2 models fit Precision Drilling Corporation Common Stock and they disagree: 0 of 2 land within 15% of the average.
Two or more of our models back this value.
Near fair value(i)Bronze54
Valued as a cyclical company: P/E comparison, EV/EBITDA comparison, Discounted cash flow, and Graham number.
ACCE opinionPrecision Drilling Corporation Common Stock (PDS)
Fair value (2 models)
$94.14
ACCE price target
$81.00
Rating
Fairly valued
Horizon
12 months
Fair value published on 21 Oct 2026, 11:06 CEST; previously $92.60 since 16 Oct 2026, 00:00 CEST.
ACCE price target published on 13 Oct 2026, 00:00 CEST.
Rating published on 21 Oct 2026, 11:06 CEST.
Price used: $94.29 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow and P/E comparison.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
0.2% above
-0.2% to fair value
ACCE score
52
out of 100
Analysts
80% buy
10 covering
1-year return
+60.6%
Dividend yield
0.00%
Precision Drilling Corporation Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
Precision Drilling operates a fleet of land drilling rigs in Canada and the United States, supplying contract drilling services to upstream oil and gas producers, with a growing share of its fleet in automated, higher-specification rigs. The business runs on day rates and utilization rather than commodity prices directly, so its earnings track the number of active rigs more than the spot price of crude. Revenue growth of 11.4% is the clearest sign that demand for its equipment is firming, though thin operating margin of 3.2% and negative ROE of -1.9% show that the gains have not yet reached the bottom line. The stock trades at a forward P/E of 10.4, a modest multiple if drilling activity holds up, but the case depends on margins recovering as rig utilization and pricing improve. The score of 50/100 and absence from major indices make this a cyclical, under-followed name that merits a deeper look at rig count trends and contract pricing before any conclusion.