Helmerich & Payne price target lowered to $48 from $50 at Evercore ISI

Evercore ISI analyst James West lowered the firm’s price target on Helmerich & Payne to $48 from $50 and keeps an Outperform rating on the shares following Q4 results. Helmerich &Payne announced the suspension of its supplemental dividend in FY25 as the priority will be placed on using the remaining free cash flow to reduce the debt incurred related to the pending KCA Deutag acquisition, the firm noted. Evercore told investors in a research note that capital expenditures are expected to significantly decline year-over-year in FY25 on lower maintenance costs and reduced international growth spending, which should improve free cash flow generation.