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Global Hunter Securities Downgrades Helmerich & Payne (HP) to Neutral; Shares Fairly Valued

January 31, 2012 3:51 PM EST
HP Hot Sheet
Rating Summary:
    6 Buy, 8 Hold, 1 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
Global Hunter Securities downgraded Helmerich & Payne (NYSE: HP) from Accumulate to Neutral, price target cut from $70 to $65.

Analyst, Brian Uhlmer, said, "We believe that the market is fairly valuing the stock at its current multiple; HP (and the industry as a whole) will be unable to repeat the newbuild awards won in 2012, thus slowing growth; and the tepid macro outlook likely persists until the E&P's economics improve, limiting investor sponsorship for the land drillers."

"Our F2012 and F2013 EPS estimates are now $5.19 (+11c) and $5.95 (-15c), with our EBITDA estimates for both years moving just 1%-2%."

For an analyst ratings summary and ratings history on Helmerich & Payne click here. For more ratings news on Helmerich & Payne click here.

Shares of Helmerich & Payne closed at $60.33 yesterday, with a 52 week range of $35.58-$73.40.


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