DNOW Reports Q4 2025 Earnings Post-Merger with MRC Global
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 20 2026
0mins
Should l Buy DNOW?
Source: seekingalpha
- Merger Success: Following the completion of the merger with MRC Global, DNOW reported fourth-quarter revenue of $959 million, a 51% increase from Q3 2025, with MRC Global contributing $388 million, indicating strong growth potential from the merger.
- Accelerated Cost Synergies: Management now expects to achieve $23 million in cost savings in the first year, surpassing the initial target of $17 million, demonstrating improved integration efficiency post-merger that will enhance financial performance.
- ERP Challenges Impact: Despite revenue growth from the merger, approximately 40% of the business is affected by ERP issues inherited from MRC Global, with management mobilizing a comprehensive remediation plan to address critical obstacles and ensure future operational stability.
- Cautious Future Outlook: Management has delayed guidance for 2026 due to ongoing ERP implementation challenges, anticipating flat revenue across the business, reflecting a cautious approach to future growth during the integration phase.
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Analyst Views on DNOW
Wall Street analysts forecast DNOW stock price to rise
3 Analyst Rating
3 Buy
0 Hold
0 Sell
Strong Buy
Current: 11.820
Low
16.00
Averages
17.67
High
19.00
Current: 11.820
Low
16.00
Averages
17.67
High
19.00
About DNOW
DNOW Inc. is a premier energy and industrial solutions provider. It supplies energy and industrial products and packaged, engineered process and production equipment. The Company is a distributor of pipe, valves, fittings (PVF), pumps and fabricated equipment. Its products and services include air compressors and blowers; artificial lift; drilling and completions; electrical; industrial and facilities supplies; instrumentation and measurement; paint and coatings; PVF; power generation and transmission; process and production equipment; pumps and packages; safety and PPE, and tools and welding equipment. Its DigitalNOW platform and supply chain services address intricate operational challenges, bolstered with support from procurement and inventory management to field services. It serves a range of markets, including upstream, midstream and downstream oil and gas, chemical processing, mining, municipal water, manufacturing, engineering, energy evolution and renewables.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Rosen Law Firm Investigates DNOW Securities Claims
- Securities Claims Investigation: The Rosen Law Firm is investigating potential securities claims against DNOW Inc. (NYSE: DNOW) for allegedly issuing materially misleading business information, indicating significant legal risks that could undermine shareholder confidence.
- Stock Price Plunge: On February 20, 2026, DNOW reported disappointing Q4 2025 financial results, revealing substantial losses that missed Wall Street expectations, resulting in a 19.1% drop in stock price, directly impacting investor asset values.
- Class Action Preparation: The Rosen Law Firm is preparing a class action lawsuit against DNOW, allowing investors to seek compensation without any out-of-pocket costs, potentially providing a pathway for affected investors to recover their losses.
- Firm Reputation: The Rosen Law Firm is renowned for its successful track record in securities class actions, having recovered over $438 million for investors in 2019 alone, demonstrating its expertise and influence in handling similar cases.
See More
Pomerantz LLP Investigates DNOW for Securities Fraud
- Securities Fraud Investigation: Pomerantz LLP is investigating claims on behalf of DNOW Inc. investors, focusing on whether the company and its executives engaged in securities fraud or other unlawful business practices, which could significantly impact investor rights.
- Financial Reporting Impact: On February 20, 2026, DNOW reported its fourth quarter and full-year 2025 financial results, with the CEO acknowledging challenges from the U.S. MRC Global ERP system transition, indicating management's awareness of operational difficulties.
- Stock Price Plunge: Following the earnings report, DNOW's stock price fell by $3.13, a 19.13% drop, closing at $13.23 per share, reflecting market concerns about the company's future prospects and potentially undermining investor confidence.
- Potential Legal Consequences: Pomerantz LLP, recognized for its expertise in securities litigation, may provide legal support to affected investors, and if the investigation confirms wrongdoing, DNOW could face substantial liability for damages.
See More
Rosen Law Firm Investigates DNOW Securities Fraud Claims
- Securities Fraud Investigation: The Rosen Law Firm is investigating potential securities claims against DNOW Inc. (NYSE:DNOW) for allegedly issuing materially misleading business information, indicating serious financial misconduct that could undermine investor confidence.
