Lowering U.S. Land Drillers FVEs on Revised Rig Count Forecast; Companies Look Very Overvalued
We’re lowering our fair value estimates for U.S. land drillers, owing chiefly to a lowered midcycle forecast for the U.S. horizontal rig count (from about 800 previously to 700 now). Our Nabors fair value estimate moves to $6 per share from $6.50; that for Precision decreases to $2.25 from $3; that for Patterson to $13.25 from $13.50; and that for Helmerich & Payne to $40 from $41. Our no-moat ratings for these companies remain in place. Overall, U.S. land drillers look very overvalued, on a...Patterson-UTI Energy is an oilfield services company that primarily owns and operates fleets of land-based drilling rigs and a fleet of pressure pumping equipment. The company's business segments are: contract drilling services, which markets its contract drilling services to independent and other oil and natural gas operators; pressure pumping services, which provides pressure pumping services to oil and natural gas operators, primarily in Texas, the Mid-Continent region and the Appalachian region; and directional drilling services, which provides a suite of directional drilling services, including directional drilling and downhole performance motors in various onshore oil and natural gas basins.
Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.
Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.
We have operations in 27 countries.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.