Cactus (NYSE:WHD) Posts Earnings Results, Beats Estimates By $0.05 EPS
by Teresa Graham · The Cerbat GemCactus (NYSE:WHD – Get Free Report) announced its earnings results on Thursday. The company reported $0.70 earnings per share for the quarter, topping analysts’ consensus estimates of $0.65 by $0.05, FiscalAI reports. The company had revenue of $388.35 million for the quarter, compared to analyst estimates of $380.42 million. Cactus had a return on equity of 15.18% and a net margin of 15.39%.The firm’s quarterly revenue was up 38.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.73 earnings per share.
Here are the key takeaways from Cactus’ conference call:
- Management raised the expected annualized synergies from the Cactus International acquisition to $15 million (from $10 million) and says the organizational cost actions to realize those savings are complete, with supply‑chain savings targeted to materialize in the second half of 2027.
- The conflict in the Middle East has delayed shipments, reduced backlog in the region and is expected to keep pressure control revenues roughly flat in Q2 with segment adjusted EBITDA margins of ~22%–24%, while logistics costs and lower manufacturing absorption weigh on near‑term results.
- Spoolable Technologies outperformed in Q1 with record non‑U.S. revenues and management expects mid‑single digit revenue growth in Q2 and adjusted EBITDA margins of ~36%–38%, driven by improving international bookings and stronger North American activity.
- Q1 highlights: total revenue $388 million, adjusted EBITDA $100 million (25.8% margin), adjusted EPS $0.70, and cash of $292 million — which includes $98 million earmarked for legal entity restructurings with Baker Hughes and reflected as a related payable.
- Tariff exposure remains a meaningful headwind (currently paying a 75% tariff on most China imports); a tentative API approval for the Vietnam facility should lower tariffs on some imports to 50%, but any tariff refunds are uncertain and timing/amounts remain unclear.
Cactus Price Performance
Shares of WHD traded up $1.63 during midday trading on Thursday, hitting $56.14. The company’s stock had a trading volume of 935,742 shares, compared to its average volume of 775,793. Cactus has a one year low of $33.20 and a one year high of $59.25. The company’s fifty day simple moving average is $51.13 and its two-hundred day simple moving average is $49.15. The company has a quick ratio of 4.13, a current ratio of 5.81 and a debt-to-equity ratio of 0.01. The stock has a market capitalization of $4.48 billion, a price-to-earnings ratio of 23.39, a price-to-earnings-growth ratio of 2.08 and a beta of 1.37.
Wall Street Analysts Forecast Growth
A number of equities analysts have recently weighed in on WHD shares. Wall Street Zen lowered Cactus from a “buy” rating to a “hold” rating in a research note on Saturday, March 21st. Piper Sandler began coverage on Cactus in a research note on Tuesday, February 24th. They set an “overweight” rating and a $73.00 price objective on the stock. Citigroup raised their price objective on Cactus from $55.00 to $63.00 and gave the stock a “buy” rating in a research note on Tuesday, March 3rd. Barclays raised their price objective on Cactus from $56.00 to $62.00 and gave the stock an “overweight” rating in a research note on Monday, March 2nd. Finally, Zacks Research lowered Cactus from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 26th. Four investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $56.33.
Check Out Our Latest Research Report on WHD
Insider Activity
In other news, President Joel Bender sold 106,809 shares of Cactus stock in a transaction on Tuesday, March 10th. The stock was sold at an average price of $49.92, for a total value of $5,331,905.28. Following the transaction, the president owned 27,793 shares in the company, valued at approximately $1,387,426.56. This trade represents a 79.35% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In the last 90 days, insiders sold 200,000 shares of company stock valued at $10,039,080. Company insiders own 12.91% of the company’s stock.
Institutional Investors Weigh In On Cactus
Hedge funds have recently modified their holdings of the company. Maryland State Retirement & Pension System grew its position in Cactus by 2.1% during the 4th quarter. Maryland State Retirement & Pension System now owns 10,066 shares of the company’s stock worth $460,000 after acquiring an additional 208 shares during the last quarter. CANADA LIFE ASSURANCE Co grew its position in Cactus by 0.5% during the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 57,938 shares of the company’s stock worth $2,532,000 after acquiring an additional 269 shares during the last quarter. California State Teachers Retirement System grew its position in Cactus by 0.5% during the 2nd quarter. California State Teachers Retirement System now owns 66,538 shares of the company’s stock worth $2,909,000 after acquiring an additional 306 shares during the last quarter. Aster Capital Management DIFC Ltd grew its position in Cactus by 73.4% during the 4th quarter. Aster Capital Management DIFC Ltd now owns 742 shares of the company’s stock worth $34,000 after acquiring an additional 314 shares during the last quarter. Finally, Advisors Asset Management Inc. grew its position in Cactus by 113.8% during the 1st quarter. Advisors Asset Management Inc. now owns 1,020 shares of the company’s stock worth $47,000 after acquiring an additional 543 shares during the last quarter. Institutional investors and hedge funds own 85.11% of the company’s stock.
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. Its products are sold and rented primarily for onshore unconventional oil and gas wells for drilling, completion, and production phases of the wells.