- Stock Price Plunge: On February 20, 2026, DNOW's stock fell 19.1% after disappointing fourth-quarter 2025 financial results were reported, reflecting strong market disappointment and potentially triggering further claims from affected investors.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek compensation for affected investors without any upfront costs, a move that may attract more harmed investors to join the lawsuit.
- Firm Reputation: Known for its successful track record in securities class actions, the Rosen Law Firm recovered over $438 million for investors in 2019 alone, demonstrating its expertise and influence in handling such cases.
See More
Pomerantz LLP Investigates DNOW for Securities Fraud
- Securities Fraud Investigation: Pomerantz LLP is investigating claims against DNOW Inc. regarding potential securities fraud by the company and its executives, which could undermine investor confidence and damage the company's reputation.
- Impact of Financial Results: On February 20, 2026, DNOW reported its Q4 and full-year 2025 results, with the CEO acknowledging challenges from the U.S. MRC Global ERP system transition, leading to a 19.13% drop in stock price to $13.23 per share, indicating market concerns about operational stability.
- Stock Price Volatility: Following the earnings release, DNOW's stock fell by $3.13, reflecting investor apprehension about the company's future performance, which may affect its ability to raise capital and maintain investor trust.
- Potential Legal Consequences: Pomerantz LLP, a prominent securities litigation firm, may initiate a class action lawsuit against DNOW if the investigation confirms wrongdoing, which could result in significant financial and legal repercussions for the company.
See More
DNOW Under Investigation, Shares Plunge 19.1%
- Legal Investigation Launched: The Schall Law Firm has announced an investigation into DNOW for potential violations of securities laws, focusing on whether the company made false or misleading statements that could affect investor rights.
- Financial Performance Decline: DNOW released its Q4 and full-year 2025 financial results on February 20, 2026, indicating a decline in actual performance due to ongoing Enterprise Resource Planning (ERP) challenges, which have negatively impacted core process efficiencies.
- Guidance Delay: The company admitted it would delay its sequential and full-year guidance due to persistent ERP implementation challenges, raising further concerns about its future performance in the market.
- Severe Stock Reaction: Following this news, DNOW's shares plummeted by 19.1% on the same day, reflecting strong investor concerns regarding the company's financial health and operational stability.
See More
Harvey Partners Acquires New Position in DNOW
- New Investment Disclosure: On February 17, 2026, Harvey Partners disclosed a new position by acquiring 1,939,399 shares of DNOW worth $25.70 million, indicating confidence in the company's potential.
- Asset Allocation Insight: This acquisition represents 2.3% of Harvey Partners' reportable assets under management, highlighting DNOW's significance in the investment portfolio and potentially influencing future investment strategies.
- Market Performance Comparison: As of now, DNOW shares are priced at $12.33, down 18% over the past year, significantly underperforming the S&P 500's 16% gain, reflecting market caution regarding its future growth prospects.
- Merger Impact Assessment: DNOW's recent acquisition of MRC Global presents integration risks; however, it may lead to scale benefits and growth opportunities in the long run, prompting investors to monitor the realization of merger synergies.
See More
Rosen Law Firm Investigates DNOW Securities Claims
- Securities Claims Investigation: The Rosen Law Firm is investigating potential securities claims against DNOW Inc. (NYSE: DNOW) for allegedly issuing materially misleading business information, indicating significant legal risks that could undermine shareholder confidence.
- Stock Price Plunge: On February 20, 2026, DNOW reported disappointing Q4 2025 financial results, revealing substantial losses that missed Wall Street expectations, resulting in a 19.1% drop in stock price, directly impacting investor asset values.
- Class Action Preparation: The Rosen Law Firm is preparing a class action lawsuit against DNOW, allowing investors to seek compensation without any out-of-pocket costs, potentially providing a pathway for affected investors to recover their losses.
- Firm Reputation: The Rosen Law Firm is renowned for its successful track record in securities class actions, having recovered over $438 million for investors in 2019 alone, demonstrating its expertise and influence in handling similar cases.
