Helmerich & Payne, Inc. (HP) vs Sable Offshore Corp. (SOC)

Helmerich & Payne, Inc. and Sable Offshore Corp. are both Oil & Gas Drilling companies. Helmerich & Payne, Inc. is the larger, with a market value of $3.5B against $349.2M — 9.9× the size. Sable Offshore Corp. has the higher net margin (0.00% vs −3.43%) and the lower return on invested capital (−18.9% vs 1.32%). Across the 13 metrics below, Helmerich & Payne, Inc. leads on 9 and Sable Offshore Corp. on 4.

Valuation

Metric HP SOC Oil & Gas Drilling median
P/E n/m n/m —
P/S 0.88 n/m 1.23
P/B 1.32 0.74 1.07
Price to free cash flow 7.19 n/m 10.44
EV/EBITDA 6.18 n/m 6.86
EV/Sales 1.28 n/m 2.16
Earnings yield (4.00%) (179.52%) (0.67%)
Free cash flow yield 13.91% (190.62%) 5.47%

Profitability

Metric HP SOC Oil & Gas Drilling median
Gross margin 28.82% — 38.58%
Operating margin 2.25% 0.00% 8.58%
Net margin (3.43%) 0.00% (0.52%)
Free cash flow margin 12.25% 0.00% 3.36%
Return on equity (4.95%) (103.21%) (1.53%)
Return on assets (2.08%) (24.55%) (0.45%)
Return on invested capital 1.32% (18.87%) 2.81%

Growth

Metric HP SOC Oil & Gas Drilling median
Revenue growth (TTM) 16.57% — 3.33%
EPS growth (last fiscal year) (148.40%) 55.47% (46.88%)
Revenue growth, 5-year CAGR 16.13% — 13.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric HP SOC Oil & Gas Drilling median
Debt to equity 0.70 2.45 0.59
Current ratio 1.96 0.24 1.76
Net debt to EBITDA 2.87 (2.10) 0.90

Dividend

Metric HP SOC Oil & Gas Drilling median
Dividend yield 2.84% — —
Payout ratio — — —

Size

Metric HP SOC Oil & Gas Drilling median
Market cap 3.47b 349.20m 3.47b

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