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Cactus (WHD) Valuation Check After Recent Share Price Momentum And Mixed Longer Term Returns

Simply Wall St · 4d ago

Cactus (WHD) has drawn attention after recent share price moves, with the stock up around 3% over the past week and about 2% over the past month. This has prompted fresh questions about its valuation.

See our latest analysis for Cactus.

That recent 2.96% 1 day share price return and 29.06% 90 day share price return come against a 1 year total shareholder return of 20.56% decline. This suggests short term momentum has picked up even as longer term performance remains mixed in the context of current valuation debates.

If Cactus has caught your eye, it can be useful to compare it with other energy exposed manufacturers and services names by scanning fast growing stocks with high insider ownership for ideas with strong growth and insider alignment.

With Cactus trading at $47.03, an indicated intrinsic discount of about 42% and a price target not far above the current level, the key question is whether you are seeing a genuine value gap or a market that already reflects future growth.

Most Popular Narrative: 3.3% Undervalued

With Cactus last closing at $47.03 versus a narrative fair value of $48.63, the gap is modest but built on detailed cash flow assumptions.

The analysts have a consensus price target of $49.625 for Cactus based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $56.0 and the most bearish reporting a price target of just $39.0.

Read the complete narrative.

Want to see what sits behind that tight valuation range? Revenue stepping up, margins easing, and a future earnings multiple doing most of the heavy lifting. Curious which assumption matters most?

Result: Fair Value of $48.63 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, this hinges on drilling activity and acquisitions holding up; tariff shocks or weaker U.S. land demand could quickly pressure both revenue and margins.

Find out about the key risks to this Cactus narrative.

Build Your Own Cactus Narrative

If you look at the numbers and reach a different conclusion, or simply prefer to test your own assumptions, you can build a full narrative in just a few minutes with Do it your way.

A good starting point is our analysis highlighting 2 key rewards investors are optimistic about regarding Cactus.

Looking for more investment ideas?

Do not stop with one stock when a wider watchlist could surface opportunities you would otherwise miss. Give yourself options and let the numbers guide you.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.