DNOW Reports Q4 Earnings and Merger Progress
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 26 2026
0mins
Should l Buy DNOW?
Source: seekingalpha
DNOW Inc. experienced a significant decline of 19.25% as it crossed below its 5-day SMA, reflecting investor concerns following its recent earnings report.
The company reported a net loss of $89 million for 2025, despite generating $2.82 billion in revenue and achieving a gross profit of $478 million. The merger with MRC Global, completed in November 2025, is expected to yield $23 million in cost savings, but challenges related to the ERP system transition have raised concerns about short-term performance. The CEO emphasized targeted actions to ensure long-term growth despite these complexities.
Investors are closely monitoring DNOW's financial health and market positioning as it navigates these challenges, with the recent merger expected to enhance its market opportunities in the long run.
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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: 12.440
Low
16.00
Averages
17.67
High
19.00
Current: 12.440
Low
16.00
Averages
17.67
High
19.00
About DNOW
DNOW Inc. is an energy and industrial solutions provider. The Company distributes pipes, valves, fittings (PVF), gas products, pumps, fabricated process and production equipment and a range of Maintenance, Repair, and Operations (MRO) consumables and related products. It operates across sectors of the energy value chain and industrial end-markets, including Upstream, Midstream, Gas Utilities and Downstream and Industrial. Upstream is engaged in exploration, production, and extraction of oil and gas, as well as the use and disposal of produced water. Midstream offers transmission and gathering infrastructure for processing and transmission of oil, gas, or water. Gas Utilities provide storage and distribution of natural gas. Downstream and Industrial includes crude oil refining, petrochemical and chemical processing, general industrials, pharmaceutical, mining, water/wastewater treatment, data centers, liquefied natural gas (LNG) terminals and renewable natural gas (RNG) facilities.
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: 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's stock plummeted by 19.1% following the release of disappointing Q4 2025 financial results, reflecting strong market reactions to the company's performance and potentially leading to investor losses.
- Class Action Preparation: The firm is preparing a class action to seek compensation for affected investors, with a contingency fee arrangement that allows participation without upfront costs, which may encourage more shareholders to join the lawsuit.
- Law Firm Reputation: Rosen Law Firm is renowned for its successful track record in securities class actions, having recovered over $438 million for investors in 2019 alone, showcasing its strength and experience in handling similar cases.
See More
DNOW Inc. Shares Plunge 19% Following ERP Issues and Investigation Launch
- Disappointing Earnings: DNOW Inc. reported its FY 2025 results on February 20, 2026, revealing that MRC Global's revenues declined due to ongoing ERP challenges, leading to a 19% drop in share price and over $580 million in market capitalization loss, severely undermining investor confidence.
- Management's Breach of Trust: Despite assurances from DNOW's management prior to the acquisition that MRC's ERP system was 'state-of-the-art' and would enhance inventory management and customer service, the reality showed that design architecture caused inefficiencies in core processes, indicating a potential concealment of ERP issues by management.
- Investor Investigation: National shareholder rights firm Hagens Berman has launched an investigation into whether DNOW violated federal securities laws regarding disclosures about MRC's ERP implementation issues prior to the acquisition, which may have led to substantial investor losses.
- Uncertain Future Guidance: DNOW has delayed its 2026 guidance due to ERP implementation challenges, indicating significant hurdles in integrating MRC Global, which could adversely affect future profitability and market performance.
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 possible legal liabilities that could undermine investor confidence.
- Stock Price Plunge: On February 20, 2026, DNOW's shares fell by 19.1% after the company reported disappointing fourth-quarter 2025 financial results, which missed Wall Street expectations, potentially leading to significant investor losses.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek recovery for investor losses, allowing investors to participate without upfront fees through a contingency fee arrangement, highlighting their commitment to protecting investor rights.
- Firm's Credentials: The Rosen Law Firm specializes in securities class actions and has recovered over $438 million for investors in 2019 alone, being recognized as a leader in the field, which enhances its credibility in handling such cases.
See More
DNOW Inc. Shares Plunge 19% Following ERP Issues and Investigation
- Stock Price Plunge: DNOW Inc. saw its shares fall approximately 19% on February 20, 2026, following the release of its Q4 and FY 2025 financial results, resulting in a market capitalization loss of over $580 million, indicating investor concerns about the company's financial health.
- ERP Issues Uncovered: The company revealed ongoing challenges with its ERP system post-acquisition of MRC Global, leading to a decline in MRC's revenues, which has raised doubts about management's previous optimistic assurances regarding ERP efficiency and effectiveness, negatively impacting investor confidence.
- Legal Investigation Launched: Hagens Berman law firm has initiated an investigation into DNOW's disclosures, focusing on whether the company violated federal securities laws before and after the acquisition, potentially exposing it to legal liabilities.
- Uncertain Future Outlook: DNOW has delayed its guidance for 2026, citing persistent ERP implementation issues related to MRC, which has increased market uncertainty regarding the company's future performance.
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 possible legal liabilities that could undermine investor confidence.
