Helmerich & Payne Inc (HP, Financial), a leading player in the Oil & Gas industry, has seen a significant surge in its stock price over the past three months. The company's market cap currently stands at $4.14 billion, with a stock price of $41.62. Over the past week, the stock has gained 3.17%, and over the past three months, it has seen a remarkable gain of 32.77%. The GF Value, defined by GuruFocus.com, calculates a stock's intrinsic value using historical multiples, past performance adjustments, and future business estimates. Currently, the GF Value of HP is $67.23, up from $63.2 three months ago, indicating that the stock is significantly undervalued.
Company Overview
Helmerich & Payne Inc operates in the Oil & Gas industry, boasting the largest fleet of U.S. land drilling rigs. The company's FlexRig line is the leading choice for drilling horizontal wells for the production of U.S. tight oil and gas. H&P has a presence in nearly every major U.S. shale play and is also expanding its international presence.
Profitability Analysis
Helmerich & Payne Inc has a Profitability Rank of 5/10, indicating moderate profitability. The company's Operating Margin is 17.87%, which is better than 64.7% of companies in the same industry. The company's ROE, ROA, and ROIC are all higher than the majority of companies in the industry. Over the past 10 years, the company's profitability has been better than 51.43% of companies.
Growth Prospects
The company's Growth Rank is 1/10, indicating low growth. However, the company's 3-year and 5-year revenue growth rates per share are better than 18.21% and 24.71% of companies in the industry, respectively. The company's future revenue and EPS growth rates are also better than the majority of companies in the industry.
Major Stockholders
The top three holders of the stock are Ken Fisher (Trades, Portfolio), Prem Watsa (Trades, Portfolio), and First Eagle Investment (Trades, Portfolio), who hold 0.81%, 0.56%, and 0.06% of the stock, respectively.
Competitive Landscape
The company's main competitors in the Oil & Gas industry are Seadrill Ltd (SDRL, Financial), Patterson-UTI Energy Inc (PTEN, Financial), and Transocean Ltd (RIG, Financial), with market caps of $4.01 billion, $3.62 billion, and $6.49 billion, respectively.
Conclusion
In conclusion, Helmerich & Payne Inc's stock performance, profitability, and growth prospects are impressive. Despite facing stiff competition in the industry, the company has managed to maintain a strong position. The stock's significant undervaluation, coupled with the company's robust profitability and growth prospects, make it a potential candidate for future growth and profitability.
