Bedrijfsoverzicht
Cactus, Inc. is a specialized manufacturer and distributor that designs, produces, sells, and rents engineered pressure control and spoolable pipe technologies, with operational presence in the United States, Australia, Canada, the Middle East, and other international markets. The company operates within the Energy sector, specifically targeting the Oil & Gas Equipment & Services industry, where it provides critical infrastructure solutions for upstream and midstream energy operations. This entity maintains a substantial workforce of 1500 employees, supporting its extensive manufacturing and rental capabilities across its global footprint. With a market capitalization of $3.77 billion and annual revenue reaching $1.08 billion, Cactus, Inc. positions itself as a significant player in the energy equipment supply chain, indicating a large-scale operation that commands significant market resources and investor attention.
Financiële gezondheid
Cactus, Inc. reported total revenue of $1.08 billion for the trailing twelve months, generating net income of $166.01 million and EBITDA of $330.42 million, highlighting a substantial difference between operational earnings before interest and taxes and the final bottom-line profit that reflects the company's tax burden, interest expenses, and non-operating costs. The gap between the $1.08 billion revenue and the $166.01 million net income reveals a cost structure where operating expenses, depreciation, and amortization absorb a significant portion of top-line growth before reaching the net income figure. However, the company's free cash flow stands at -$194,739,008, which indicates a negative cash generation from operations after capital expenditures, suggesting a need for careful management of capital outlays or working capital to maintain financial flexibility. Despite the negative free cash flow, the company holds $123.57 million in cash while carrying only $37.75 million in debt, resulting in a debt-to-equity ratio of 2.63 that suggests a moderately leveraged balance sheet rather than a highly conservative one. The company benefits from a robust liquidity position with a current ratio of 5.81, indicating that its current assets are more than five times its current liabilities, which provides a strong buffer against short-term obligations. In terms of efficiency and capital allocation, the Return on Equity stands at 15.0% while the Return on Assets is 8.7%, metrics that reveal management's effectiveness in generating returns on shareholder investments and utilizing the total asset base to drive profitability.
Waarderingsbeoordeling
The stock carries a trailing twelve-month P/E ratio of 22.36 and a forward P/E of 16.24, implying that the market expects earnings growth that will significantly lower the valuation multiple over the next year, as the forward multiple is substantially lower than the historical average. The price-to-book ratio is recorded at 3.05, which indicates that the market values the company at more than three times its book value, suggesting a premium pricing for its intangible assets, brand strength, or growth prospects relative to its tangible net worth. Alternative valuation metrics show a price-to-sales ratio of 3.50 and an EV/EBITDA of 11.70, figures that suggest the company is valued at a moderate-to-high premium compared to historical averages but aligns with high-margin industrial peers in the energy equipment space. Regarding price volatility, the stock has a 52-week high of $59.25 and a 52-week low of $33.20, and without a specific current share price provided in the facts, the valuation range defines the trading band within which the asset has fluctuated over the past year. The beta value is 1.32, meaning the stock exhibits 32% higher volatility than the broader market, indicating that price movements in Cactus, Inc. tend to amplify those of the overall equity index, particularly during periods of market stress or sector-specific news.
Growth & Income
For the trailing twelve months, revenue growth declined by -4.0% year-over-year while earnings growth contracted by -15.4%, indicating that earnings are shrinking at a faster rate than revenue, which typically implies rising cost pressures, margin compression, or inefficiencies in the cost structure that are outpacing top-line declines. The company offers a dividend yield of 1.0% with a payout ratio of 22.4%, a figure that suggests the dividend is highly sustainable as it covers the payout with a large margin of safety relative to current earnings and cash flows. Given the negative revenue growth and declining earnings, the payout ratio remains manageable, but the negative free cash flow of nearly $200 million requires scrutiny regarding the sustainability of the dividend if cash burn continues to widen without improvement in operational cash conversion. The overall growth and income profile currently reflects a mature or cyclical phase characterized by earnings contraction and moderate dividend income, rather than a high-growth reinvestment phase, positioning the asset primarily as an income-oriented holding within the energy equipment sector rather than a capital appreciation vehicle.