NYSE:WHD—A High-Growth Stock Gearing Up for Its Next Upward Move.

In this article we will dive into CACTUS INC - A (NYSE:WHD) as a possible candidate for growth investing. Investors should always do their own research, but we noticed CACTUS INC - A showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

Understanding NYSE:WHD's Growth

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NYSE:WHD, the assigned 9 reflects its growth potential:

• The Earnings Per Share has grown by an impressive 88.74% over the past year.
• Measured over the past years, WHD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.10% on average per year.
• WHD shows a strong growth in Revenue. In the last year, the Revenue has grown by 60.17%.
• WHD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.07% yearly.
• WHD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.36% yearly.
• WHD is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 23.00% yearly.
• The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
• The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Assessing Health Metrics for NYSE:WHD

ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For NYSE:WHD, the assigned 7 for health provides valuable insights:

• An Altman-Z score of 5.05 indicates that WHD is not in any danger for bankruptcy at the moment.
• WHD has a Altman-Z score of 5.05. This is amongst the best in the industry. WHD outperforms 90.77% of its industry peers.
• WHD has a debt to FCF ratio of 0.07. This is a very positive value and a sign of high solvency as it would only need 0.07 years to pay back of all of its debts.
• Looking at the Debt to FCF ratio, with a value of 0.07, WHD belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
• WHD has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
• With an excellent Debt to Equity ratio value of 0.01, WHD belongs to the best of the industry, outperforming 86.15% of the companies in the same industry.
• A Current Ratio of 2.78 indicates that WHD has no problem at all paying its short term obligations.
• Looking at the Current ratio, with a value of 2.78, WHD is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
• Looking at the Quick ratio, with a value of 1.63, WHD is in the better half of the industry, outperforming 61.54% of the companies in the same industry.

Profitability Examination for NYSE:WHD

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NYSE:WHD has earned a 8 out of 10:

• Looking at the Return On Assets, with a value of 10.33%, WHD belongs to the top of the industry, outperforming 87.69% of the companies in the same industry.
• With a decent Return On Equity value of 18.43%, WHD is doing good in the industry, outperforming 80.00% of the companies in the same industry.
• WHD's Return On Invested Capital of 15.64% is amongst the best of the industry. WHD outperforms 87.69% of its industry peers.
• The last Return On Invested Capital (15.64%) for WHD is above the 3 year average (10.11%), which is a sign of increasing profitability.
• WHD has a Profit Margin of 14.98%. This is amongst the best in the industry. WHD outperforms 89.23% of its industry peers.
• The Operating Margin of WHD (23.17%) is better than 90.77% of its industry peers.
• Looking at the Gross Margin, with a value of 36.39%, WHD is in the better half of the industry, outperforming 67.69% of the companies in the same industry.

Why is NYSE:WHD a setup?

Besides the Technical Rating, ChartMill also assign a Setup Rating to every stock. This setup score also ranges from 0 to 10 and determines to which extend the stock is consolidating. This is achieved by evaluating multiple short term technical indicators. NYSE:WHD currently has a 7 as setup rating:

WHD has a bad technical rating, but it does show a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is very little resistance above the current price. There is a support zone below the current price at 43.15, a Stop Loss order could be placed below this zone.

Our Strong Growth screener lists more Strong Growth stocks and is updated daily.

For an up to date full fundamental analysis you can check the fundamental report of WHD

Check the latest full technical report of WHD for a complete technical analysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.