Helmerich & Payne: Key Takeaways from Pre-Conference Dinner with H&P Management

Research evidence excerpt

Helmerich & Payne: Key Takeaways from Pre-Conference Dinner with H&P Management

J P M O R G A N North America Equity Research

23 June 2026

Helmerich & Payne Overweight

HP, HP US

Key Takeaways from Pre-Conference Dinner with H&P Price (22 Jun 26):$35.45

Management

Oil & Gas Exploration & Production

JPM View: We hosted H&P management ahead of our 11th annual J.P. Morgan Arun Jayaram AC

Natural Resources Conference, which included President & CEO Trey Adams, (1-212) 622-8541

outgoing CFO Kevin Vann, and incoming CFO Todd Scruggs. Overall, H&P arun.jayaram@jpmchase.com

remains positioned to capture improving direct margins across its core North Jason Kim

America Solutions segment and growing International Solutions business. (1-212) 622-1408

jason.b.kim@jpmchase.com

• North America activity steadily rises on higher private E&P activity as Sowmya Vemulapalli

H&P gains share: H&P sees a steadily improving U.S. land market in which (1-212) 270-4660

the lion’s share of incremental activity is derived from private E&Ps, while sowmya.vemulapalli@jpmchase.com

J.P. Morgan Securities LLC

public operators remain focused on existing capital frameworks on budgetary

grounds (no meaningful rig additions likely expected until late CY26). That

said, a possible shift of budget dollars from gas into oil could further benefit

H&P’s strong Permian position of >30% market share of the super-spec rig

market that is already tight at >80% utilization (CEO Adams suggested that SS

utilization had climbed to ~90%). H&P’s share of the market is characterized

by a high spec rig fleet with idle rigs that are properly maintained and can be

quickly reactivated based on demand. Importantly, the ongoing drawdown of

DUCs alongside degrading rock quality should continue to tighten the L-48 rig