Precision Drilling Corporation PDS

Competitive advantage analysis · energy

Corporate Default
Overall moat score
51/100
Moderate

About Precision Drilling Corporation

Precision Drilling Corporation, a drilling company, provides onshore drilling, completion, and production services to exploration and production companies in the oil and natural gas and geothermal industries in the United States, Canada, and internationally. It operates through Contract Drilling Services; and Completion and Production Services segments. The Contract Drilling Services segment offers onshore well drilling services to exploration and production … Full PDS analysis →

Competitive advantage assessment

Key strengths

  • Margins Stable Across Cycles Operating margin volatility is low (stability score 0.74), demonstrating pricing resilience across cycles.
  • Revenue Growth Consistent Revenue growth volatility is low (stability score 0.90), suggesting sticky customer base.

Key risks

  • ROIC Below WACC or Peers ROIC at 36.8th percentile suggests inefficient capital deployment.
  • Elevated Debt Risk Debt serviceability is weak (score 0.22), raising refinancing risk.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Moderate
64

Where PDS ranks in Energy: Upstream (E&P/Drilling)

Precision Drilling Corporation ranks #43 of 102 scored companies in Energy: Upstream (E&P/Drilling) by moat score — the top 42%. The widest moat in the group is Texas Pacific Land Corporation (TPL) at 84/100.

Moat scores for companies ranked near PDS in Energy: Upstream (E&P/Drilling)
# Company Moat score Rating
39 Geopark Ltd GPRK 54/100 Moderate
40 Kolibri Global Energy Inc. KGEI 54/100 Moderate
41 Antero Resources Corporation AR 52/100 Moderate
42 Mach Natural Resources LP MNR 52/100 Moderate
43 Precision Drilling Corporation PDS 51/100 Moderate
44 Noble Corporation plc A NE 50/100 Moderate
45 Baytex Energy Corp BTE 50/100 Developing
46 Murphy Oil Corporation MUR 49/100 Developing
47 San Juan Basin Royalty Trust SJT 49/100 Developing

See every Commodities & Mining company ranked by moat score →

How PDS scores on the Corporate Default defenses

Pricing Power

Score 64 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 46 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 56 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 33 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 40 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 69 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding PDS's moat

What is Precision Drilling Corporation's moat score?

Precision Drilling Corporation (PDS) scores 51 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as moderate. It ranks #43 of 102 scored companies in Energy: Upstream (E&P/Drilling), the top 42%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 101 companies in Energy: Upstream (E&P/Drilling). Its strongest defense is Scale & Market Position (69/100) and its weakest is Capital Efficiency (33/100).

How does Precision Drilling Corporation compare with other Energy: Upstream (E&P/Drilling) companies?

Precision Drilling Corporation ranks #43 of 102 scored companies in Energy: Upstream (E&P/Drilling) by moat score. The widest moat in Energy: Upstream (E&P/Drilling) is Texas Pacific Land Corporation (TPL) at 84/100. The companies ranked closest are Mach Natural Resources LP (MNR) at 52 just above it and Noble Corporation plc A (NE) at 50 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 101 companies in Energy: Upstream (E&P/Drilling). The defenses are then weighted to produce the overall score out of 100.

Why is Precision Drilling Corporation scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for Precision Drilling Corporation?

The Corporate Default template measures 6 defenses, and PDS scores: Pricing Power (64), Cost Advantage (46), Customer Stickiness (56), Capital Efficiency (33), Resilience (40), Scale & Market Position (69). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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