PD.UN
Precision Drilling Corp., Toronto symbol PD, provides contract-drilling services to oil and gas producers. The company owns 360 drilling rigs in Canada, the U.S. and Mexico.
We analyze Precision in The Successful Investor, our newsletter that recommends stock picks for conservative investors.
Precision recently converted from an income trust to a regular corporation. Investors received one common share for each trust unit …read more »
PRECISION DRILLING TRUST $11 (Toronto symbol PD.UN; Aggressive Growth Portfolio, Resources sector; Units outstanding: 125.8 million; Market cap: $1.4 billion; SI Rating: Extra risk) is Canada’s largest provider of contract drilling and related services to the oil and natural gas exploration industry.
Precision currently operates 249 drilling rigs, mainly in Canada. However, many of its Canadian customers suspend exploration during the …read more »
We recommend few income trusts. That’s because most trusts involve substantial risk, such as focusing on a single commodity or geographic area.
Here are four trusts we do see as buys. Despite Ottawa’s plan to start taxing trust distributions in 2011, they should continue to pay above-average yields for years to come.
These four trusts should also appeal to BCE investors seeking …read more »
PRECISION DRILLING TRUST $25 (Toronto symbol PD.UN; Aggressive Growth Portfolio, Resources sector; Units outstanding: 125.8 million;Market cap: $3.1 billion; SI Rating: Extra risk) is Canada’s largest contract driller. It pays monthly distributions of $0.13 a unit, for a yield of 6.2%.
Precision recently offered to buy American Exchange-listed Grey Wolf Inc., which operates drilling rigs in the U.S. Gulf Coast region. …read more »
These three resource income trusts are more volatile than telecom stocks. But we feel their high yields and steady cash flows help offset their risk. As always, you should limit income trusts to no more than 15% of your total portfolio.
PENGROWTH ENERGY TRUST $18 (Toronto symbol PGF.UN; Aggressive Growth Portfolio, Resources sector; Units outstanding: 247.9 million;Market cap: $4.5 billion; SI …read more »
PRECISION DRILLING TRUST $28 (Toronto symbol PD.UN; Aggressive Growth Portfolio, Resources sector; Units outstanding: 125.8 million; Market cap: $3.5 billion; SI Rating: Extra risk) is the largest contract driller in Canada. It operates 231 drilling rigs, 223 well servicing rigs and a rental and production services division. It also operates 14 drilling rigs in the United States, and one rig …read more »
The main drawback to most income and royalty trusts is that many of them contain low quality assets. We aim to zero in on trusts with high quality assets that provide stable cash flows and distributions.
Even the best trusts, such as these three, are still highly cyclical. However, we feel they will continue to pay above-average yields, even after Ottawa …read more »
PRECISION DRILLING TRUST $21 (Toronto symbol PD.UN; Aggressive Growth Portfolio, Resources sector; Units outstanding: 125.8 million; Market cap: $2.6 billion; SI Rating: Extra risk) earned $2.73 a unit in 2007, down 40.1% from $4.56 in 2006. Cash flow per share fell 35.4%, to $3.34 from $5.17, while revenue fell 28.6%, to $1.0 billion from $1.4 billion. Weaker natural gas prices …read more »
PRECISION DRILLING TRUST $16 (Toronto symbol PD.UN; Aggressive Growth Portfolio, Resources sector; Units outstanding: 125.8 million; Market cap: $2.0 billion; SI Rating: Extra risk) is Canada’s largest provider of drilling and related services to the oil and gas industry. Precision’s drilling fleet consists of 259 land drilling rigs.
In the third quarter of 2007, Precision’s revenue fell 34.8%, to $227.9 million …read more »
We’ve added seven new stocks to our Aggressive Growth Portfolio. While riskier than many of our recommendations, these seven are leaders in their fields, and attractively priced in relation to their prospects. Conservative investors should limit stocks like these to no more than a third of their portfolio.
PRECISION DRILLING TRUST $16 (Toronto symbol PD.UN; Aggressive Growth Portfolio, Resources sector; Units …read more »
