ProPetro Holding Corp

ProPetro Holding Corp.'s PROPWR business unit has signed new long-term contracts with a subsidiary of Targa Resources Corp. to commit approximately 230 megawatts of power generation capacity. With these additions, total capacity committed under contract for PROPWR now stands at approximately 510 MW, a figure that also reflects previously announced oil and gas power capacity no longer under contract. The recontracting lets PROPWR redeploy that capacity to Targa and free additional megawatts for potential data center deployments in 2027 and beyond. The behind-the-meter power will support Targa's continued investment in natural gas processing infrastructure in the Permian Basin, with full deployment expected in early 2028. ProPetro Chief Executive Officer Sam Sledge called Targa one of the premier midstream operators in the country and said the awards highlight PROPWR's ability to deliver dependable power at scale.

Energy stocks jumped in afternoon trading after Iran ruled out extending a 60-day memorandum of understanding with the United States. The June 17 memorandum was meant to reopen the Strait of Hormuz while the two sides negotiated a nuclear deal within 60 days, CNBC reported. President Trump told Fox News he has no time schedule and is not in a hurry, while a senior Iranian official told Reuters that Tehran would shift from defense to offense if diplomacy fails. Oilfield services company ProPetro jumped 4.4%, Patterson-UTI jumped 5.3%, and U.S. shale E&P company HighPeak Energy jumped 4.3%. Patterson-UTI is up 86.9% since the beginning of the year and trading close to its 52-week high of $12.85 from May 2026.

Shares of NESR, Murphy Oil, ProPetro, Occidental Petroleum, and Diamondback Energy traded up after Brent crude rebounded to the mid-$80s, as traders kept a geopolitical risk premium priced into oil despite ongoing Strait of Hormuz negotiations. NESR jumped 17.6%, ProPetro gained 6%, Murphy Oil rose 4.6%, Diamondback Energy added 3.8%, and Occidental Petroleum climbed 3.5%. The move followed a UAE-vessel incident that reversed an earlier price drop, while Kpler data showed shipping traffic through the Strait of Hormuz plummeted about 33% over the previous two days. Iran's Parliament also reviewed a bill that would permanently ban U.S., Israeli, and other hostile vessels from the waterway and impose heavy cargo fines, signaling the restriction could become more formal. The re-pricing reflects supply-shock risk rather than a multi-year demand boom, with the next confirmation coming from daily tanker-crossing data, further incidents, and whether Brent holds above the levels set by this weekend's risk spike.

ProPetro is the better choice in 2026 compared to Borr Drilling, as the oilfield services business improves domestically thanks to higher crude oil prices from the Iran war. Borr Drilling recently expanded its fleet to 34 rigs but is locked into leases, so it will not benefit from higher oil prices for perhaps a year, with 2026 sales expected to inch up only 3% to $1.054 billion and a swing back to a net loss of around $50 million. ProPetro, despite flat to slightly declining revenue in 2026, is aggressively switching to cheaper natural gas-powered rigs and has a promising business in freestanding oil- and gas-powered microgrids called PROPWR, targeting growth from AI data centers. Borr Drilling reported fiscal 2025 revenue of about $1.0 billion, up 30%, with net income of roughly $45 million, while ProPetro had revenue of nearly $1.3 billion, down 12%, and net income of roughly $824,000. ProPetro appears significantly cheaper on a forward price-to-earnings basis at 3.1 times versus Borr Drilling's 28.2 times, though both share an identical price-to-sales ratio of 1.2 times.

The Motley Fool concludes that oilfield services company ProPetro is a better investment than lithium battery maker Expion360 in 2026. ProPetro reported fiscal 2025 revenue of nearly $1.3 billion, down about 12% from the prior year, with net income of roughly $824,000 and free cash flow of approximately $46 million. Expion360 saw revenue jump 72% to nearly $9.7 million but posted a net loss of about $6.2 million and negative free cash flow of nearly $6.1 million. The analysis highlights ProPetro's improving domestic oilfield services business and its PROPWR microgrids for AI data centers, while Expion360 faces intense competition and a micro-cap valuation of less than $6 million with a three-year return of negative 99.89%.