Patterson-UTI Energy (NASDAQ:PTEN) Shares Gap Down - Should You Sell?

Key Points

• Patterson-UTI Energy shares fell 4.7%, opening at $9.83 versus a previous close of $10.20 and trading near $9.91. The stock remains below its 50-day moving average of $10.61 but near its 200-day average of $9.84.
• Analyst sentiment is mixed, with nine Buy, four Hold, and two Sell ratings producing a consensus “Hold” rating and an average price target of $12.15. Recent targets range from $10.00 to $15.00.
• Company insiders sold more than 1 million shares worth approximately $11.9 million over the past 90 days, while institutional investors own 97.91% of the stock and several major funds increased their positions.

Shares of Patterson-UTI Energy, Inc. (NASDAQ:PTEN - Get Free Report) gapped down prior to trading on Monday . The stock had previously closed at $10.20, but opened at $9.83. Patterson-UTI Energy shares last traded at $9.91, with a volume of 580,602 shares changing hands.

Analysts Set New Price Targets

A number of equities analysts recently commented on the company. Citigroup reduced their price objective on Patterson-UTI Energy from $11.00 to $10.50 and set a "neutral" rating on the stock in a research report on Monday, June 29th. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of Patterson-UTI Energy in a research note on Tuesday, May 26th. Capital One Financial upgraded Patterson-UTI Energy from an "equal weight" rating to an "overweight" rating and set a $12.00 price target on the stock in a report on Monday, April 20th. Stifel Nicolaus boosted their price target on shares of Patterson-UTI Energy from $14.00 to $15.00 and gave the company a "buy" rating in a research report on Tuesday, June 16th. Finally, Morgan Stanley upped their price objective on shares of Patterson-UTI Energy from $7.00 to $10.00 and gave the company an "equal weight" rating in a report on Wednesday, April 15th. Nine equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Patterson-UTI Energy presently has a consensus rating of "Hold" and a consensus price target of $12.15.

Patterson-UTI Energy Trading Down 4.7%

The business's 50-day simple moving average is $10.61 and its two-hundred day simple moving average is $9.84. The firm has a market capitalization of $3.69 billion, a price-to-earnings ratio of -31.40 and a beta of 0.62. The company has a quick ratio of 1.63, a current ratio of 1.84 and a debt-to-equity ratio of 0.39.

Insider Buying and Selling at Patterson-UTI Energy

In other news, CAO Forrest C. Robinson sold 13,670 shares of the stock in a transaction on Monday, June 8th. The stock was sold at an average price of $12.01, for a total value of $164,176.70. Following the sale, the chief accounting officer directly owned 56,842 shares in the company, valued at approximately $682,672.42. This trade represents a 19.39% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO James Michael Holcomb sold 150,000 shares of the business's stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $11.47, for a total value of $1,720,500.00. Following the transaction, the chief operating officer directly owned 421,523 shares of the company's stock, valued at approximately $4,834,868.81. This represents a 26.25% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 1,007,844 shares of company stock valued at $11,922,302. Insiders own 2.20% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP raised its position in shares of Patterson-UTI Energy by 14.9% during the 1st quarter. Dimensional Fund Advisors LP now owns 21,211,576 shares of the oil and gas company's stock worth $229,732,000 after acquiring an additional 2,745,872 shares in the last quarter. State Street Corp lifted its position 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 during the last quarter. Sourcerock Group LLC boosted its holdings in shares of Patterson-UTI Energy by 109.2% in the 2nd quarter. Sourcerock Group LLC now owns 13,803,775 shares of the oil and gas company's stock valued at $81,856,000 after buying an additional 7,205,652 shares in the last quarter. Goldman Sachs Group Inc. grew its position in shares of Patterson-UTI Energy by 110.8% in the 4th quarter. Goldman Sachs Group Inc. now owns 10,559,219 shares of the oil and gas company's stock valued at $64,517,000 after buying an additional 5,551,276 shares during the last quarter. Finally, Principal Financial Group Inc. raised its stake in Patterson-UTI Energy by 11.0% during the 1st quarter. Principal Financial Group Inc. now owns 9,450,347 shares of the oil and gas company's stock worth $102,347,000 after acquiring an additional 934,766 shares in the last quarter. 97.91% of the stock is owned by institutional investors and hedge funds.

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.

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