fundamentals are solid but monitor weak areas for improvement.

Now Inc (DNOW) Key Strengths (6)

Avg Score: 9.5/10
Price/SalesValuation
0.7910/10

Paying less than $1 for every $1 of annual revenue

Price/BookValuation
0.9610/10

Trading below book value, meaning the market prices it less than net assets

Revenue GrowthGrowth
68.00%10/10

Revenue surging 68.00% year-over-year

EPS GrowthGrowth
90.50%10/10

Earnings per share surging 90.50% year-over-year

Institutional Own.Quality
102.35%10/10

102.35% of shares held by major funds and institutions

Market CapQuality
$2.23B7/10

Mid-cap company balancing growth potential with stability

Supporting Valuation Data

Price/Sales (TTM)
0.792
Undervalued
EV/Revenue
0.912
Undervalued
DNOW Target Price
$16
16% Upside

Now Inc (DNOW) Areas to Watch (3)

Avg Score: 0.3/10
Return on EquityProfitability
-5.23%0/10

Company is destroying shareholder value

Profit MarginProfitability
-3.16%0/10

Company is losing money with a negative profit margin

Operating MarginProfitability
1.15%1/10

Near-zero operating margins, business under pressure

Supporting Valuation Data

Forward P/E
29.76
Premium

Now Inc (DNOW) Detailed Analysis Report

Overall Assessment

This company scores 59/100 in our Smart Analysis, earning a C grade. Out of 9 metrics analyzed, 6 register as strengths (avg 9.5/10) while 3 fall into concern territory (avg 0.3/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on Price/Sales, Price/Book, Revenue Growth. Valuation metrics including Price/Sales (0.79), Price/Book (0.96) suggest the stock is attractively priced. Growth metrics are encouraging with Revenue Growth at 68.00%, EPS Growth at 90.50%.

The Bear Case

The primary concerns are Return on Equity, Profit Margin, Operating Margin. Profitability pressure is visible in Return on Equity at -5.23%, Operating Margin at 1.15%, Profit Margin at -3.16%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Return on Equity improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at -5.23% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 68.00% strong but requiring continuation.

Risk Considerations

Based on the metric profile, this is a moderate-to-high risk investment. The weight of evidence leans positive, with more strengths than concerns. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Mixed fundamentals with both positives (Price/Sales, Price/Book) and negatives (Return on Equity, Profit Margin). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

DNOW Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

DNOW's Price-to-Sales ratio of 0.79x trades 22% below its historical average of 1.01x (20th percentile). The current valuation is 59% below its historical high of 1.95x set in Jan 2017, and 205% above its historical low of 0.26x in Oct 2020. Over the past 12 months, the PS ratio has compressed from ~1.3x as trailing revenue scaled faster than the stock price.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Now Inc (DNOW) · INDUSTRIALSINDUSTRIAL DISTRIBUTION

The Big Picture

Now Inc is in a high-growth phase, prioritizing rapid expansion over margins. Revenue reached 2.8B with 68% growth year-over-year. The company is currently unprofitable, posting a -316.0% profit margin.

Key Findings

Strong Revenue Growth

Revenue growing at 68% YoY, reaching 2.8B. This pace significantly outperforms most INDUSTRIAL DISTRIBUTION peers.

Cash Flow Positive

Generating 76M in free cash flow and 83M in operating cash flow. Earnings are translating into actual cash generation.

Operating at a Loss

The company is unprofitable with a -316.0% profit margin. The path to breakeven will be the key catalyst.

What to Watch Next

Growth sustainability: can Now Inc maintain 68%+ revenue growth, or will competition slow it down?

Debt management: total debt of 669M is significantly higher than cash (164M). Monitor refinancing risk.

Sector dynamics: monitor INDUSTRIAL DISTRIBUTION industry trends, competitive moves, and regulatory changes that could impact Now Inc.

Bottom Line

Now Inc is a high-conviction growth story with revenue accelerating at 68% while profitability is still developing. For growth-oriented investors, the trajectory is compelling. For value investors, the thin -316.0% margins and premium valuation suggest patience until the unit economics mature further.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions(19 last 3 months)

Total Buys
9
Total Sells
10
Mar 12, 2026(1 transaction)
ANDERSON, GILLIAN
VP and CAO
Sell
Shares
-834
Feb 7, 2026(1 transaction)
ANDERSON, GILLIAN
VP and CAO
Sell
Shares
-1,247

Data sourced from SEC Form 4 filings

Last updated: 8:28:24 AM

About Now Inc(DNOW)

Exchange

NYSE

Sector

INDUSTRIALS

Industry

INDUSTRIAL DISTRIBUTION

Country

USA

NOW Inc. distributes downstream power and industrial products for oil refining, chemical processing, LNG terminals, power generation services, and industrial manufacturing operations in the United States, Canada, and internationally. The company is headquartered in Houston, Texas.

Visit Now Inc (DNOW) Website
7402 NORTH ELDRIDGE PARKWAY, HOUSTON, TX, UNITED STATES, 77041