Patterson-UTI Energy (NASDAQ:PTEN) Shares Down 3.8% - Here's What Happened

Key Points

• Shares slipped 3.8% to about $10.16 intraday (low $10.07) on Tuesday, with volume of 2.91 million shares — down roughly 74% from the average session volume of 11.19 million.
• Q4 results topped estimates as Patterson‑UTI reported EPS of -$0.02 (vs. -$0.11 consensus) and revenue of $1.15 billion (vs. $1.10 billion), and the company raised its quarterly dividend to $0.10 per share (a 4.0% yield).
• Analyst views are mixed: several firms (Goldman Sachs, RBC, Stifel, Zacks, BofA) have upgraded targets/ratings, but the MarketBeat consensus remains a "Hold" with a $8.78 price target.

Patterson-UTI Energy, Inc. (NASDAQ:PTEN - Get Free Report)'s share price traded down 3.8% during trading on Tuesday . The company traded as low as $10.07 and last traded at $10.1550. 2,912,442 shares traded hands during mid-day trading, a decline of 74% from the average session volume of 11,190,752 shares. The stock had previously closed at $10.56.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on the company. The Goldman Sachs Group increased their price target on Patterson-UTI Energy from $7.00 to $9.00 and gave the company a "buy" rating in a research note on Wednesday, March 4th. Royal Bank Of Canada increased their price objective on Patterson-UTI Energy from $8.00 to $9.00 and gave the company an "outperform" rating in a report on Friday, February 6th. Stifel Nicolaus increased their price objective on Patterson-UTI Energy from $9.00 to $11.00 and gave the company a "buy" rating in a report on Friday, February 6th. Zacks Research raised Patterson-UTI Energy from a "hold" rating to a "strong-buy" rating in a report on Friday. Finally, Bank of America reissued a "buy" rating on shares of Patterson-UTI Energy in a report on Monday, March 2nd. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, five have given a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $8.78.

Patterson-UTI Energy Stock Performance

The stock has a market capitalization of $3.76 billion, a price-to-earnings ratio of -39.82 and a beta of 0.57. The firm has a fifty day moving average of $9.50 and a 200 day moving average of $7.38. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.64 and a quick ratio of 1.46.

Patterson-UTI Energy (NASDAQ:PTEN - Get Free Report) last posted its earnings results on Wednesday, February 4th. The oil and gas company reported ($0.02) EPS for the quarter, topping the consensus estimate of ($0.11) by $0.09. The firm had revenue of $1.15 billion for the quarter, compared to analyst estimates of $1.10 billion. Patterson-UTI Energy had a negative return on equity of 1.50% and a negative net margin of 1.94%.Patterson-UTI Energy's revenue for the quarter was down 1.0% compared to the same quarter last year. During the same period last year, the company earned ($0.13) earnings per share. On average, sell-side analysts anticipate that Patterson-UTI Energy, Inc. will post -0.1 earnings per share for the current fiscal year.

Patterson-UTI Energy Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, March 16th. Investors of record on Monday, March 2nd were issued a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 4.0%. This is a positive change from Patterson-UTI Energy's previous quarterly dividend of $0.08. The ex-dividend date of this dividend was Monday, March 2nd. Patterson-UTI Energy's dividend payout ratio is -160.00%.

Insider Buying and Selling

In related news, Director Robert Wayne Drummond, Jr. sold 164,775 shares of the firm's stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $10.18, for a total transaction of $1,677,409.50. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 2.40% of the stock is currently owned by company insiders.

Institutional Trading of Patterson-UTI Energy

Several institutional investors have recently bought and sold shares of the business. O Shaughnessy Asset Management LLC grew its holdings in Patterson-UTI Energy by 11.4% in the fourth quarter. O Shaughnessy Asset Management LLC now owns 13,901 shares of the oil and gas company's stock valued at $85,000 after purchasing an additional 1,420 shares during the period. Aster Capital Management DIFC Ltd grew its holdings in Patterson-UTI Energy by 21.6% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 8,717 shares of the oil and gas company's stock valued at $53,000 after purchasing an additional 1,547 shares during the period. Sage Rhino Capital LLC grew its holdings in Patterson-UTI Energy by 6.6% in the fourth quarter. Sage Rhino Capital LLC now owns 25,371 shares of the oil and gas company's stock valued at $155,000 after purchasing an additional 1,575 shares during the period. The Manufacturers Life Insurance Company grew its holdings in Patterson-UTI Energy by 0.5% in the second quarter. The Manufacturers Life Insurance Company now owns 370,476 shares of the oil and gas company's stock valued at $2,197,000 after purchasing an additional 1,915 shares during the period. Finally, First Horizon Corp grew its holdings in Patterson-UTI Energy by 58.5% in the fourth quarter. First Horizon Corp now owns 5,554 shares of the oil and gas company's stock valued at $34,000 after purchasing an additional 2,049 shares during the period. 97.91% of the stock is owned by institutional investors and hedge funds.

Patterson-UTI Energy Company Profile

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.

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