Is Cactus, Inc. (WHD) Halal?

NYSE Energy United States $3.3B
✓ HALAL
Confidence: 95/100
Cactus, Inc. (WHD) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 1.1% against the AAOIFI threshold of 30%, Cactus, Inc. comfortably passes the key financial ratio tests. The company operates in the Energy sector (Oil & Gas Equipment & Services), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 1.1%
/ 30%
3.6%
/ 30%
4.8%
/ 30%
1.42%
/ 5%
✓ HALAL
DJIM 1.1%
/ 33%
3.6%
/ 33%
4.8%
/ 33%
1.42%
/ 5%
✓ HALAL
MSCI 2.0%
/ 33%
6.6%
/ 33%
8.8%
/ 33%
1.42%
/ 5%
✓ HALAL
S&P 1.1%
/ 33%
3.6%
/ 33%
4.8%
/ 33%
1.42%
/ 5%
✓ HALAL
FTSE 2.0%
/ 33%
6.6%
/ 33%
8.8%
/ 50%
1.42%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
20.1
Forward: 14.0
EPS
$2.41
Dividend Yield
116.0%
Payout: 22.4%
P/B Ratio
2.7
EV/EBITDA
10.5
EV: $3.5B
Revenue
$1.1B
Growth: -4.0%
Beta
1.3
High volatility
Current Ratio
5.8

Profitability

Gross Margin 37.0%
Operating Margin 22.9%
Net Margin 15.4%
Return on Equity (ROE) 15.0%
Return on Assets (ROA) 8.7%

Cash Flow & Balance Sheet

Operating Cash Flow$258M
Free Cash Flow$220M
Total Debt$38M
Debt-to-Equity2.6
Current Ratio5.8
Total Assets$1.9B

Price & Trading

Last Close$48.81
50-Day MA$53.03
200-Day MA$45.30
Avg Volume1.0M
Beta1.3
52-Week Range
$33.20
$59.25

About Cactus, Inc. (WHD)

CEO
Mr. Scott J. Bender
Employees
1,500
Sector
Energy
Industry
Oil & Gas Equipment & Services
Country
United States
Exchange
NYSE
Market Cap
$3.3B
Currency
USD

Cactus, Inc., together with its subsidiaries, designs, manufactures, sells, and rents engineered pressure control and spoolable pipe technologies in the United States, Australia, Canada, the Middle East, and internationally. The company operates in two segments: Pressure Control and Spoolable Technologies. The Pressure Control segment designs, manufactures, sells, and rents a range of wellheads and pressure control equipment under the Cactus Wellhead brand through its service centers. Its products are sold and rented primarily for onshore unconventional oil and gas wells for drilling, completion, and production phases. This segment also offers field services for its products and rental items to assist with the installation, maintenance, and handling of the equipment. The Spoolable Technologies segment designs, manufactures, and sells spoolable pipes and associated end fittings under the FlexSteel brand. Its products are primarily used in production, gathering, and takeaway pipelines to transport oil, gas, and other liquids. This segment also provides field services and rental items to assist with installation through service centers and pipe yards, as well as equipment and services. The company also offers repair and refurbishment services for pressure control equipment. Cactus, Inc. was founded in 2011 and is headquartered in Houston, Texas.

Purification Calculator

As a halal stock with 1.42% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Cactus, Inc. (WHD) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Cactus, Inc. is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Cactus, Inc.'s debt ratio?

Cactus, Inc.'s debt ratio is 1.1% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 2.0%.

Does Cactus, Inc. require dividend purification?

Yes, Cactus, Inc. has an impermissible income ratio of 1.42%, which means 1.42% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are Cactus, Inc.'s key financial metrics?

Cactus, Inc. has a market capitalization of $3.3B, trailing P/E ratio of 20.1, and revenue of $1.1B. The company maintains a gross margin of 37.0% and a net margin of 15.4%. Return on equity stands at 15.0%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.