DNOW: Improving Fundamentals Turn This Cheap Stock Into A Buy (Rating Upgrade)
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Research Wise1.09K FollowersFollow5ShareSavePlay(10min)CommentsSummaryQ3 2025 delivered record revenue of $634M, with 4.6% YoY growth and EBITDA margin expanding to 8%.The MRC Global acquisition expands scale and customer base, supporting topline growth beyond FY25 amid ongoing U.S. market strength.Operating leverage and cost management are expected to benefit margins in the quarters ahead.Upgrading the DNOW stock to BUY, due to an improving outlook and a discounted valuation. Leonid Eremeychuk/iStock via Getty Images The Thesis I maintained a neutral stance when I last covered the DNOW Inc. (DNOW) stock earlier this year due to a weak growth outlook with lingering industry-related headwinds from OPEC policyThis article was written byResearch Wise1.09K FollowersFollowAs a finance enthusiast with experience in research, I am deeply engaged in studying diverse businesses, especially in the technology, industrial, and conglomerate sectors. I really like companies that have strong foundations and see them doing well in the long run. I enjoy writing about these businesses, telling their stories, strategies, and financial details. I use a mix of looking at their finances and writing to give insights into how well companies might do, helping people understand the market better. This focus on both looking at the numbers and explaining things reflects my dedication to both understanding and explaining the details of the financial world.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Recommended For You