Chart Industries (NYSE:GTLS) vs. DNOW (NYSE:DNOW) Critical Comparison

Chart Industries (NYSE:GTLS) and DNOW (NYSE:DNOW) are both mid-cap industrials companies, but which is the better business? We will compare the two companies based on the strength of their dividends, institutional ownership, profitability, earnings, analyst recommendations, valuation and risk.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Chart Industries and DNOW, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chart Industries	2	11	0	0	1.85
DNOW	1	1	3	0	2.40

Chart Industries presently has a consensus price target of $201.80, suggesting a potential downside of 3.35%. DNOW has a consensus price target of $17.00, suggesting a potential upside of 23.77%. Given DNOW’s stronger consensus rating and higher probable upside, analysts clearly believe DNOW is more favorable than Chart Industries.

Earnings & Valuation

This table compares Chart Industries and DNOW”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chart Industries	$4.26 billion	2.34	$40.70 million	$0.26	803.10
DNOW	$2.82 billion	0.89	-$89.00 million	($0.73)	-18.82

Chart Industries has higher revenue and earnings than DNOW. DNOW is trading at a lower price-to-earnings ratio than Chart Industries, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Chart Industries and DNOW’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chart Industries	-0.62%	10.50%	3.65%
DNOW	-4.14%	4.94%	2.97%

Risk and Volatility

Chart Industries has a beta of 1.53, suggesting that its stock price is 53% more volatile than the S&P 500. Comparatively, DNOW has a beta of 0.82, suggesting that its stock price is 18% less volatile than the S&P 500.

Insider & Institutional Ownership

97.6% of DNOW shares are owned by institutional investors. 1.0% of Chart Industries shares are owned by insiders. Comparatively, 1.9% of DNOW shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

Chart Industries beats DNOW on 9 of the 14 factors compared between the two stocks.

About Chart Industries

Chart Industries, Inc. engages in the designing, engineering, and manufacturing of process technologies and equipment for the gas and liquid molecules in the United States and internationally. The company operates in four segments: Cryo Tank Solutions, Heat Transfer Systems, Specialty Products, and Repair, Service & Leasing. It provides bulk and packaged gas cryogenic solutions for the storage, distribution, vaporization, and application of industrial gases; cryogenic trailers, ISO containers, bulk storage tanks, loading facilities, and regasification equipment for delivering liquefied natural gas (LNG) into virtual pipeline applications; and large vacuum insulated storage tanks as equipment for purchasers of standard liquefaction plants. The company also offers natural gas processing solutions; process technology, liquefaction capabilities, and critical equipment for the LNG, include small to mid-scale facilities, floating LNG applications, and large base-load export facilities; brazed aluminum heat exchangers, Core-in-Kettle heat exchangers, cold boxes, air cooled heat exchangers, pressure vessels, and pipe works; and air cooled heat exchangers and axial cooling fans for the HVAC, power, and refining applications. Further, it provides extended warranties, plant start-up, parts, 24/7 support, monitoring and process optimization, repairing, maintenance, and upgrading services; plant services on equipment; and service locations that undertake installation, service, repair, maintenance, and refurbishment of cryogenic products, as well as equipment leasing solutions. Chart Industries, Inc. was founded in 1859 and is headquartered in Ball Ground, Georgia.

About DNOW

DNOW Inc. distributes downstream energy and industrial products for petroleum refining, chemical processing, LNG terminals, power generation utilities, and customer on-site locations in the United States, Canada, and internationally. The company provides consumable maintenance, repair, and operating supplies; pipes, manual and automated valves, fittings, flanges, gaskets, fasteners, electrical instrumentations, artificial lift, pumping solutions, valve actuation and modular process, and measurement and control equipment; and mill supplies, tools, safety supplies, and personal protective equipment, as well as artificial lift systems, coatings, and miscellaneous expendable items. It also offers original equipment manufacturer equipment, including pumps, generator sets, air compressors, dryers, blowers, mixers, and valves; modular oil and gas tank battery solutions; and application systems, work processes, parts integration, optimization solutions, and after-sales support services. In addition, the company provides supply chain and materials management; inventory planning and management, procurement, and warehouse management, as well as solutions for logistics, point of issue technology, project management, business process, and performance metrics reporting services. It serves customers in the upstream, midstream, and downstream sectors of the energy industry, including drilling contractors, well-servicing companies, independent and national oil and gas companies, midstream operators, and refineries, as well as petrochemical, chemical, utilities, RNG facilities, and other downstream energy processors; and industrial and manufacturing companies. The company was formerly known as NOW Inc. and changed its name to DNOW Inc. in January 2024. DNOW Inc. was founded in 1862 and is headquartered in Houston, Texas.