Zacks Investment Research downgraded shares of Helmerich & Payne (NYSE:HP) from a buy rating to a hold rating in a research note issued to investors on Monday morning.
According to Zacks, “The improving outlook in the U.S. land market is set to provide Helmerich & Payne with exciting opportunities to redeploy its technologically-advanced FlexRigs. With domestic rig count moving higher quickly, the drilling contractor is optimistic about getting leading-edger dayrates. As it is, we believe the FlexRigs will continue to benefit from the shift to complex onshore plays that require highly intensive solutions. Importantly, the company's healthy financial position means that its dividend is safe and sustainable. But with large, multinational energy firms looking to reign in their skyrocketing capital expenses, the drilling space is witnessing intense competition, as multiple firms chase a single contract. This will continue to impact the earnings adversely in the near-to medium term.”
Several other research analysts have also recently issued reports on HP. Cowen reissued a hold rating and set a $50.00 price target on shares of Helmerich & Payne in a report on Friday, August 11th. Societe Generale started coverage on shares of Helmerich & Payne in a report on Thursday, August 31st. They issued a hold rating and a $46.00 target price for the company. Sanford C. Bernstein reaffirmed an outperform rating and issued a $66.00 target price on shares of Helmerich & Payne in a report on Wednesday, September 6th. Royal Bank Of Canada reaffirmed a sector perform rating and issued a $53.00 target price (down from $65.00) on shares of Helmerich & Payne in a report on Friday, September 8th. Finally, J P Morgan Chase & Co dropped their target price on shares of Helmerich & Payne from $44.00 to $38.00 and set an underweight rating for the company in a report on Tuesday, September 12th. Eight analysts have rated the stock with a sell rating, fifteen have given a hold rating and five have assigned a buy rating to the company’s stock. Helmerich & Payne presently has an average rating of Hold and an average price target of $54.92.
Shares of Helmerich & Payne (NYSE:HP) opened at $56.47 on Monday. Helmerich & Payne has a 1-year low of $42.16 and a 1-year high of $85.78. The company has a current ratio of 3.59, a quick ratio of 3.19 and a debt-to-equity ratio of 0.12.
Helmerich & Payne (NYSE:HP) last announced its earnings results on Thursday, November 16th. The oil and gas company reported ($0.14) EPS for the quarter, beating analysts’ consensus estimates of ($0.19) by $0.05. Helmerich & Payne had a negative net margin of 7.16% and a negative return on equity of 2.96%. The business had revenue of $532.30 million during the quarter, compared to analysts’ expectations of $493.78 million. During the same period in the prior year, the company earned ($0.33) earnings per share. The business’s revenue was up 60.5% compared to the same quarter last year. analysts expect that Helmerich & Payne will post -0.46 EPS for the current fiscal year.
In other news, CEO John W. Lindsay bought 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 12th. The shares were purchased at an average price of $47.73 per share, for a total transaction of $238,650.00. Following the completion of the transaction, the chief executive officer now owns 147,727 shares in the company, valued at $7,051,009.71. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 3.90% of the stock is currently owned by company insiders.
Large investors have recently bought and sold shares of the business. Ffcm LLC raised its stake in shares of Helmerich & Payne by 409.2% in the 2nd quarter. Ffcm LLC now owns 2,872 shares of the oil and gas company’s stock valued at $160,000 after acquiring an additional 2,308 shares during the period. AlphaMark Advisors LLC raised its stake in shares of Helmerich & Payne by 3.1% in the 2nd quarter. AlphaMark Advisors LLC now owns 3,326 shares of the oil and gas company’s stock valued at $181,000 after acquiring an additional 101 shares during the period. Sandy Spring Bank raised its stake in shares of Helmerich & Payne by 36.7% in the 3rd quarter. Sandy Spring Bank now owns 3,540 shares of the oil and gas company’s stock valued at $184,000 after acquiring an additional 950 shares during the period. Sapphire Star Partners LP purchased a new position in shares of Helmerich & Payne in the 3rd quarter valued at $202,000. Finally, Private Advisor Group LLC purchased a new position in shares of Helmerich & Payne in the 3rd quarter valued at $206,000.
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About Helmerich & Payne
Helmerich & Payne, Inc is engaged in contract drilling of oil and gas wells for others. The Company operates in the contract drilling industry. The Company’s contract drilling business consists of three segments: U.S. Land, Offshore and International Land. The Company is also engaged in the ownership, development and operation of commercial real estate and the research and development of rotary steerable technology.
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