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Cactus Financial Strength

: 8 (As of Jun. 2022)
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Cactus has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Cactus Inc shows strong financial strength.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate Cactus's interest coverage with the available data. Cactus's debt to revenue ratio for the quarter that ended in Jun. 2022 was 0.05. As of today, Cactus's Altman Z-Score is 6.02.


Competitive Comparison

For the Oil & Gas Equipment & Services subindustry, Cactus's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Cactus Financial Strength Distribution

For the Oil & Gas industry and Energy sector, Cactus's Financial Strength distribution charts can be found below:

* The bar in red indicates where Cactus's Financial Strength falls into.



Cactus Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Cactus's Interest Expense for the months ended in Jun. 2022 was $0.0 Mil. Its Operating Income for the months ended in Jun. 2022 was $44.2 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $22.8 Mil.

Cactus's Interest Coverage for the quarter that ended in Jun. 2022 is

GuruFocus does not calculate Cactus's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Cactus Inc has enough cash to cover all of its debt. Its financial situation is stable.

2. Debt to revenue ratio. The lower, the better.

Cactus's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(10.883 + 22.772) / 680.86
=0.05

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Cactus has a Z-score of 6.02, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 6.02 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Cactus  (NYSE:WHD) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Cactus has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.


Cactus Financial Strength Related Terms

Thank you for viewing the detailed overview of Cactus's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Cactus Business Description

Cactus logo
Traded in Other Exchanges
Address
920 Memorial City Way, Suite 300, Houston, TX, USA, 77024
Cactus Inc is primarily engaged in the designing, manufacturing, and sale of wellheads and pressure control equipment. Its principal products include Cactus SafeDrill wellhead systems, frac stacks, zipper manifolds, and production trees. The company also provides mission-critical field services, including service crews to assist with the installation, maintenance, and safe handling of the wellhead and pressure control equipment, as well as repair services for equipment that it sells or rents. It sells or rents its products principally for onshore unconventional oil and gas wells that are utilized during the drilling, completion (including fracturing), and production. It generates most of its revenue through the sale of wellhead systems, rental income, field service and other activities.
Executives
Marsh William D officer: GC, VP of Admin. and Secretary 2929 ALLEN PARKWAY SUITE 2100 HOUSTON TX 77019
Tombar Tymothi O. director 2713 CRAWFORD ST. HOUSTON TX 77004
Law Melissa director 920 MEMORIAL CITY WAY SUITE 300 HOUSTON TX 77024
Anderson Donna L officer: Chief Accounting Officer 10811 S. WESTVIEW CIRCLE DRIVE BUILDING C, SUITE 100 HOUSTON TX 77043
Isaac David John officer: GC and VP of Administration 920 MEMORIAL CITY WAY SUITE 300 HOUSTON TX 77024
Cactus Wh Enterprises, Llc 10 percent owner ONE GREENWAY PLAZA SUITE 200 HOUSTON TX 77046
Cadent Energy Partners, Llc director 4 HIGH RIDGE PARK #303 STAMFORD CT 06905
Rothstein Bruce M director 800 WESTCHESTER AVENUE SUITE 617 NORTH RYE BROOK NY 10573
Cep Ii-gp, Llc director 4 HIGH RIDGE PARK #303 STAMFORD CT 06905
Cadent Energy Partners Ii-gp, Lp director 4 HIGH RIDGE PARK #303 STAMFORD CT 06905
Cadent Energy Partners Ii Lp director 800 WESTCHESTER AVENUE SUITE 617 NORTH RYE BROOK NY 10573
Small Brian officer: Chief Financial Officer ONE GREENWAY PLAZA SUITE 200 HOUSTON TX 77046
Tadlock Stephen officer: VP of Corporate Services COBALT CENTER 920 MEMORIAL CITY WAY SUITE 300 HOUSTON TX 77024
Semple Alan director ONE GREENWAY PLAZA SUITE 200 HOUSTON TX 77046
Bender Steven officer: VP of Operations ONE GREENWAY PLAZA SUITE 200 HOUSTON TX 77046

Cactus Headlines

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