Why You Should Keep an Eye on These 3 Oil & Gas Drilling Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Sep 10 2025
0mins
Source: NASDAQ.COM
Industry Overview: The Zacks Oil and Gas - Drilling industry includes companies that provide drilling rigs and services for oil and gas exploration, with a focus on the volatility of offshore drilling compared to onshore operations. The industry's future is influenced more by contracting activity than by oil or gas prices.
Trends Impacting the Industry: Current macroeconomic uncertainties and geopolitical risks are leading to cautious spending among customers, while structural demand for LNG is expected to drive future growth. However, oversupply risks and a slowdown in contracting could pressure pricing power in the near term.
Zacks Industry Rank and Performance: The industry ranks #210 out of 244 in the Zacks Industry Rank, indicating a bearish outlook with a significant decline in earnings estimates for 2025 and 2026. The industry has underperformed compared to the broader Oil - Energy sector and the S&P 500 over the past year.
Stocks to Watch: Notable companies in the industry include Transocean, Helmerich & Payne, and Precision Drilling, each with unique strengths and challenges. Despite their operational capabilities, all three have experienced stock declines over the past year, reflecting the industry's overall struggles.
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Analyst Views on PDS
Wall Street analysts forecast PDS stock price to rise
7 Analyst Rating
6 Buy
1 Hold
0 Sell
Strong Buy
Current: 82.950
Low
71.99
Averages
83.66
High
96.46
Current: 82.950
Low
71.99
Averages
83.66
High
96.46
About PDS
Precision Drilling Corporation is a Canada-based provider of contract drilling and completion and production services primarily to oil and natural gas and geothermal exploration and production companies in Canada, the United States and certain international locations. The Company operates through two segments: Contract Drilling Services and Completion and Production Services. The Contract Drilling Services segment includes drilling rigs, procurement and distribution of oilfield supplies, and the manufacture, sale and repair of drilling equipment. The Completion and Production Services segment includes service rigs, oilfield equipment rental and camp and catering services. Its technologies include AlphaAutomation, AlphaApps, AlphaAnalytics and EverGreen. The Company provides services primarily in Canada, the United States and certain international locations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Precision Drilling Reports Q4 2025 Financial Highlights
- Financial Overview: Precision Drilling reported a Q4 GAAP EPS of -C$3.23, with revenue increasing 2.2% year-over-year to C$478.51 million, and an adjusted EBITDA of C$126 million, reflecting resilience amid challenges.
- Cash Flow and Expenditures: The company generated C$126 million in operating cash flow during the quarter, successfully funding C$81 million in capital expenditures and C$22 million in share repurchases, while increasing cash reserves by C$47 million, enhancing financial flexibility.
- Debt Management Success: By the end of 2025, Precision Drilling achieved a C$101 million reduction in debt, with a net debt to adjusted EBITDA ratio of approximately 1.2 times, demonstrating effective strategies in lowering financial leverage.
- Future Investment Plans: Looking ahead to 2026, Precision Drilling plans to invest C$245 million in fleet and infrastructure, reduce debt by C$100 million, and allocate up to 50% of free cash flow towards share repurchases, further enhancing shareholder returns.
See More
Precision Drilling Reports Q4 2025 Financial Results
- Financial Performance Overview: Q4 2025 revenue reached CAD 479 million, a 2.2% increase from CAD 468 million in the same period last year, primarily driven by higher drilling activity in the U.S., although lower international activity partially offset this growth, demonstrating the company's resilience amid market fluctuations.
- Adjusted EBITDA Changes: Adjusted EBITDA was CAD 126 million, up 4.9% from CAD 121 million in Q4 2024, despite facing reduced international activity and higher rig reactivation costs, indicating ongoing improvements in cost control and operational efficiency.
- Shareholder Returns and Capital Expenditures: In 2025, the company achieved CAD 101 million in debt reduction and CAD 76 million in share repurchases, with cash flow of CAD 126 million, reflecting effective strategies in capital allocation and shareholder returns, enhancing financial stability.
- Future Investment Plans: The company expects to invest CAD 245 million in fleet and infrastructure in 2026, plans to reduce debt by CAD 100 million, and allocate 50% of free cash flow towards share repurchases, showcasing confidence in future growth and commitment to shareholders.
See More
Precision Drilling Corporation Releases Q4 2025 Financial Results
- Financial Performance Overview: In Q4 2025, Precision Drilling reported revenue of CAD 479 million, a 2.2% increase from CAD 468 million in the same quarter last year, primarily driven by increased drilling activity in the U.S., although lower international activity partially offset this growth, demonstrating the company's resilience amid market fluctuations.
