TSE:PD

Precision Drilling (PD.TO)

129.84
-7.49 (5.45%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
187 watching
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Investor Insights
star iconJun 6, 2026, 12:00 am

This summary was created by AI, based on 3 opinions in the last 12 months.

Experts are optimistic about Precision Drilling (PD-T) moving forward into 2027, noting that the increase in activity in the oil market suggests a potential price rise of 5-10%. They emphasize that pure play oil producers are the best investment choice given current market conditions. The stock has shown a significant rally, potentially driven by the sanctioning of LNG Canada and the company's achievement of its debt targets, leading to a strategic pivot towards returning 50% of capital to shareholders. Furthermore, it's worth noting that Precision Drilling's free cash flow yield is projected to be around 20% next year while also implementing a buyback of 10% of its shares. Although the current spreadsheet calculations appear positive, some experts feel it's still not the right time to invest in service stocks given the cyclical nature of the industry.

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Consensus
Positive
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Valuation
Undervalued
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Similar
SLB
BUY
The #1 services company in Canada and #2 in North America. They have a good footprint everywhere. Oil companies have a lot of cash and will be spending it on exploration.
BUY ON WEAKNESS
Would preferred to buy this at $36/37 levels. A well-managed company and it should do well in this robust commodity price environment with lots of drilling in western Canada.
BUY
An excellent name. The prospects over the next six to eight months are very good. Looking for increases in day rates of 15% range. 80% payout ratio. Should continue to have strong growth.
BUY
3rd quarter results were spectacular indicating record drilling, record spending activity. Yield is fairly low.
DON'T BUY
This one is above his model price.
PAST TOP PICK
(A Top Pick Sept 16/05. Converted to a trust and she was down slightly.) Now a trust and the trust is a top pick for today.
TOP PICK
The largest contract driller in Canada. Feels that drilling services are going to be very strong going into this winter season. Increasing their distributions from $0.24 to $0.27 per month.
DON'T BUY
Use a little caution because of motivation of management team. It's hard to see what's going to motivate them to be the next greatest thing. From an upside capotal gains position you can do better.
PAST TOP PICK
(A Top Pick Jan 20/05. Up 10%.)
HOLD
Converted to an income trust this week. If you own, you'll soon get Weatherford Int'l (WFT-N) shares as well as cash. Thinks the units will do pretty well. Recommending that his clients sell the Weatherford shares and hold on to the units.
BUY
The entire service industry is pushed to the limit with their capacity of people and equipment. Outlook for them is awfully good.
BUY
Changing to an income trust which is a good move on their part. Will probably perform quite well going forward. The caveat is the cyclical nature of the drilling bit. At or near the peak of this cycle. Should be able to maintain good solid earnings growth. The current price is a reasonable level for anyone looking for a high quality income trust.
BUY
Now that they have shed their international operations, this would be a pretty good trust. Feels the stock is probably worth $56/58.
BUY
His a model price is $52. Beginning to see signs of value within this group.
BUY
Was a little surprised that it sold off its fabulous international holdings. Should be a goiod trust.
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