HOUSTON - Cactus, Inc.(NYSE: WHD) (Cactus), a leading provider of wellhead and pressure control equipment, has announced that its Board of Directors has approved the payment of a quarterly cash dividend of $0.12 per share of Class A common stock.The dividend will be paid on March 14, 2024, to holders of record of Class A common stock as of February 26, 2024.In addition, holders of CC Units of Cactus Companies, LLC will receive a corresponding distribution of up to $0.12 per unit.
As of the writing of this article, Cactus Inc’s 12 Months dividend pay-out ratio decreased to 19.47% in the third quarter of 2023.This decline is not surprising, considering the company’s increase in earnings per share during the same period.Furthermore, the pay-out ratio remains below WHD’s average, raising the question of whether Cactus Inc will increase its dividend in the near future.
When comparing Cactus Inc’s performance to its peers in the Basic Materials sector, it is evident that 74 companies had a higher 12 Months dividend pay-out ratio.However, Cactus Inc ranks higher than 1013 in the second quarter of 2023 when compared to all other companies.
Considering these facts, it is clear that Cactus Inc’s decision to pay a quarterly dividend showcases its commitment to rewarding its shareholders.While the current pay-out ratio may be lower than some competitors, it is important to note that the company’s earnings continue to rise steadily.This raises hopes that Cactus Inc may increase its dividend in the coming quarters.
With their strong position in the industry and consistent growth, Cactus Inc remains a promising investment for shareholders.
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