- Adjusted EBITDA Changes: Adjusted EBITDA reached CAD 126 million, up 4.9% from CAD 121 million in Q4 2024, despite facing reduced international activity and higher rig reactivation costs, indicating ongoing improvements in cost control and operational efficiency.
- Shareholder Return Strategy: The company reduced debt by CAD 101 million and repurchased CAD 76 million in common shares in 2025, reflecting an aggressive capital allocation strategy aimed at enhancing shareholder value and strengthening financial stability.
- Future Investment Outlook: Precision plans to invest CAD 245 million in fleet and infrastructure in 2026, with a commitment to allocate up to 50% of free cash flow towards share repurchases before debt repayments, showcasing confidence in future growth and a commitment to shareholder returns.
See More
Precision Drilling to Announce Q4 Earnings on February 11
- Earnings Announcement Schedule: Precision Drilling is set to release its Q4 earnings after market close on February 11, drawing significant attention from market participants regarding its performance.
- EPS Expectations: Analysts forecast a consensus EPS of $1.49, representing a substantial year-over-year increase of 40.6%, indicating an improvement in the company's profitability.
- Revenue Decline Forecast: The anticipated revenue for Q4 is $359.41 million, reflecting a year-over-year decrease of 23.2%, which highlights the challenges faced by the industry and a weakening market demand.
- Historical Performance Reference: Historical financial data for Precision Drilling will provide investors with crucial context to assess its future financial performance and market positioning.
See More
Precision Drilling Schedules Q4 2025 Earnings Release and Conference Call
- Earnings Release Schedule: Precision Drilling plans to release its Q4 and year-end 2025 results after market close on February 11, 2026, which is expected to provide investors with critical financial data and operational performance insights.
- Conference Call Timing: The company has scheduled a conference call for February 12, 2026, at 11:00 a.m. MT (1:00 p.m. ET), allowing investors to register for a dial-in number and unique PIN to participate in Q&A.
- Webcast Availability: The conference call will be webcast, accessible via the company’s website, with a replay available until the next quarterly call is posted, ensuring transparency and accessibility of information for stakeholders.
- Company Background Information: Precision is a leading provider of energy industry services, featuring advanced digital technology Alpha™ and environmental solutions EverGreen™, committed to delivering efficient and predictable drilling services, thereby enhancing its competitive position in the industry.
See More
SeaStar Medical Announces 1-for-10 Reverse Split, Shares Drop 9.5%
- Reverse Split Impact: SeaStar Medical's announcement of a 1-for-10 reverse split led to a 9.5% drop in pre-market trading, bringing the share price down to $0.21, reflecting market concerns about the company's future prospects.
- Market Reaction: Following the reverse split news, SeaStar's stock price quickly declined, indicating a lack of investor confidence in the company's financial health, which could affect its ability to raise capital and its market image.
- Other Stock Movements: Coincheck Group NV and Ascent Solar Technologies also saw declines in pre-market trading, dropping 11% and 7.6% respectively, indicating a broader bearish sentiment in the market that may influence investor risk appetite.
- Industry Trends: In light of the market's reaction to the reverse split, SeaStar Medical may need to reassess its capital structure and future strategy to restore investor confidence and improve stock performance.
See More
Precision Drilling Reports Q4 2025 Financial Highlights
- Financial Overview: Precision Drilling reported a Q4 GAAP EPS of -C$3.23, with revenue increasing 2.2% year-over-year to C$478.51 million, and an adjusted EBITDA of C$126 million, reflecting resilience amid challenges.
- Cash Flow and Expenditures: The company generated C$126 million in operating cash flow during the quarter, successfully funding C$81 million in capital expenditures and C$22 million in share repurchases, while increasing cash reserves by C$47 million, enhancing financial flexibility.
- Debt Management Success: By the end of 2025, Precision Drilling achieved a C$101 million reduction in debt, with a net debt to adjusted EBITDA ratio of approximately 1.2 times, demonstrating effective strategies in lowering financial leverage.
- Future Investment Plans: Looking ahead to 2026, Precision Drilling plans to invest C$245 million in fleet and infrastructure, reduce debt by C$100 million, and allocate up to 50% of free cash flow towards share repurchases, further enhancing shareholder returns.
See More
Precision Drilling Reports Q4 2025 Financial Results
- Financial Performance Overview: Q4 2025 revenue reached CAD 479 million, a 2.2% increase from CAD 468 million in the same period last year, primarily driven by higher drilling activity in the U.S., although lower international activity partially offset this growth, demonstrating the company's resilience amid market fluctuations.
