TacticScaleWhat Helmerich and Payne Does & How It Makes Money (HP)
Updated October 2026 · reflects Helmerich and Payne's latest reported financials
Oil and gas drilling contractor providing rigs and drilling technology. It earns most of its revenue by contracting its drilling rigs, crews and drilling technologies to oil and gas exploration and production companies.
How Helmerich and Payne makes money
It earns most of its revenue by contracting its drilling rigs, crews and drilling technologies to oil and gas exploration and production companies. It also collects smaller income from commercial real estate, including a shopping center.
What Helmerich and Payne does
Helmerich & Payne, founded in 1920 and based in Tulsa, Oklahoma, is a contract driller for oil and gas exploration and production companies. It has three segments. North America Solutions is its land drilling business, mostly in Texas. Offshore Solutions runs operations in Louisiana, U.S. federal waters, the North Sea and Norwegian Sea, the Caspian Sea and other international waters. International Solutions drills in Saudi Arabia, Argentina, Bahrain, Oman, Germany and Kuwait. The company also develops and sells technology to improve drilling performance, wellbore quality and well placement. Separately, it owns and operates commercial real estate, including a shopping center. Its results depend largely on how much producers spend on drilling, which moves with oil and gas activity.
Products & services
- North America land drilling services
- Offshore drilling services
- International drilling services
- Drilling automation and wellbore placement technologies
- Commercial real estate properties
What is Helmerich and Payne worth?
On an owner-earnings DCF, Helmerich and Payne's most-likely value is about $39 versus a recent price near $40 (3% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$27) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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