In this article, we will discuss: 10 Best Oil & Gas Drilling Stocks to Buy.
On February 27, 2026, The New York Times reported that Germany’s domestic oil and gas output had decreased by around 80% since 2000, meeting only about 5% of demand. Neptune Energy, headed by CEO Andreas Scheck, operates the 230-million-euro Adorf gas field in Georgsdorf, with plans to supply 300,000 households. Harbour Energy, managed by Claudia Kromberg in Germany, reported €39 million in the first half of 2025. Rising expenses and storage, which reached 21% compared to 40% a year ago, put a strain on consumers and energy-intensive businesses. Germany replaced lost Russian gas flows with LNG imported from Norway and the United States. Operators allocate work locally to reduce costs and improve response.
Despite these initiatives, domestic production is limited by aged fields, stringent regulations, social opposition, and a ten-year fracking ban. Carsten Mühlenmeier of the state mining authority confirmed Germany’s plans to halt oil and gas production in 2045. Operators manage well pressure, drill strategically, and keep production efficient. Neptune and Harbour concentrate on efficiency and investigate alternatives such as lithium resources and geothermal projects. Short-term operations continue to be profitable, but long-term productivity is limited by regulatory, environmental, and energy constraints.
With that said, here are the 10 Best Oil & Gas Drilling Stocks to Buy.
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Methodology:
We used screeners to identify Oil & Gas Drilling Stocks and limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds.
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10. Valaris Limited (NYSE:VAL)
On February 19, 2026, Valaris Limited (NYSE:VAL) announced $537 million in fourth-quarter 2025 operating revenue, $97 million in adjusted EBITDA, and $717 million in net income. Revenues, exclusive of reimbursables, fell to $502 million from $556 million in the third quarter due to fewer floater operating days, the sale of the jackup VALARIS 247, and reduced bareboat charter sales from ARO Drilling. Contract drilling expenses grew to $380 million from $368 million, caused by higher maintenance, claims, and mobilization costs. The firm declared a $20 million impairment loss for the semisubmersible VALARIS DPS-1, and depreciation rose to $41 million.
Capital expenditures rose to $106 million from $70 million, mainly for shipyard projects and fleet improvements. The firm repurchased $25 million in shares during the fourth quarter and $100 million for the year. Valaris Limited (NYSE:VAL) won approximately $900 million in new contract backlog, bringing the total backlog to $4.7 billion. The firm said that its contracts are expected to account for 97% of revenue in 2026.
Valaris Limited (NYSE:VAL) provides offshore contract drilling services to the international oil and gas industry. It functions in the following segments: Floaters, Jackups, ARO, and Other.
9. Precision Drilling Corporation (NYSE:PDS)
On February 11, 2026, Precision Drilling Corporation (NYSE:PDS) announced fourth-quarter 2025 revenue of $479 million, up from $468 million in Q4 2024, with adjusted EBITDA of $126 million. The company reported a net loss of $42 million, which included $67 million in non-cash decommissioning expenditures and $17 million in drill pipe costs. The cash provided by operations was $126 million, covering $81 million in capital expenditures and $22 million in share repurchases while improving the cash balance by $47 million.
The company concluded 2025 with a net debt to adjusted EBITDA ratio of 1.2 times and $445 million in liquidity. Canada averaged 66 active rigs, the United States 37 rigs, and international operations 7 rigs. Revenue per utilization day remained consistent across regions. Precision Drilling Corporation (NYSE:PDS) updated 27 rigs in 2025. In 2026, the company expects to invest $245 million in its fleet, reduce debt by $100 million, and repurchase up to 50% of its free cash flow.
Precision Drilling Corporation (NYSE:PDS) provides onshore drilling, completion, and production services to the oil and gas industry. It operates in two business segments: contract drilling services and completion and production services.
8. Nabors Industries Ltd. (NYSE:NBR)
On February 25, 2026, Barclays increased its price objective for Nabors Industries Ltd. (NYSE:NBR) to $65 from $50. The analyst retained an Underweight rating, stating that it had upgraded the model following the Q4 release.
On February 11, 2026, Nabors Industries Ltd. (NYSE:NBR) disclosed fourth-quarter 2025 operating revenues of $798 million, a decrease from $818 million in Q3, and net income of $10 million. The fourth-quarter adjusted EBITDA was $222 million. The company lowered its net debt by $554 million since 2024 through collections from the Quail sale, note issuances, and redemptions.