- Adjusted EBITDA Changes: Adjusted EBITDA was CAD 126 million, up 4.9% from CAD 121 million in Q4 2024, despite facing reduced international activity and higher rig reactivation costs, indicating ongoing improvements in cost control and operational efficiency.
- Shareholder Returns and Capital Expenditures: In 2025, the company achieved CAD 101 million in debt reduction and CAD 76 million in share repurchases, with cash flow of CAD 126 million, reflecting effective strategies in capital allocation and shareholder returns, enhancing financial stability.
- Future Investment Plans: The company expects to invest CAD 245 million in fleet and infrastructure in 2026, plans to reduce debt by CAD 100 million, and allocate 50% of free cash flow towards share repurchases, showcasing confidence in future growth and commitment to shareholders.
See More
Precision Drilling Corporation Releases Q4 2025 Financial Results
- Financial Performance Overview: In Q4 2025, Precision Drilling reported revenue of CAD 479 million, a 2.2% increase from CAD 468 million in the same quarter last year, primarily driven by increased drilling activity in the U.S., although lower international activity partially offset this growth, demonstrating the company's resilience amid market fluctuations.
- Adjusted EBITDA Changes: Adjusted EBITDA reached CAD 126 million, up 4.9% from CAD 121 million in Q4 2024, despite facing reduced international activity and higher rig reactivation costs, indicating ongoing improvements in cost control and operational efficiency.
- Shareholder Return Strategy: The company reduced debt by CAD 101 million and repurchased CAD 76 million in common shares in 2025, reflecting an aggressive capital allocation strategy aimed at enhancing shareholder value and strengthening financial stability.
- Future Investment Outlook: Precision plans to invest CAD 245 million in fleet and infrastructure in 2026, with a commitment to allocate up to 50% of free cash flow towards share repurchases before debt repayments, showcasing confidence in future growth and a commitment to shareholder returns.
See More
Precision Drilling to Announce Q4 Earnings on February 11
- Earnings Announcement Schedule: Precision Drilling is set to release its Q4 earnings after market close on February 11, drawing significant attention from market participants regarding its performance.
- EPS Expectations: Analysts forecast a consensus EPS of $1.49, representing a substantial year-over-year increase of 40.6%, indicating an improvement in the company's profitability.
- Revenue Decline Forecast: The anticipated revenue for Q4 is $359.41 million, reflecting a year-over-year decrease of 23.2%, which highlights the challenges faced by the industry and a weakening market demand.
- Historical Performance Reference: Historical financial data for Precision Drilling will provide investors with crucial context to assess its future financial performance and market positioning.
See More
Precision Drilling Schedules Q4 2025 Earnings Release and Conference Call
- Earnings Release Schedule: Precision Drilling plans to release its Q4 and year-end 2025 results after market close on February 11, 2026, which is expected to provide investors with critical financial data and operational performance insights.
- Conference Call Timing: The company has scheduled a conference call for February 12, 2026, at 11:00 a.m. MT (1:00 p.m. ET), allowing investors to register for a dial-in number and unique PIN to participate in Q&A.
- Webcast Availability: The conference call will be webcast, accessible via the company’s website, with a replay available until the next quarterly call is posted, ensuring transparency and accessibility of information for stakeholders.
- Company Background Information: Precision is a leading provider of energy industry services, featuring advanced digital technology Alpha™ and environmental solutions EverGreen™, committed to delivering efficient and predictable drilling services, thereby enhancing its competitive position in the industry.
See More
SeaStar Medical Announces 1-for-10 Reverse Split, Shares Drop 9.5%
- Reverse Split Impact: SeaStar Medical's announcement of a 1-for-10 reverse split led to a 9.5% drop in pre-market trading, bringing the share price down to $0.21, reflecting market concerns about the company's future prospects.
- Market Reaction: Following the reverse split news, SeaStar's stock price quickly declined, indicating a lack of investor confidence in the company's financial health, which could affect its ability to raise capital and its market image.
- Other Stock Movements: Coincheck Group NV and Ascent Solar Technologies also saw declines in pre-market trading, dropping 11% and 7.6% respectively, indicating a broader bearish sentiment in the market that may influence investor risk appetite.
- Industry Trends: In light of the market's reaction to the reverse split, SeaStar Medical may need to reassess its capital structure and future strategy to restore investor confidence and improve stock performance.
See More
