Helmerich & Payne: Piper Sandler raises PT to $21, maintains Neutral rating

Helmerich & Payne: Piper Sandler raises PT to $21, maintains Neutral rating

Title: Piper Sandler Raises Price Target for Helmerich & Payne to $21, Maintains Neutral Rating

Piper Sandler has revised its price target for Helmerich & Payne Inc. (HP) to $21, maintaining a Neutral rating on the stock. This update comes after the company delivered strong third-quarter 2025 results, exceeding earnings and revenue expectations [2].

Helmerich & Payne reported earnings per share (EPS) of $0.22, surpassing the forecasted $0.18 by 22.22%. Revenue reached $1.04 billion, exceeding expectations of $1.01 billion. The stock price rose by 3.16% in after-hours trading, closing at $16.19 [2].

The company's strong performance in the North American Solutions segment and International Solutions contributed significantly to the results. The North American Solutions segment achieved a direct margin of $266 million, while the International Solutions segment saw an increase to $34 million. The company also completed the integration of its KCA Deutag acquisition, advancing its strategic goals [2].

Despite the positive results, Piper Sandler acknowledged that the company's valuation remains challenging. The firm noted that the market's perception of HP's growth prospects is gradually shrinking due to slower-than-expected commercial progress [1].

Looking ahead, Helmerich & Payne expects to maintain strong performance, with guidance for North American Solutions indicating 138-144 contracted rigs in Q4. The company aims to reduce its debt to approximately 1x leverage and plans to moderate capital expenditures in 2026 [2].

References:
1. [1] https://www.investing.com/news/transcripts/earnings-call-transcript-helmerich--payne-q3-2025-sees-earnings-beat-stock-surges-93CH-4178550
2. [2] https://ca.investing.com/news/analyst-ratings/beyond-air-stock-price-target-slashed-by-piper-sandler-to-5-from-20-93CH-4155863