Dow Inc. (DOW) Stock

Dow Inc. trades at a P/E ratio of 67.50, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 41.49 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 1.77 indicates reasonable value when growth is considered.

With a beta of 0.88, Dow Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 1.14 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Dow Inc. achieves a profit margin of 0.69%, meaning it retains $0.69 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 0.64% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 2.06% and ROA at 1.83%, the company achieves moderate returns on invested capital.

Dow Inc.'s revenue declined by 3.10% year-over-year, indicating challenges in maintaining sales momentum. This contraction may reflect market headwinds, competitive pressures, or strategic transitions. Earnings decreased by 28.60% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against PLASTIC MATERIALS, SYNTH RESINS & NONVULCAN ELASTOMERS industry averages for proper context.

Dow Inc. offers a dividend yield of 10.40%, paying $2.80 per share annually. This high yield exceeds 4%, significantly outperforming the S&P 500 average of 1.5-2% and most investment-grade bonds. For income-focused investors, this represents an attractive cash flow opportunity, though high yields sometimes signal market concerns about sustainability. To receive the next dividend, shares must be purchased before the ex-dividend date of 5/30/2025.

The dividend sustainability can be assessed through the payout ratio - Dow Inc. pays $2.80 per share in dividends against earnings of $0.40 per share, resulting in a payout ratio of 100.00%. This very high payout exceeding 90% raises sustainability concerns, as nearly all earnings go to dividends. Any earnings decline could force a dividend cut. The next dividend payment is scheduled for 6/13/2025.

Dow Inc. has a market capitalization of $19.09B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 706.86M shares outstanding, the company's ownership is relatively concentrated. As a participant in the PLASTIC MATERIALS, SYNTH RESINS & NONVULCAN ELASTOMERS industry, it competes with other firms in this sector.

Dow Inc.'s book value per share is $23.75, while the current stock price is $29.65, resulting in a price-to-book (P/B) ratio of 1.25. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

21 analysts cover DOW with 19% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The bearish sentiment could create opportunity if analysts are wrong. The consensus target of $34.77 implies 17.3% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:04 Buy, 16 Hold, 01 Strong Sell. The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.