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
Feels there is upside on the stock. Earnings are good. Trades at a discount to the big 3 in the US. Their international division shows a lot of promise. Reasonably priced on earnings.
BUY
Was considering, but the recent runup caused him to look elsewhere. Prefers Ensign which trades at a significant valuation discount to this one. Expects drilling activity will be high.
BUY
Will probably peak out at around $75-$80. Will continue to be busy.
BUY
Earnings just reported were pretty good. A little bit of problems still in the technical services group. All indications are that they are going to have a blow-out year.
TRADE
Management has done a great job. Internation name.
BUY
Good cash flow should continue to do well.
BUY
The price has been quite soft lately so they have been buying more. Drilling industry is doing exceptionally well.
BUY
Likes the stock.
DON'T BUY
Should track similarly to the oil/gas securities. Would wait for a lower price before buying.
PAST TOP PICK
(A top pick Oct 2/03. Up 25.5%.) Still likes. Drilling story still looks pretty good.
HOLD
Oil service companies is one of their favourite ways of participating in the oil/gas sector. A premier company. Fully priced at 15 X earnings.
DON'T BUY
A great company. Drilling looks good for 2004 so sees some support for the stock price but not sure how sustainable it is.
BUY
Sells at a price/earnings ratio of 15/16 times. Cheap, compared to its US peers.
PAST TOP PICK
(Past top pick Jan 12/ 2004 up under $1) Going to do well. Set up attractively.
TOP PICK
Good technology. Valuations, compared to US peers is very good. A growing business in general.
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