📊 HP Key Takeaways
Is HP a Good Investment? Thesis Analysis
Helmerich & Payne is currently unprofitable with negative operating margins (-5.9%) and net margins (-9.5%), generating $96.7M in net losses despite $1B in revenue. While the company maintains positive free cash flow ($114.9M) and a stable balance sheet (debt/equity 0.75x), the lack of profitability, minimal revenue growth (1.8%), and negative returns on equity (-3.6%) indicate a struggling business lacking clear turnaround momentum. Without demonstrated path to profitability or accelerating growth, the fundamental outlook remains challenged.
Why Buy HP? Key Strengths
- Positive free cash flow of $114.9M with 11.3% FCF margin despite accounting losses
- Strong liquidity position with current ratio 2.03x and cash of $247.2M
- Moderate leverage with debt/equity of 0.75x and $2.0B long-term debt manageable relative to $6.5B asset base
HP Investment Risks to Consider
- Persistent unprofitability with negative net margin (-9.5%) and operating losses (-$59.9M)
- Negligible revenue growth (1.8% YoY) indicates weak demand in core drilling business
- Cyclical oil & gas sector exposure with no clear margin expansion trajectory; negative interest coverage (-2.7x) limits financial flexibility
Key Metrics to Watch
- Operating margin trend - return to profitability is critical
- Revenue growth acceleration - current 1.8% is insufficient
- Free cash flow sustainability - monitor if FCF deteriorates as operating losses persist
HP Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 2.03x current ratio provides a solid financial cushion.
HP Profitability Ratios
HP vs Energy Sector
How Helmerich & Payne, Inc. compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is HP Overvalued or Undervalued?
Based on fundamental analysis, Helmerich & Payne, Inc. shows some fundamental concerns relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
HP Balance Sheet & Liquidity
HP 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Helmerich & Payne, Inc.'s revenue has grown significantly by 32% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.16 reflects profitable operations.
HP Growth Metrics (YoY)
HP Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $674.6M | $54.8M | $0.54 |
| Q3 2025 | $695.1M | $88.7M | $0.88 |
| Q2 2025 | $685.1M | $1.7M | $0.01 |
| Q1 2025 | $674.6M | $54.8M | $0.54 |
| Q3 2024 | $695.1M | $84.8M | $0.88 |
| Q2 2024 | $685.1M | $84.8M | $0.84 |
| Q1 2024 | $674.6M | $95.2M | $0.91 |
| Q3 2023 | $547.9M | -$5.0M | $0.16 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
HP Capital Allocation
HP SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Helmerich & Payne, Inc. (CIK: 0000046765)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HP
What is the AI rating for HP?
Helmerich & Payne, Inc. (HP) has an AI rating of SELL with 75% confidence, based on fundamental analysis of SEC EDGAR filings.
What are HP's key strengths?
Claude: Positive free cash flow of $114.9M with 11.3% FCF margin despite accounting losses. Strong liquidity position with current ratio 2.03x and cash of $247.2M.
What are the risks of investing in HP?
Claude: Persistent unprofitability with negative net margin (-9.5%) and operating losses (-$59.9M). Negligible revenue growth (1.8% YoY) indicates weak demand in core drilling business.
What is HP's revenue and growth?
Helmerich & Payne, Inc. reported revenue of $1.0B.
Does HP pay dividends?
Helmerich & Payne, Inc. pays dividends, with $25.2M distributed to shareholders in the trailing twelve months.
Where can I find HP SEC filings?
Official SEC filings for Helmerich & Payne, Inc. (CIK: 0000046765) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HP's EPS?
Helmerich & Payne, Inc. has a diluted EPS of $-0.98.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is HP a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Helmerich & Payne, Inc. has a SELL rating with 75% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HP stock overvalued or undervalued?
Valuation metrics for HP: ROE of -3.6% (sector avg: 14%), net margin of -9.5% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy HP stock in 2026?
Our dual AI analysis gives Helmerich & Payne, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HP's free cash flow?
Helmerich & Payne, Inc.'s operating cash flow is $182.4M, with capital expenditures of $67.6M. FCF margin is 11.3%.
How does HP compare to other Energy stocks?
Vs Energy sector averages: Net margin -9.5% (avg: 12%), ROE -3.6% (avg: 14%), current ratio 2.03 (avg: 1.3).