Don't Overlook DNOW (DNOW) International Revenue Trends While Assessing the Stock

Core Viewpoint - The analysis of DNOW's international revenue trends is crucial for understanding its financial resilience and growth prospects, especially given its global presence in the energy and industrial distribution sector [1][2][3]. Group 1: Financial Performance - DNOW's total revenue for the quarter was $628 million, reflecting a decrease of 0.8% compared to the same quarter last year [4]. - Revenue from Canada was $48 million, which is 7.6% of total revenue, and this was a surprise decrease of 7.96% from the projected $52.15 million [5]. - International revenue contributed $52 million, accounting for 8.3% of total revenue, which was also below the consensus estimate of $55.6 million, representing a surprise of -6.48% [6]. Group 2: Revenue Trends and Predictions - Analysts project DNOW will achieve revenues of $636.2 million for the ongoing fiscal quarter, a 5% increase from the previous year, with expected contributions from Canada and International at $58.5 million (9.2%) and $61.2 million (9.6%) respectively [7]. - For the full year, total revenue is expected to reach $2.46 billion, up 3.8% from the previous year, with Canada and International revenues projected to be $229.95 million (9.3%) and $238.85 million (9.7%) respectively [8]. Group 3: Market Context and Analyst Insights - The reliance on international markets presents both opportunities and risks for DNOW, making it essential to monitor international revenue trends for forecasting the company's future [9]. - Wall Street analysts are closely observing these trends, particularly in light of increasing global interconnections and geopolitical tensions, which can impact earnings predictions [10].