Buy, Sell or Hold: Precision Drilling (PD-T) — Stock Predictions at Stockchase

TSE:PD

60.50

0.10 (0.17%) 1d

Showing 1 to 15 of 702 entries

PARTIAL BUY

We are on a different cycle than in the past. The business model has shifted which is now positive for oil macro. Oil production growth is no longer elastic to rising oil prices. They are now taking free cashflow and companies are now buying back stocks. There is an opportunity for a rerate. Owned it post-consolidation. Fair value is in the $40s. Does not think the oil company will run out and drill again.

oil / gas field services

PAST TOP PICK

(A Top Pick Feb 12/20, Down 9%) He used to own 5% of the company and made a 40% profit in a few months--but he sold it way too early. Give this lesson, now he'd rather sit on oil names and ride it out, or else he'll miss the upside. Companies like this won't spend as much capex even with the oil price rise. You can do better elsewhere.

oil / gas field services

TOP PICK

The biggest land driller in Canada and one of the largest in North America. They still generated free cashflow even during challenging times. At $50 oil, they can generate free cashflow equivalent to their market cap if producers drill to maintain production. Downside is limited since they generated free cash this year still. (Analysts’ price target is $1.22)

oil / gas field services

BUY on WEAKNESS

Expect less drilling activity but they will survive. They have first-class equipment in the US and Canada. It's a higher-beta name, thus more speculative. Buy this on weakness. He expects drilling to pick up in 2021.

oil / gas field services

DON'T BUY

This was his largest holding as of a week ago, but he sold out last week as oil producers getting hit hard. With oil imploding, he expects capex budgets will get slashed. It is difficult to see how this stock would do well, when producers are cutting back.

oil / gas field services

TOP PICK

There is a base level of activity to just maintain production. The stock price is already demonstrating a poor drilling season outlook. They could privatize the company in 2.5 years on current cash flow. An outlook for $60 oil will lead to an uptick in drilling activity from here. Yield 0% (Analysts’ price target is $2.89)

oil / gas field services

DON'T BUY

The chart is pretty ugly right now and he does not see the bear trend ending yet. He wants to see a base form first.

oil / gas field services

WATCH

The spending outlook for drilling in 2020 is very poor. Companies can not justify spending more to just keep production flat, especially when the market will not give you credit for it. Companies should be putting free cash flow into share buybacks. It is negative for service companies. He wonders when this has been fully discounted in the share price. He is more tempted to buy a producer.

oil / gas field services

BUY on WEAKNESS

It came out of the index. They are paying down debt. He'd like to see it paid down a little more. When the rig count picks up next year, he thinks the stock is very cheap here. It is more speculative because of the debt load.

oil / gas field services

COMMENT

They're in a rough business (oil) that won't turn around for a while. But you can make money on bounces like today.

oil / gas field services

DON'T BUY

Doesn't like it. Carries heavy debt from recent acquisitions. The 10-year chart is very negative. The oil industry is shifting to fracking and using PD's drilling less and less. You buy this if you think oil returns to $100. He believes oil is rangebound at $40-80.

oil / gas field services

DON'T BUY

They have done a good job. They are knocking debt down. The problem is that the rig count coming out every Friday is coming down from where it was a year ago.

oil / gas field services

WEAK BUY

Huge debt load, but is on his watch list. It could be a tax loss seller. The sector has been beaten down. It could be a good sign for investors though. Look at what investors are doing and you'll see that it might not be time.

oil / gas field services

RISKY BUY

Revenues up 9%. US side doing well. Paid down debt in first half. Cheap. Q3 won't be much better. More debt than people like. For risk-oriented accounts, could go higher. He has a $5 target. When recovery comes in Canada, they're the pre-eminent driller. No dividend.

oil / gas field services

PAST TOP PICK

(A Top Pick May 30/18, Down 52%) It is not working out at all. It still has potential in the portfolio and he has not bailed out of it. The leverage on the industry is huge. It is a high risk / high reward play. The payout down the road on a small part of your portfolio could be quite huge.

oil / gas field services

Showing 1 to 15 of 702 entries

Precision Drilling(PD-T) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 2

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 2

Stockchase rating for Precision Drilling is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Precision Drilling(PD-T) Frequently Asked Questions

What is Precision Drilling stock symbol?

Precision Drilling is a Canadian stock, trading under the symbol PD-T on the Toronto Stock Exchange (PD-CT). It is usually referred to as TSX:PD or PD-T

Is Precision Drilling a buy or a sell?

In the last year, 2 stock analysts published opinions about PD-T. 2 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Precision Drilling.

Is Precision Drilling a good investment or a top pick?

Precision Drilling was recommended as a Top Pick by on . Read the latest stock experts ratings for Precision Drilling.

Why is Precision Drilling stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Precision Drilling worth watching?

2 stock analysts on Stockchase covered Precision Drilling In the last year. It is a trending stock that is worth watching.

What is Precision Drilling stock price?

On 2021-10-20, Precision Drilling (PD-T) stock closed at a price of $60.5.

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