USA Compression Partners, LP (USAC) vs Cactus, Inc. (WHD)

USA Compression Partners, LP and Cactus, Inc. are both Oil & Gas Equipment & Services companies. Cactus, Inc. is the larger, with a market value of $5.2B against $3.7B — 1.4× the size. USA Compression Partners, LP trades at the lower P/E: 23.9× against 54.0×. Cactus, Inc. grew revenue faster over the last twelve months: 21.8% against 19.9%. USA Compression Partners, LP has the higher net margin (12.3% vs 6.01%) and the lower return on invested capital (6.84% vs 14.4%). Both pay a dividend; USA Compression Partners, LP yields more (8.57% vs 1.07%). Across the 23 metrics below, USA Compression Partners, LP leads on 14 and Cactus, Inc. on 9.

Valuation

Metric USAC WHD Oil & Gas Equipment & Services median
P/E 23.87 54.02 24.78
P/S 3.15 3.28 1.28
P/B 12.90 3.06 1.85
Price to free cash flow 11.85 13.55 15.03
EV/EBITDA 9.74 11.41 8.93
EV/Sales 5.64 3.03 1.40
Earnings yield 4.19% 1.85% 3.12%
Free cash flow yield 8.44% 7.38% 5.01%

Profitability

Metric USAC WHD Oil & Gas Equipment & Services median
Gross margin 65.70% 33.23% 23.27%
Operating margin 29.95% 18.65% 9.34%
Net margin 12.27% 6.01% 4.69%
Free cash flow margin 26.57% 24.19% 5.05%
Return on equity 174.21% 5.82% 4.92%
Return on assets 4.54% 3.71% 2.37%
Return on invested capital 6.84% 14.36% 4.32%

Growth

Metric USAC WHD Oil & Gas Equipment & Services median
Revenue growth (TTM) 19.87% 21.79% 6.08%
EPS growth (last fiscal year) 18.06% (13.00%) —
Revenue growth, 5-year CAGR 8.37% 25.36% 10.60%
Net income growth, 5-year CAGR 0.00% 36.96% 0.00%

Health

Metric USAC WHD Oil & Gas Equipment & Services median
Debt to equity 10.25 0.01 0.46
Current ratio 1.35 2.59 2.11
Net debt to EBITDA 4.14 (1.54) 0.76

Dividend

Metric USAC WHD Oil & Gas Equipment & Services median
Dividend yield 8.57% 1.07% 2.12%
Payout ratio — 0.22 0.00

Size

Metric USAC WHD Oil & Gas Equipment & Services median
Market cap 3.70b 5.23b 1.81b

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