The stock of Dow Inc (NYSE: DOW) has increased by 0.03 when compared to last closing price of 37.44. Despite this, the company has experienced a -1.73% fall in its stock price over the last five trading sessions. fool.com reported 2025-03-08 that Caterpillar (CAT 2.72%) is a top-five holding of the Bill & Melinda Gates Foundation Trust, and it’s also a stock up 83% over the last three years and 176% over the last five. But what can investors expect for the year ahead for this member of the Dow Jones Industrial Average stock index?
Is It Worth Investing in Dow Inc (NYSE: DOW) Right Now?
Dow Inc (NYSE: DOW) has a price-to-earnings ratio of 23.92x that is above its average ratio. Additionally, the 36-month beta value for DOW is 1.02. There are mixed opinions on the stock, with 5 analysts rating it as a “buy,” 1 rating it as “overweight,” 14 rating it as “hold,” and 0 rating it as “sell.”
The public float for DOW is 701.95M and currently, short sellers hold a 2.39% ratio of that float. The average trading volume of DOW on March 10, 2025 was 7.72M shares.
DOW’s Market Performance
DOW stock saw a decrease of -1.73% in the past week, with a monthly decline of -1.32% and a quarterly a decrease of -14.63%. The volatility ratio for the week is 3.90%, and the volatility levels for the last 30 days are 2.37% for Dow Inc (DOW). The simple moving average for the past 20 days is -2.32% for DOW’s stock, with a -22.41% simple moving average for the past 200 days.
Analysts’ Opinion of DOW
Many brokerage firms have already submitted their reports for DOW stocks, with Piper Sandler repeating the rating for DOW by listing it as a “Neutral.” The predicted price for DOW in the upcoming period, according to Piper Sandler is $53 based on the research report published on January 07, 2025 of the current year 2025.
Evercore ISI, on the other hand, stated in their research note that they expect to see DOW reach a price target of $56. The rating they have provided for DOW stocks is “Outperform” according to the report published on December 18th, 2024.
JP Morgan gave a rating of “Overweight” to DOW, setting the target price at $61 in the report published on April 26th of the previous year.
DOW Trading at -4.67% from the 50-Day Moving Average
After a stumble in the market that brought DOW to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -38.29% of loss for the given period.
Volatility was left at 2.37%, however, over the last 30 days, the volatility rate increased by 3.90%, as shares sank -3.40% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -6.23% lower at present.
During the last 5 trading sessions, DOW fell by -1.73%, which changed the moving average for the period of 200-days by -36.73% in comparison to the 20-day moving average, which settled at $38.34. In addition, Dow Inc saw -6.68% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at DOW starting from Dial Debra L., who purchase 675 shares at the price of $38.81 back on Feb 07 ’25. After this action, Dial Debra L. now owns 2,700 shares of Dow Inc, valued at $26,197 using the latest closing price.
Banister Gaurdie E. JR., the Director of Dow Inc, purchase 7,339 shares at $40.87 during a trade that took place back on Dec 13 ’24, which means that Banister Gaurdie E. JR. is holding 10,924 shares at $299,932 based on the most recent closing price.
Stock Fundamentals for DOW
Current profitability levels for the company are sitting at:
- 0.11 for the gross margin
The net margin for Dow Inc stands at 0.03. Equity return is now at value 6.14, with 1.92 for asset returns.
Based on Dow Inc (DOW), the company’s capital structure generated 0.5 points at debt to capital in total, while cash flow to debt ratio is standing at 0.17.
Currently, EBITDA for the company is 5.3 billion with net debt to EBITDA at 2.91. When we switch over and look at the enterprise to sales, we see a ratio of 0.97. The receivables turnover for the company is 8.37for trailing twelve months and the total asset turnover is 0.75. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.61.
Conclusion
In conclusion, Dow Inc (DOW) has seen bad performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
