Halliburton Company (HAL) vs Cactus, Inc. (WHD)

Halliburton Company and Cactus, Inc. are both Oil & Gas Equipment & Services companies. Halliburton Company is the larger, with a market value of $26.4B against $4.4B — 6.0× the size. Halliburton Company trades at the lower P/E: 13.4× against 37.6×. Cactus, Inc. grew revenue faster over the last twelve months: 40.4% against 1.53%. Halliburton Company has the higher net margin (8.90% vs 6.69%) and the lower return on invested capital (10.7% vs 15.1%). Both pay a dividend; Halliburton Company yields more (2.12% vs 1.03%). Across the 23 metrics below, Cactus, Inc. leads on 13 and Halliburton Company on 10.

Valuation

Metric HAL WHD Oil & Gas Equipment & Services median
P/E 13.41 37.56 20.53
P/S 1.19 2.52 1.08
P/B 2.39 2.52 1.64
Price to free cash flow 14.62 13.85 12.36
EV/EBITDA 7.98 8.74 8.00
EV/Sales 1.42 2.31 1.29
Earnings yield 7.46% 2.66% 3.88%
Free cash flow yield 6.84% 7.22% 5.18%

Profitability

Metric HAL WHD Oil & Gas Equipment & Services median
Gross margin 14.94% 33.51% 22.88%
Operating margin 12.58% 18.76% 7.44%
Net margin 8.90% 6.69% 4.12%
Free cash flow margin 8.11% 18.21% 3.10%
Return on equity 18.69% 7.00% 5.46%
Return on assets 7.81% 4.61% 2.63%
Return on invested capital 10.72% 15.12% 4.26%

Growth

Metric HAL WHD Oil & Gas Equipment & Services median
Revenue growth (TTM) 1.53% 40.37% 4.65%
EPS growth (last fiscal year) (47.00%) (13.00%) (13.00%)
Revenue growth, 5-year CAGR 8.96% 25.36% 12.57%
Net income growth, 5-year CAGR 0.00% 36.96% 0.00%

Health

Metric HAL WHD Oil & Gas Equipment & Services median
Debt to equity 0.64 0.01 0.44
Current ratio 2.02 3.06 2.04
Net debt to EBITDA 1.46 (1.54) 1.12

Dividend

Metric HAL WHD Oil & Gas Equipment & Services median
Dividend yield 2.12% 1.03% 1.49%
Payout ratio 0.28 0.40 0.36

Size

Metric HAL WHD Oil & Gas Equipment & Services median
Market cap 26.40b 4.42b 1.44b

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