Cactus, Inc. (NYSE:WHD) Stock Has Consensus Target Price of $74.75

Key Points

• Analyst sentiment is moderately positive: Cactus has a “Moderate Buy” consensus from six analysts, with an average 12-month price target of $74.75.
• Quarterly earnings beat expectations: Cactus reported EPS of $0.96 versus the $0.77 consensus, while revenue of $430.89 million fell short of estimates but rose 63.2% year over year.
• Company insiders have been selling shares: Insiders sold 300,000 shares worth $19.6 million over the past three months; meanwhile, Cactus declared a quarterly dividend of $0.15 per share.

Cactus, Inc. (NYSE:WHD - Get Free Report) has been assigned an average rating of "Moderate Buy" from the six research firms that are covering the firm, Marketbeat Ratings reports. Three investment analysts have rated the stock with a hold recommendation and three have given a buy recommendation to the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $74.75.

A number of analysts have recently weighed in on WHD shares. Barclays increased their price objective on Cactus from $74.00 to $75.00 and gave the company an "overweight" rating in a research note on Thursday, October 15th. Stifel Nicolaus boosted their price target on shares of Cactus from $68.00 to $72.00 and gave the company a "buy" rating in a research report on Friday, July 31st. Piper Sandler increased their price target on shares of Cactus from $75.00 to $78.00 and gave the stock an "overweight" rating in a research note on Tuesday, November 3rd. Citigroup upped their price target on Cactus from $73.00 to $74.00 and gave the stock a "neutral" rating in a research note on Tuesday, November 3rd. Finally, Wall Street Zen cut shares of Cactus from a "buy" rating to a "hold" rating in a research report on Saturday, October 31st.

Insider Buying and Selling at Cactus

In related news, CEO Scott Bender sold 100,000 shares of the company's stock in a transaction on Monday, November 2nd. The shares were sold at an average price of $63.91, for a total transaction of $6,391,000.00. Following the completion of the transaction, the chief executive officer owned 120,527 shares in the company, valued at approximately $7,702,880.57. This represents a 45.35% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, President Joel Bender sold 100,000 shares of the company's stock in a transaction on Tuesday, September 1st. The shares were sold at an average price of $70.37, for a total transaction of $7,037,000.00. Following the sale, the president directly owned 41,519 shares in the company, valued at approximately $2,921,692.03. The trade was a 70.66% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 300,000 shares of company stock worth $19,625,000 over the last three months. Insiders own 12.91% of the company's stock.

Institutional Trading of Cactus

Large investors have recently modified their holdings of the company. First Trust Advisors LP lifted its stake in Cactus by 13.7% in the first quarter. First Trust Advisors LP now owns 2,090,619 shares of the company's stock worth $99,033,000 after acquiring an additional 251,283 shares during the last quarter. Dimensional Fund Advisors LP grew its stake in shares of Cactus by 3.0% during the first quarter. Dimensional Fund Advisors LP now owns 1,821,142 shares of the company's stock worth $86,266,000 after purchasing an additional 53,576 shares in the last quarter. Jennison Associates LLC grew its stake in shares of Cactus by 202.3% during the first quarter. Jennison Associates LLC now owns 1,713,701 shares of the company's stock worth $81,178,000 after purchasing an additional 1,146,766 shares in the last quarter. Encompass Capital Advisors LLC purchased a new position in Cactus in the first quarter valued at $36,262,000. Finally, Bank of America Corp DE increased its holdings in Cactus by 34.8% in the first quarter. Bank of America Corp DE now owns 659,889 shares of the company's stock valued at $31,259,000 after buying an additional 170,534 shares during the last quarter. Hedge funds and other institutional investors own 85.11% of the company's stock.

Cactus Stock Performance

Shares of WHD opened at $58.20 on Monday. The company has a current ratio of 3.06, a quick ratio of 2.10 and a debt-to-equity ratio of 0.01. The company has a market capitalization of $4.67 billion, a price-to-earnings ratio of 40.42, a PEG ratio of 1.48 and a beta of 1.38. The stock has a 50 day moving average of $65.01 and a 200 day moving average of $58.50. Cactus has a 12 month low of $39.16 and a 12 month high of $74.07.

Cactus (NYSE:WHD - Get Free Report) last released its quarterly earnings results on Wednesday, October 28th. The company reported $0.96 earnings per share for the quarter, beating the consensus estimate of $0.77 by $0.19. The firm had revenue of $430.89 million for the quarter, compared to analysts' expectations of $437.94 million. Cactus had a return on equity of 17.93% and a net margin of 6.69%. The company's revenue was up 63.2% compared to the same quarter last year. During the same quarter last year, the firm posted $0.67 EPS. As a group, sell-side analysts forecast that Cactus will post 3.22 earnings per share for the current year.

Cactus Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 17th. Stockholders of record on Monday, November 30th will be paid a $0.15 dividend. The ex-dividend date is Monday, November 30th. This represents a $0.60 annualized dividend and a dividend yield of 1.0%. Cactus's payout ratio is currently 41.67%.

Cactus Company Profile

Cactus, Inc designs, manufactures, sells and rents wellhead and pressure-control equipment used in oil and natural gas drilling and production. Its products include wellhead systems, frac trees and other equipment that help control pressure and manage the flow of fluids at the wellsite.

The company also provides field services, including equipment installation, maintenance and support. Through its Spoolable Technologies business, Cactus offers flexible, spoolable pipe products for energy and other industrial applications.

Founded in 2011 and headquartered in Houston, Texas, Cactus serves customers in North America and international markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.