Cactus (NYSE:WHD) Trading Down 4% After Analyst Downgrade

Cactus, Inc. (NYSE:WHD) dropped 4% during mid-day trading on Wednesday after Barclays lowered their price target on the stock from $60.00 to $57.00. Barclays currently has an overweight rating on the stock. Cactus traded as low as $44.00 and last traded at $44.07. Approximately 254,053 shares were traded during mid-day trading, a decline of 53% from the average daily volume of 542,622 shares. The stock had previously closed at $45.89.

WHD has been the topic of several other research reports. Citigroup lifted their target price on Cactus from $40.00 to $52.00 and gave the company a “neutral” rating in a research note on Tuesday, July 18th. Stifel Nicolaus lifted their target price on Cactus from $61.00 to $68.00 in a research note on Thursday, August 10th. JPMorgan Chase & Co. started coverage on Cactus in a research report on Wednesday, September 13th. They set a “neutral” rating and a $60.00 price target on the stock. Benchmark reiterated a “buy” rating and set a $60.00 price target on shares of Cactus in a research report on Tuesday, August 8th. Finally, Bank of America cut Cactus from a “neutral” rating to an “underperform” rating and lifted their price target for the company from $46.00 to $47.00 in a research report on Monday, October 16th. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and two have issued a buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $57.00.

Insider Activity

In related news, Director John A. Odonnell sold 27,508 shares of Cactus stock in a transaction on Monday, August 21st. The stock was sold at an average price of $50.95, for a total value of $1,401,532.60. Following the transaction, the director now directly owns 20,313 shares in the company, valued at approximately $1,034,947.35. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other news, President Joel Bender sold 141,300 shares of Cactus stock in a transaction on Friday, September 8th. The stock was sold at an average price of $55.41, for a total transaction of $7,829,433.00. Following the transaction, the president now owns 114,982 shares in the company, valued at $6,371,152.62. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director John A. Odonnell sold 27,508 shares of Cactus stock in a transaction on Monday, August 21st. The shares were sold at an average price of $50.95, for a total value of $1,401,532.60. Following the transaction, the director now owns 20,313 shares in the company, valued at approximately $1,034,947.35. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 298,870 shares of company stock worth $16,514,803. 17.72% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the business. Penserra Capital Management LLC purchased a new position in shares of Cactus during the third quarter valued at $1,690,000. Townsquare Capital LLC grew its holdings in shares of Cactus by 14.7% during the third quarter. Townsquare Capital LLC now owns 35,869 shares of the company’s stock valued at $1,801,000 after buying an additional 4,610 shares in the last quarter. The Manufacturers Life Insurance Company grew its holdings in shares of Cactus by 26.3% during the third quarter. The Manufacturers Life Insurance Company now owns 33,342 shares of the company’s stock valued at $1,674,000 after buying an additional 6,943 shares in the last quarter. Royal Bank of Canada grew its holdings in shares of Cactus by 18.0% during the third quarter. Royal Bank of Canada now owns 33,565 shares of the company’s stock valued at $1,685,000 after buying an additional 5,125 shares in the last quarter. Finally, JPMorgan Chase & Co. boosted its position in Cactus by 4.8% during the third quarter. JPMorgan Chase & Co. now owns 2,378,095 shares of the company’s stock valued at $119,404,000 after purchasing an additional 108,905 shares during the last quarter. Hedge funds and other institutional investors own 85.11% of the company’s stock.

Cactus Trading Down 5.2 %

The stock has a market cap of $3.46 billion, a price-to-earnings ratio of 18.84, a PEG ratio of 1.50 and a beta of 2.03. The company has a quick ratio of 1.63, a current ratio of 2.78 and a debt-to-equity ratio of 0.01. The business has a 50-day moving average of $48.92 and a 200-day moving average of $45.67.

Cactus (NYSE:WHD) last released its quarterly earnings data on Wednesday, November 8th. The company reported $0.80 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.81 by ($0.01). The firm had revenue of $287.80 million for the quarter, compared to analyst estimates of $288.20 million. Cactus had a net margin of 14.97% and a return on equity of 23.99%. Cactus’s revenue for the quarter was up 56.0% on a year-over-year basis. During the same period in the previous year, the business posted $0.52 EPS. As a group, research analysts forecast that Cactus, Inc. will post 3.12 earnings per share for the current year.

Cactus Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 14th. Investors of record on Monday, November 27th will be given a dividend of $0.12 per share. The ex-dividend date of this dividend is Friday, November 24th. This represents a $0.48 dividend on an annualized basis and a yield of 1.10%. Cactus’s payout ratio is 20.78%.

Cactus Company Profile

Cactus, Inc designs, manufactures, and sells a range of wellheads and pressure control equipment in the United States, Australia, China, and the Kingdom of Saudi Arabia. The company's principal products include Cactus SafeDrill wellhead systems, Cactus SafeLink monobore, SafeClamp, and SafeInject systems, as well as frac stacks, zipper manifolds, and production trees.