Patterson-UTI Energy (NASDAQ:PTEN) Releases Earnings Results

Patterson-UTI Energy (NASDAQ:PTEN) posted its earnings results on Wednesday. The oil and gas company reported $0.07 earnings per share for the quarter, topping analysts’ consensus estimates of $0.04 by $0.03, FiscalAI reports. The firm had revenue of $1.34 billion for the quarter, compared to analysts’ expectations of $1.31 billion. Patterson-UTI Energy had a negative net margin of 0.52% and a negative return on equity of 0.58%. The company’s revenue was up 14.1% on a year-over-year basis. During the same quarter in the previous year, the firm posted ($0.10) earnings per share.

Patterson-UTI Energy Stock Up 3.4%

Shares of NASDAQ PTEN traded up $0.43 during trading on Friday, hitting $13.12. 1,124,081 shares of the company traded hands, compared to its average volume of 9,422,650. The business’s fifty day moving average is $11.87 and its 200 day moving average is $10.48. Patterson-UTI Energy has a fifty-two week low of $5.24 and a fifty-two week high of $13.39. The firm has a market capitalization of $5.00 billion, a price-to-earnings ratio of -219.52 and a beta of 0.77. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.57 and a current ratio of 1.75.

Patterson-UTI Energy Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Stockholders of record on Tuesday, December 1st will be issued a dividend of $0.10 per share. The ex-dividend date is Tuesday, December 1st. This represents a $0.40 annualized dividend and a dividend yield of 3.0%. Patterson-UTI Energy’s dividend payout ratio is currently -173.91%.

Insider Activity at Patterson-UTI Energy

In related news, EVP Seth Wexler sold 120,000 shares of the business’s stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $12.75, for a total value of $1,530,000.00. Following the completion of the sale, the executive vice president directly owned 404,582 shares of the company’s stock, valued at $5,158,420.50. The trade was a 22.88% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Robert Wayne Drummond, Jr. sold 198,395 shares of the company’s stock in a transaction that occurred on Wednesday, September 2nd. The stock was sold at an average price of $12.85, for a total value of $2,549,375.75. Following the transaction, the director directly owned 928,773 shares in the company, valued at approximately $11,934,733.05. This trade represents a 17.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 1,027,000 shares of company stock worth $12,698,780 over the last quarter. Company insiders own 2.20% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on PTEN. Piper Sandler reaffirmed an “overweight” rating on shares of Patterson-UTI Energy in a report on Friday, August 21st. Susquehanna lifted their price target on Patterson-UTI Energy from $13.00 to $15.00 and gave the company a “positive” rating in a research note on Friday. Zacks Research cut Patterson-UTI Energy from a “strong-buy” rating to a “hold” rating in a report on Thursday, August 27th. Weiss Ratings raised Patterson-UTI Energy from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Thursday, October 8th. Finally, JPMorgan Chase & Co. upgraded shares of Patterson-UTI Energy from an “underweight” rating to a “neutral” rating and set a $12.00 price objective for the company in a report on Friday, July 31st. Nine equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Patterson-UTI Energy has a consensus rating of “Moderate Buy” and an average price target of $13.32.

Key Stories Impacting Patterson-UTI Energy

Here are the key news stories impacting Patterson-UTI Energy this week:

• Positive Sentiment: Strong Q3 results: Patterson-UTI reported revenue of approximately $1.34 billion, up 14.1% year over year and above the $1.31 billion consensus estimate. Adjusted earnings of $0.07 per share also exceeded expectations of $0.04 and improved substantially from a year-ago loss. Patterson-UTI Energy Reports Third-Quarter Results
• Positive Sentiment: Positive operating outlook: Management expects fourth-quarter drilling-services adjusted gross profit of about $150 million while maintaining its 2026 capital-expenditure target below $600 million. The combination suggests continued operating momentum and disciplined spending. Patterson-UTI Fourth-Quarter Outlook
• Positive Sentiment: Analyst becomes more bullish: Susquehanna raised its price target from $13 to $15 and assigned a “positive” rating, implying further upside from the reference price. Susquehanna Patterson-UTI Analyst Rating
• Positive Sentiment: Dividend maintained: The company declared a quarterly dividend of $0.10 per share, or $0.40 annualized, representing a yield of roughly 3.2% at the cited share price. Patterson-UTI Dividend Information
• Neutral Sentiment: Profitability remains limited: Despite the earnings beat, Patterson-UTI reported a negative net margin and negative return on equity, so investors may continue to focus on whether stronger drilling-services demand can translate into sustainable net profits.

About Patterson-UTI Energy

Patterson-UTI Energy, Inc is an oilfield services company that provides drilling, completion and production-related services to oil and natural gas exploration and production companies. Its operations are primarily focused on onshore oil and gas development in the United States.

The company provides contract land drilling services through a fleet of rigs, as well as directional drilling and related technologies used to guide wellbores. Patterson-UTI also offers pressure pumping and hydraulic fracturing, wireline, well-completion, equipment rental and other services that support the development and maintenance of unconventional wells.

Patterson-UTI expanded its completion-services business through its 2023 merger with NexTier Oilfield Solutions.