09:40 AM EDT, 08/08/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

Our 12-month target of $13 (cut by $2) reflects a 4.0x multiple of EV to projected FY 26 (Sep.) EBITDA, which is a discount to HP's historical forward average. We cut our FY 25 EPS estimate by $0.94 to $1.12 and our FY 26 forecast by $1.27 to $1.43. On a positive note, HP's eight FlexRigs located in Saudi Arabia have finally gone back to work after Saudi Aramco lifted the work suspension, and so we would expect to see strong sequential results from HP's International Solutions segment in the September quarter. On the other hand, this segment still pales in comparison to the company's North America Solutions segment, where we think pricing is at risk in the near term. We think the pullback in rig profitability is part and parcel with weaker crude oil benchmark pricing, and given the unwinding of OPEC voluntary cuts, we are not especially optimistic on crude oil pricing for at least the remainder of CY 25. Eventually, the market will bottom, but we are wary that the bottom has not yet been reached.