- Helmerich & Payne (HP +2.2%) is better positioned that its oil and gas drilling peers in a challenging environment, Argus says as it maintains a Buy rating and $72 price target on the company.
- The firm cites HP's industry-low debt, which offers the flexibility to add debt without straining its balance sheet, and the company’s above-peer-average dividend yield of 4.5%.
- Argus notes that HP's Q2 operating loss primarily was due to lower drilling revenue, driven by reduced capital spending as well as lower drill margins in the offshore segment and lower utilization rates.