International Drilling’s adjusted EBITDA increased to $131.3 million due to higher rig counts, while U.S. Drilling reported $93.2 million. Drilling Solutions’ adjusted EBITDA was $41.3 million, while Rig Technologies contributed $4.9 million. Adjusted free cash flow totaled $132 million. Nabors Industries Ltd. (NYSE:NBR) forecasts capital expenditures of $170-180 million and adjusted free cash consumption of $80-90 million in Q1 2026.
Nabors Industries Ltd. (NYSE:NBR) is a provider of offshore platform rigs. It also offers performance tools, directional drilling services, tubular running services, and technology for both its own rig fleet and those managed by third parties.
7. Sable Offshore Corp. (NYSE:SOC)
On February 27, 2026, Sable Offshore Corp. (NYSE:SOC) announced a net loss of $410.2 million for the fiscal year 2025. The corporation ascribed the loss to production restart operating expenses, general and administrative costs, and non-cash interest expense. On May 15, 2025, the firm restarted production at the Santa Ynez Unit and resumed oil flow into Las Flores Canyon. The company executed anomaly repairs and hydrotests on Pipeline Segments 324 and 325, meeting the Consent Decree criteria. The company finished 2025 with $921.6 million in short-term debt and $97.7 million in cash.
On February 26, 2026, Roth Capital announced that California Judge Donna Geck turned down Sable Offshore Corp. (NYSE:SOC)’s plea to dissolve a preliminary injunction on the Las Flores Canyon onshore pipelines. The preliminary verdict was issued ahead of the scheduled February 27 hearing. Roth Capital said that the company’s shares are being hit hard in response to the news. The firm is still pursuing federal avenues to restart its onshore pipeline network and maintains that the hearing is not critical to that goal. Roth Capital maintains a Buy rating on Sable Offshore Corp. (NYSE:SOC), with a price objective of $22.
Sable Offshore Corp. (NYSE:SOC) is involved in offshore oil and gas field operations. Its primary goal is to develop the Santa Ynez Unit in federal waters off the California coast.
6. Borr Drilling Limited (NYSE:BORR)
On February 18, 2026, Borr Drilling Limited (NYSE:BORR) announced $259.4 million in fourth-quarter operating revenue, with a net loss of $1.0 million and adjusted EBITDA of $105.2 million. The corporation saw 98.8% technical utilization and 97.8% economic utilization during the quarter. The firm’s net income for the full year 2025 was $45.0 million, with adjusted EBITDA of $470.1 million. In 2025, the company secured 24 new contract commitments, totaling over 5,000 days and $649 million in dayrate-equivalent backlog.
Borr Drilling Limited (NYSE:BORR) agreed to pay $360 million to Noble Corporation for five premium jack-up rigs, finalized in January 2026. Recent wins brought 2026 fleet coverage to 80% in the first half and 48% in the second half.
On February 25, 2026, Citi analyst Scott Gruber increased Borr Drilling Limited (NYSE:BORR)’s price objective to $6.25 from $6 while maintaining a Neutral rating on the stock.
Borr Drilling Limited (NYSE:BORR) provides offshore drilling services to the oil and gas industry. It works through two segments: Dayrate and Integrated Well Services.
5. Seadrill Limited (NYSE:SDRL)
On February 25, 2026, Seadrill Limited (NYSE:SDRL) announced $362 million in fourth-quarter operating revenue, a $10 million net loss, and $88 million in adjusted EBITDA. The corporation made $273 million in contract revenue and had a 25.4% adjusted EBITDA margin excluding reimbursables. The firm earned contract awards for seven rigs, adding $0.5 billion to its backlog. West Capella was awarded a 440-day PTTEP contract in Malaysia worth $152 million, beginning in the second quarter of 2026. West Saturn signed a $114 million extension with Equinor in Brazil, beginning in October 2026. West Neptune has signed a $48 million contract with LLOG for the US Gulf beginning in May 2026.
The full-year 2025 results reported a $77 million net loss and $353 million in adjusted EBITDA. Seadrill Limited (NYSE:SDRL) expects operating revenue of $1.40 billion to $1.45 billion in 2026, with adjusted EBITDA ranging from $350 million to $400 million.
Seadrill Limited (NYSE:SDRL) provides offshore drilling services. It owns and operates drill ships, semi-submersibles, and jack-ups. It works in three segments: harsh environment, floaters, and jack-up rigs.
4. Patterson-UTI Energy, Inc. (NASDAQ:PTEN)
On February 4, 2026, Patterson-UTI Energy, Inc. (NASDAQ:PTEN) announced $1.2 billion in fourth-quarter sales, a $9 million net loss, and $221 million in adjusted EBITDA. The company earned $961 million in operating cash flow and $416 million in adjusted free cash flow for the fiscal year 2025. The firm increased its quarterly dividend by 25% to $0.10 per share, payable March 16, 2026, to shareholders of record on March 2, 2026.
