Patterson-UTI Energy, Inc. to Issue Quarterly Dividend of $0.10 (NASDAQ:PTEN)

Key Points

• Patterson-UTI declared a quarterly dividend of $0.10 per share (annualized $0.40) payable June 15 to shareholders of record on June 1, with an indicated yield of about 3.7% (ex-dividend date June 1).
• Dividend sustainability is a concern: the company shows a reported dividend payout ratio of -800% and analysts project negative earnings next year, indicating earnings will not cover the $0.40 annual dividend.
• Latest quarter: EPS of ($0.06) beat the ($0.10) estimate and revenue was $1.12 billion (down 12.7% year-over-year), but the business still posted negative net margin and ROE.

Patterson-UTI Energy, Inc. (NASDAQ:PTEN - Get Free Report) declared a quarterly dividend on Wednesday, April 22nd. Stockholders of record on Monday, June 1st will be given a dividend of 0.10 per share by the oil and gas company on Monday, June 15th. This represents a c) annualized dividend and a dividend yield of 3.7%. The ex-dividend date of this dividend is Monday, June 1st.

Patterson-UTI Energy has raised its dividend by an average of 0.3%per year over the last three years. Patterson-UTI Energy has a dividend payout ratio of -800.0% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Patterson-UTI Energy to earn ($0.08) per share next year, which means the company may not be able to cover its $0.40 annual dividend with an expected future payout ratio of -500.0%.

Patterson-UTI Energy Stock Performance

Patterson-UTI Energy stock opened at $10.81 on Thursday. The business has a 50 day moving average of $9.76 and a 200-day moving average of $7.60. Patterson-UTI Energy has a 1 year low of $5.10 and a 1 year high of $11.75. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.64 and a quick ratio of 1.46. The company has a market capitalization of $4.10 billion, a P/E ratio of -43.24 and a beta of 0.57.

Patterson-UTI Energy (NASDAQ:PTEN - Get Free Report) last released its quarterly earnings data on Wednesday, April 22nd. The oil and gas company reported ($0.06) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.10) by $0.04. Patterson-UTI Energy had a negative return on equity of 1.50% and a negative net margin of 1.94%.The company had revenue of $1.12 billion during the quarter, compared to the consensus estimate of $1.11 billion. The company's quarterly revenue was down 12.7% compared to the same quarter last year. On average, equities research analysts predict that Patterson-UTI Energy will post -0.31 earnings per share for the current year.

Insiders Place Their Bets

In other Patterson-UTI Energy news, Director Robert Wayne Drummond, Jr. sold 164,775 shares of the stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $10.18, for a total transaction of $1,677,409.50. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 2.40% of the company's stock.

Institutional Trading of Patterson-UTI Energy

A number of institutional investors and hedge funds have recently added to or reduced their stakes in PTEN. Dimensional Fund Advisors LP boosted its holdings in shares of Patterson-UTI Energy by 8.6% during the 4th quarter. Dimensional Fund Advisors LP now owns 18,465,704 shares of the oil and gas company's stock worth $112,825,000 after buying an additional 1,465,102 shares in the last quarter. American Century Companies Inc. boosted its holdings in shares of Patterson-UTI Energy by 7.9% during the 3rd quarter. American Century Companies Inc. now owns 15,599,294 shares of the oil and gas company's stock worth $80,804,000 after buying an additional 1,135,704 shares in the last quarter. State Street Corp boosted its holdings in shares of Patterson-UTI Energy by 0.5% during the 4th quarter. State Street Corp now owns 15,265,086 shares of the oil and gas company's stock worth $93,270,000 after buying an additional 75,560 shares in the last quarter. Sourcerock Group LLC boosted its holdings in shares of Patterson-UTI Energy by 109.2% during the 2nd quarter. Sourcerock Group LLC now owns 13,803,775 shares of the oil and gas company's stock worth $81,856,000 after buying an additional 7,205,652 shares in the last quarter. Finally, Goldman Sachs Group Inc. boosted its holdings in shares of Patterson-UTI Energy by 110.8% during the 4th quarter. Goldman Sachs Group Inc. now owns 10,559,219 shares of the oil and gas company's stock worth $64,517,000 after buying an additional 5,551,276 shares in the last quarter. Institutional investors and hedge funds own 97.91% of the company's stock.

About Patterson-UTI Energy

Patterson-UTI Energy provides a comprehensive suite of onshore contract drilling and pressure pumping services to exploration and production companies in North America. The company's core offerings include land-based drilling rigs, directional drilling, hydraulic fracturing services, downhole tool rental and well-servicing equipment. By integrating drilling and completion capabilities, Patterson-UTI Energy offers operators a streamlined solution designed to improve operational efficiency and well performance.

Headquartered in Houston, Texas, Patterson-UTI Energy traces its origins to its founding in 1978 and was later incorporated in Delaware in 1996.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.