Use access key #2 to skip to page content.
$49.33 -0.91 (-1.81%)
9/5/2008 4:02 PM

Helmerich & Payne, Inc. (HP)

CAPS Rating:
****

The Company is primarily engaged in contract drilling of oil and gas wells for others.

View All Commentary (HP)

Recs

6

Avatar Cuchulainn1 (< 20) Submitted: 4/20/08 8:17 PM : Outperform Start Price: $45.92 HP Score: 13.87

For CAPS I have greenthumbed the whole drilling sector. I am bullish on all of them, but I feel HP is special. The flexrig technology they use is excellent saving time and money for the contractor, allowing HP to charge higher dayrates. Flexrig is desirable times when drilling demand is low. But, with natural gas continuing to increase and T. Boone Pickens predicting it to go higher demand is going to go through the roof.

This is the driller that I proudly own in my real portfolio and I will be adding on dips. Best in breed, in a hot industry. HP is mostly leveraged to the US NatGas drilling, however their flexrigs are beginning to get some international attention. The only problem for the new clients is most of the flexrigs are already contracted years in advance. If only all of the companies in my portfolio had the same problem as HP where demand is exceeding supply by a couple years.

Report this Post Replies: 2 | Reply

Avatar tyfighter3 (62.66) Submitted: 5/28/08 10:53 PM

Recs: 1 | Rec This

I bought it at 22, now 60, I love it for all the right reasons. Still a good buy.

Report this Post Reply

Avatar Cuchulainn1 (< 20) Submitted: 7/04/08 11:28 AM

Recs: 0 | Rec This

Completely agree. Even if oil breaks and falls to $100 do you really think we are going to stop drilling?


Oil can trade anywhere between 100-200 and HP is going to continue plowing along.

I also keep on hearing about the green river and bakkan shales. It will be interesting to see if and how HP's unconventional drilling technology is employed.

Report this Post Reply

Featured Broker Partners