Patterson-UTI Energy, Inc. (NASDAQ:PTEN)’s Drilling Services generated $361 million in revenue and $132 million in adjusted gross profit over 8,596 contract drilling days in the United States, with an average of 93 rigs. Completion Services generated $702 million in revenue and $111 million in adjusted gross profit. Drilling products generated $84 million in revenue and $34 million in adjusted gross profit. For the first quarter, the corporation anticipates U.S. rig counts in the low to mid 90s, with full-year capital expenditures of less than $500 million, net of asset sales.
Patterson-UTI Energy, Inc. (NASDAQ:PTEN) provides drilling and pressure pumping services, as well as directional drilling, rental equipment, and technologies. It works in the following segments: Drilling, Completion, and Drilling Products.
3. Helmerich & Payne, Inc. (NYSE:HP)
On February 19, 2026, Turan Drilling and Engineering Company LLC, a joint venture with Helmerich & Payne, Inc. (NYSE:HP), received a five-year offshore operations and maintenance contract renewal by BP in the Caspian Sea offshore Azerbaijan. The contract will take effect in March 2026. The deal contains three one-year extension options that could reach more than $1 billion if all options are exercised.
On February 11, 2026, Citi analyst Scott Gruber boosted Helmerich & Payne, Inc. (NYSE:HP)’s price objective to $38 from $33 while maintaining a Neutral rating on the stock.
On February 4, 2026, Helmerich & Payne, Inc. (NYSE:HP) reported a net loss of $97 million, or $0.98 per share, in the fiscal first quarter of 2026, including a $103 million non-cash impairment charge, with adjusted earnings of $14 million, or $0.15 per share. North America Solutions produced $36 million in operating income and $239 million in direct margins, averaging $18,193 per day. International Solutions reported a $55 million operating loss while delivering around $29 million in direct margins. The corporation declared $230 million in consolidated adjusted EBITDA, repaid $260 million on its term loan, and returned $25 million to shareholders.
Helmerich & Payne, Inc. (NYSE:HP) provides drilling solutions and technologies. It operates in four segments: North America Solutions, Offshore Solutions, International Solutions, and Other.
2. Transocean Ltd. (NYSE:RIG)
On February 19, 2026, Transocean Ltd. (NYSE:RIG) disclosed full-year 2025 contract drilling revenues of $3.965 billion, a 13% rise in adjusted EBITDA of $1.37 billion, and a net loss of $2.915 billion, or $3.04 per diluted share. The company increased its sales efficiency to 96.5%, producing $749 million in operating cash flow and $626 million in free cash flow. The firm lowered overall debt to $5.686 billion and closed the year with $1.507 billion in liquidity.
In the fourth quarter, Transocean Ltd. (NYSE:RIG) reported contract drilling revenues of $1.043 billion, net income of $25 million, or $0.02 per diluted share, and adjusted EBITDA of $385 million. The company earned $349 million in operating cash flow and invested $28 million in capital expenditures. As of February 19, 2026, the backlog was around $6.1 billion. The firm expects full-year contract drilling revenues of $3.8 billion to $3.95 billion in 2026.
Transocean Ltd. (NYSE:RIG) provides offshore contract drilling services for oil and gas wells. It also manages and owns offshore drilling fleets consisting of ultra-deepwater, harsh environment, deepwater, and midwater rigs.
1. Noble Corporation plc (NYSE:NE)
On February 11, 2026, Noble Corporation plc (NYSE:NE) reported fourth-quarter sales of $764 million, including $705 million in contract drilling services revenue, with a net income of $87 million and adjusted EBITDA of $232 million. The corporation earned $187 million in operating cash flow and $35 million in free cash flow, while spending $152 million on capital expenditures. The firm’s backlog for full-year 2025 has grown to $7.5 billion, with around $1.3 billion in recent contract awards secured since October.
The company finalized the divestiture of five jackups for $360 million and plans to finish the Noble Resolve divestiture in Q3 2026. Noble Corporation plc (NYSE:NE) concluded 2025 with $2 billion in total debt and $471 million in cash, having repurchased $20 million in shares and paid out $318 million in dividends. The board declared a $0.50 per share dividend for the first quarter of 2026. It also provided a 2026 revenue forecast of $2.8 billion to $3.0 billion and adjusted EBITDA of $940 million to $1.02 billion.
Noble Corporation plc (NYSE:NE) is an offshore drilling contractor for the oil and gas industry globally. It offers contract drilling services through its fleet of mobile offshore drilling equipment. The company also runs drilling rigs like floaters and jackups.
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