Cactus Inc (WHD)
Cactus, Inc. designs, manufactures, sells, and leases a variety of wellheads and pressure control equipment in the United States. The company is headquartered in Houston, Texas.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is increasing.
- The growth rate of the primary trend is 7.13% per annum.
- WHD price at the close of April 1, 2025 was $46.33 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 29.77% per annum.
- WHD price at the close of April 1, 2025 was lower than the bottom border of the secondary price channel by $7.83 (14.45%). This indicates a possible reversal in the secondary trend direction.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of WHD price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: June 1, 2021
End date: July 11, 2024
a = 3.5931
b = 0.0002
s = 0.1320
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0002) – 1
= 7.13%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.1320) – 1
= 69.56%
June 1, 2021 calculations
Top border of price channel:
Exp(Y292)
= Exp(a + b × X292 + 2 × s)
= Exp(a + b × 425 + 2 × s)
= Exp(3.5931 + 0.0002 × 425 + 2 × 0.1320)
= Exp(3.9373)
= $51.28
Bottom border of price channel:
Exp(Y292)
= Exp(a + b × X292 – 2 × s)
= Exp(a + b × 425 – 2 × s)
= Exp(3.5931 + 0.0002 × 425 – 2 × 0.1320)
= Exp(3.4093)
= $30.24
July 11, 2024 calculations
Top border of price channel:
Exp(Y1,074)
= Exp(a + b × X1,074 + 2 × s)
= Exp(a + b × 1,561 + 2 × s)
= Exp(3.5931 + 0.0002 × 1,561 + 2 × 0.1320)
= Exp(4.1517)
= $63.54
Bottom border of price channel:
Exp(Y1,074)
= Exp(a + b × X1,074 – 2 × s)
= Exp(a + b × 1,561 – 2 × s)
= Exp(3.5931 + 0.0002 × 1,561 – 2 × 0.1320)
= Exp(3.6236)
= $37.47
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 7.13% per annum.
- WHD price at the close of April 1, 2025 was $46.33 and was inside the primary price channel.
Secondary Trend
Start date: March 10, 2023
End date: February 24, 2025
a = 2.8791
b = 0.0007
s = 0.0951
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0007) – 1
= 29.77%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0951) – 1
= 46.31%
March 10, 2023 calculations
Top border of price channel:
Exp(Y739)
= Exp(a + b × X739 + 2 × s)
= Exp(a + b × 1,072 + 2 × s)
= Exp(2.8791 + 0.0007 × 1,072 + 2 × 0.0951)
= Exp(3.8348)
= $46.28
Bottom border of price channel:
Exp(Y739)
= Exp(a + b × X739 – 2 × s)
= Exp(a + b × 1,072 – 2 × s)
= Exp(2.8791 + 0.0007 × 1,072 – 2 × 0.0951)
= Exp(3.4542)
= $31.63
February 24, 2025 calculations
Top border of price channel:
Exp(Y1,229)
= Exp(a + b × X1,229 + 2 × s)
= Exp(a + b × 1,789 + 2 × s)
= Exp(2.8791 + 0.0007 × 1,789 + 2 × 0.0951)
= Exp(4.3468)
= $77.23
Bottom border of price channel:
Exp(Y1,229)
= Exp(a + b × X1,229 – 2 × s)
= Exp(a + b × 1,789 – 2 × s)
= Exp(2.8791 + 0.0007 × 1,789 – 2 × 0.0951)
= Exp(3.9662)
= $52.78
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 29.77% per annum.
- WHD price at the close of April 1, 2025 was lower than the bottom border of the secondary price channel by $7.83 (14.45%). This indicates a possible reversal in the secondary trend direction.