Cactus (NYSE:WHD) Shares Gap Up - Should You Buy?

Cactus, Inc. (NYSE:WHD - Get Free Report)'s share price gapped up before the market opened on Wednesday . The stock had previously closed at $44.10, but opened at $45.65. Cactus shares last traded at $45.58, with a volume of 92,581 shares.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on the company. Barclays raised Cactus from an "equal weight" rating to an "overweight" rating and upped their price target for the company from $51.00 to $54.00 in a research note on Wednesday. Stifel Nicolaus decreased their price target on shares of Cactus from $61.00 to $57.00 and set a "buy" rating for the company in a research note on Friday, May 2nd. Finally, JPMorgan Chase & Co. dropped their target price on Cactus from $52.00 to $50.00 and set a "neutral" rating on the stock in a report on Wednesday, May 28th. One analyst has rated the stock with a sell rating, three have issued a hold rating and two have given a buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $52.50.

Cactus Stock Up 1.7%

The firm has a market cap of $3.65 billion, a price-to-earnings ratio of 16.20, a P/E/G ratio of 5.13 and a beta of 1.49. The firm has a fifty day simple moving average of $40.32 and a 200-day simple moving average of $51.78. The company has a debt-to-equity ratio of 0.01, a quick ratio of 2.67 and a current ratio of 3.82.

Cactus (NYSE:WHD - Get Free Report) last released its quarterly earnings results on Wednesday, April 30th. The company reported $0.73 EPS for the quarter, topping analysts' consensus estimates of $0.70 by $0.03. Cactus had a net margin of 16.57% and a return on equity of 20.24%. The business had revenue of $280.32 million for the quarter, compared to analyst estimates of $272.22 million. During the same period last year, the firm earned $0.75 earnings per share. Cactus's revenue for the quarter was up 2.3% compared to the same quarter last year. As a group, sell-side analysts expect that Cactus, Inc. will post 3.08 EPS for the current year.

Cactus Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, June 20th. Stockholders of record on Monday, June 2nd will be issued a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a dividend yield of 1.14%. The ex-dividend date of this dividend is Monday, June 2nd. Cactus's dividend payout ratio (DPR) is currently 18.51%.

Hedge Funds Weigh In On Cactus

Hedge funds and other institutional investors have recently made changes to their positions in the company. Rhumbline Advisers lifted its position in shares of Cactus by 0.7% during the 1st quarter. Rhumbline Advisers now owns 195,038 shares of the company's stock worth $8,939,000 after buying an additional 1,270 shares during the last quarter. Strs Ohio acquired a new position in Cactus during the 1st quarter worth about $5,215,000. Intech Investment Management LLC boosted its holdings in Cactus by 40.5% in the first quarter. Intech Investment Management LLC now owns 36,205 shares of the company's stock valued at $1,659,000 after acquiring an additional 10,444 shares during the last quarter. Jane Street Group LLC boosted its stake in shares of Cactus by 482.7% in the 1st quarter. Jane Street Group LLC now owns 238,879 shares of the company's stock valued at $10,948,000 after purchasing an additional 197,887 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Cactus by 26.0% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 226,931 shares of the company's stock worth $10,400,000 after acquiring an additional 46,835 shares during the period. 85.11% of the stock is currently owned by institutional investors and hedge funds.

About Cactus

Cactus, Inc, together with its subsidiaries, designs, manufactures, sells, and leases pressure control and spoolable pipes in the United States, Australia, Canada, the Middle East, and internationally. It operates through two segments, Pressure Control and Spoolable Technologies. The Pressure Control segment designs, manufactures, sells, and rents a range of wellhead and pressure control equipment under the Cactus Wellhead brand name through service centers.