See More
Pomerantz LLP Investigates DNOW for Securities Fraud
- Securities Fraud Investigation: Pomerantz LLP is investigating claims on behalf of DNOW Inc. investors, focusing on whether the company and its executives engaged in securities fraud or other unlawful business practices, which could significantly impact investor rights.
- Financial Reporting Impact: On February 20, 2026, DNOW reported its fourth quarter and full-year 2025 financial results, with the CEO acknowledging challenges from the U.S. MRC Global ERP system transition, indicating management's awareness of operational difficulties.
- Stock Price Plunge: Following the earnings report, DNOW's stock price fell by $3.13, a 19.13% drop, closing at $13.23 per share, reflecting market concerns about the company's future prospects and potentially undermining investor confidence.
- Potential Legal Consequences: Pomerantz LLP, recognized for its expertise in securities litigation, may provide legal support to affected investors, and if the investigation confirms wrongdoing, DNOW could face substantial liability for damages.
See More
Rosen Law Firm Investigates DNOW Securities Fraud Claims
- Securities Fraud Investigation: The Rosen Law Firm is investigating potential securities claims against DNOW Inc. (NYSE:DNOW) for allegedly issuing materially misleading business information, indicating serious financial misconduct that could undermine investor confidence.
- Stock Price Plunge: On February 20, 2026, DNOW's stock fell 19.1% after disappointing fourth-quarter 2025 financial results were reported, reflecting strong market disappointment and potentially triggering further claims from affected investors.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek compensation for affected investors without any upfront costs, a move that may attract more harmed investors to join the lawsuit.
- Firm Reputation: Known for its successful track record in securities class actions, the Rosen Law Firm recovered over $438 million for investors in 2019 alone, demonstrating its expertise and influence in handling such cases.
See More
Pomerantz LLP Investigates DNOW for Securities Fraud
- Securities Fraud Investigation: Pomerantz LLP is investigating claims against DNOW Inc. regarding potential securities fraud by the company and its executives, which could undermine investor confidence and damage the company's reputation.
- Impact of Financial Results: On February 20, 2026, DNOW reported its Q4 and full-year 2025 results, with the CEO acknowledging challenges from the U.S. MRC Global ERP system transition, leading to a 19.13% drop in stock price to $13.23 per share, indicating market concerns about operational stability.
- Stock Price Volatility: Following the earnings release, DNOW's stock fell by $3.13, reflecting investor apprehension about the company's future performance, which may affect its ability to raise capital and maintain investor trust.
- Potential Legal Consequences: Pomerantz LLP, a prominent securities litigation firm, may initiate a class action lawsuit against DNOW if the investigation confirms wrongdoing, which could result in significant financial and legal repercussions for the company.
See More
DNOW Under Investigation, Shares Plunge 19.1%
- Legal Investigation Launched: The Schall Law Firm has announced an investigation into DNOW for potential violations of securities laws, focusing on whether the company made false or misleading statements that could affect investor rights.
- Financial Performance Decline: DNOW released its Q4 and full-year 2025 financial results on February 20, 2026, indicating a decline in actual performance due to ongoing Enterprise Resource Planning (ERP) challenges, which have negatively impacted core process efficiencies.
- Guidance Delay: The company admitted it would delay its sequential and full-year guidance due to persistent ERP implementation challenges, raising further concerns about its future performance in the market.
- Severe Stock Reaction: Following this news, DNOW's shares plummeted by 19.1% on the same day, reflecting strong investor concerns regarding the company's financial health and operational stability.
See More
Harvey Partners Acquires New Position in DNOW
- New Investment Disclosure: On February 17, 2026, Harvey Partners disclosed a new position by acquiring 1,939,399 shares of DNOW worth $25.70 million, indicating confidence in the company's potential.
- Asset Allocation Insight: This acquisition represents 2.3% of Harvey Partners' reportable assets under management, highlighting DNOW's significance in the investment portfolio and potentially influencing future investment strategies.
- Market Performance Comparison: As of now, DNOW shares are priced at $12.33, down 18% over the past year, significantly underperforming the S&P 500's 16% gain, reflecting market caution regarding its future growth prospects.
- Merger Impact Assessment: DNOW's recent acquisition of MRC Global presents integration risks; however, it may lead to scale benefits and growth opportunities in the long run, prompting investors to monitor the realization of merger synergies.
See More
