GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Dnow Inc (NYSE:DNOW) » Definitions » Intrinsic Value: Projected FCF

Dnow (DNOW) Intrinsic Value: Projected FCF : $17.21 (As of Apr. 28, 2024)


View and export this data going back to 2014. Start your Free Trial

What is Dnow Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-28), Dnow's Intrinsic Value: Projected FCF is $17.21. The stock price of Dnow is $14.63. Therefore, Dnow's Price-to-Intrinsic-Value-Projected-FCF of today is 0.9.

The historical rank and industry rank for Dnow's Intrinsic Value: Projected FCF or its related term are showing as below:

DNOW' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.39   Med: 0.59   Max: 1.08
Current: 0.85

During the past 12 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Dnow was 1.08. The lowest was 0.39. And the median was 0.59.

DNOW's Price-to-Projected-FCF is ranked better than
73.4% of 1895 companies
in the Industrial Products industry
Industry Median: 1.53 vs DNOW: 0.85

Dnow Intrinsic Value: Projected FCF Historical Data

The historical data trend for Dnow's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Dnow Intrinsic Value: Projected FCF Chart

Dnow Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.50 18.49 14.25 11.79 17.21

Dnow Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 11.79 11.01 12.99 13.96 17.21

Competitive Comparison of Dnow's Intrinsic Value: Projected FCF

For the Specialty Industrial Machinery subindustry, Dnow's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Dnow's Price-to-Projected-FCF Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Dnow's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Dnow's Price-to-Projected-FCF falls into.



Dnow Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Dnow's Free Cash Flow(6 year avg) = $104.64.

Dnow's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*104.64+1060*0.8)/107.172
=17.21

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Dnow  (NYSE:DNOW) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Dnow's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=14.63/17.207942289047
=0.85

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Dnow Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Dnow's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Dnow (DNOW) Business Description

Industry
Traded in Other Exchanges
Address
7402 North Eldridge Parkway, Houston, TX, USA, 77041
Dnow Inc is a company engaged in worldwide supplying of energy and industrial products and packaged, engineered process and production equipment with a legacy of over one sixty years. They offer a broad set of supply chain solutions combined with a suite of digital solutions branded as DigitalNOW that provide customers world-class technology for digital commerce, data and information management. Its locations provide products and solutions to exploration and production companies, midstream transmission and storage companies, refineries, chemical companies, utilities, mining, municipal water, manufacturers, engineering and construction companies as well as companies operating in the decarbonization, energy transition and renewables end markets.
Executives
Karen David-green director C/O WINSTON & STRAWN LLP, 800 CAPITOL ST., SUITE 2400, HOUSTON TX 77002
David A Cherechinsky officer: Sr. Vice President and CFO 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Sonya Reed director 4 TESSENEER DRIVE, HIGHLAND HEIGHTS KY 41076
Fanny R. Surratt officer: See Remarks NOW INC., C/O RAYMOND CHANG, 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Kelly T. Munson officer: See Remarks NOW INC., C/O RAYMOND CHANG, 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Richard J Alario director C/O KEY ENERGY SERVICES, INC., 1301 MCKINNEY STREET, SUITE 1800, HOUSTON TX 77010
Paul M Coppinger director
Rodney W Eads director 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
J. Wayne Richards director 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Galen Cobb director 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Terry Bonno director 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
James Crandell director 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Daniel L Molinaro officer: Executive Vice President 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Mark B Johnson officer: See Remarks 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041
Raymond W Chang officer: VP and General Counsel 7402 NORTH ELDRIDGE PARKWAY, HOUSTON TX 77041