- Stock Price Plunge: On February 20, 2026, DNOW's stock fell by 19.1% after the company reported disappointing fourth-quarter 2025 financial results, reflecting market disappointment and potentially triggering further investor claims.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek compensation for affected investors, with no out-of-pocket fees required, which may encourage more shareholders to participate in the legal proceedings.
- 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, showcasing its strength and experience in handling similar cases.
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 possibly issuing materially misleading business information, raising serious concerns about the company's transparency.
- Stock Price Impact: On February 20, 2026, DNOW's stock plummeted by 19.1% following the release of disappointing Q4 2025 financial results, which not only undermined investor confidence but could also trigger broader market repercussions.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek compensation for affected investors without any upfront fees, a contingency arrangement that may encourage more victims to come forward.
- Firm's 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 similar cases.
See More
Rosen Law Firm Investigates DNOW Securities Claims
- Securities Claims Investigation: 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's stock plummeted by 19.1% following the release of disappointing Q4 2025 financial results, reflecting strong market reactions to the company's performance and potentially leading to investor losses.
- Class Action Preparation: The firm is preparing a class action to seek compensation for affected investors, with a contingency fee arrangement that allows participation without upfront costs, which may encourage more shareholders to join the lawsuit.
- Law Firm Reputation: Rosen Law Firm is renowned for its successful track record in securities class actions, having recovered over $438 million for investors in 2019 alone, showcasing its strength and experience in handling similar cases.
See More
DNOW Inc. Shares Plunge 19% Following ERP Issues and Investigation Launch
- Disappointing Earnings: DNOW Inc. reported its FY 2025 results on February 20, 2026, revealing that MRC Global's revenues declined due to ongoing ERP challenges, leading to a 19% drop in share price and over $580 million in market capitalization loss, severely undermining investor confidence.
- Management's Breach of Trust: Despite assurances from DNOW's management prior to the acquisition that MRC's ERP system was 'state-of-the-art' and would enhance inventory management and customer service, the reality showed that design architecture caused inefficiencies in core processes, indicating a potential concealment of ERP issues by management.
- Investor Investigation: National shareholder rights firm Hagens Berman has launched an investigation into whether DNOW violated federal securities laws regarding disclosures about MRC's ERP implementation issues prior to the acquisition, which may have led to substantial investor losses.
- Uncertain Future Guidance: DNOW has delayed its 2026 guidance due to ERP implementation challenges, indicating significant hurdles in integrating MRC Global, which could adversely affect future profitability and market performance.
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 possible legal liabilities that could undermine investor confidence.
- Stock Price Plunge: On February 20, 2026, DNOW's shares fell by 19.1% after the company reported disappointing fourth-quarter 2025 financial results, which missed Wall Street expectations, potentially leading to significant investor losses.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek recovery for investor losses, allowing investors to participate without upfront fees through a contingency fee arrangement, highlighting their commitment to protecting investor rights.
- Firm's Credentials: The Rosen Law Firm specializes in securities class actions and has recovered over $438 million for investors in 2019 alone, being recognized as a leader in the field, which enhances its credibility in handling such cases.
See More
DNOW Inc. Shares Plunge 19% Following ERP Issues and Investigation
- Stock Price Plunge: DNOW Inc. saw its shares fall approximately 19% on February 20, 2026, following the release of its Q4 and FY 2025 financial results, resulting in a market capitalization loss of over $580 million, indicating investor concerns about the company's financial health.
- ERP Issues Uncovered: The company revealed ongoing challenges with its ERP system post-acquisition of MRC Global, leading to a decline in MRC's revenues, which has raised doubts about management's previous optimistic assurances regarding ERP efficiency and effectiveness, negatively impacting investor confidence.
- Legal Investigation Launched: Hagens Berman law firm has initiated an investigation into DNOW's disclosures, focusing on whether the company violated federal securities laws before and after the acquisition, potentially exposing it to legal liabilities.
- Uncertain Future Outlook: DNOW has delayed its guidance for 2026, citing persistent ERP implementation issues related to MRC, which has increased market uncertainty regarding the company's future performance.
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 possible legal liabilities that could undermine investor confidence.
- Stock Price Plunge: On February 20, 2026, DNOW's stock fell by 19.1% after the company reported disappointing fourth-quarter 2025 financial results, reflecting market disappointment and potentially triggering further investor claims.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek compensation for affected investors, with no out-of-pocket fees required, which may encourage more shareholders to participate in the legal proceedings.
- 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, showcasing its strength and experience in handling similar cases.
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 possibly issuing materially misleading business information, raising serious concerns about the company's transparency.
- Stock Price Impact: On February 20, 2026, DNOW's stock plummeted by 19.1% following the release of disappointing Q4 2025 financial results, which not only undermined investor confidence but could also trigger broader market repercussions.
- Class Action Preparation: The Rosen Law Firm is preparing a class action to seek compensation for affected investors without any upfront fees, a contingency arrangement that may encourage more victims to come forward.
- Firm's 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 similar cases.
See More
