Patterson-UTI Energy (NASDAQ:PTEN) Stock Rating Upgraded by Zacks Research

Key Points

• Zacks Research upgraded Patterson-UTI Energy from “hold” to “strong buy.” The stock carries a broader “Moderate Buy” consensus rating with an average analyst price target of $12.15.
• Patterson-UTI reported second-quarter revenue of $1.23 billion, above the $1.15 billion consensus estimate, while its loss narrowed year over year to $0.05 per share. However, GAAP EPS still missed expectations by $0.01, and profitability metrics remained negative.
• PTEN shares opened at $9.85, within a 52-week range of $5.10 to $13.08. Institutional investors own approximately 97.91% of the stock, while insiders sold more than $5 million in shares during the latest quarter.

Patterson-UTI Energy (NASDAQ:PTEN - Get Free Report) was upgraded by stock analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a research note issued to investors on Wednesday,Zacks.com reports.

Several other brokerages have also recently weighed in on PTEN. Capital One Financial raised shares of Patterson-UTI Energy from an "equal weight" rating to an "overweight" rating and set a $12.00 target price on the stock in a report on Monday, April 20th. The Goldman Sachs Group upped their price target on Patterson-UTI Energy from $11.00 to $13.00 and gave the company a "buy" rating in a report on Thursday, June 4th. 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. Royal Bank Of Canada upped their target price on Patterson-UTI Energy from $14.00 to $15.00 and gave the company an "outperform" rating in a research report on Friday, May 29th. Finally, Citigroup lowered their target price on shares of 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. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, three have given a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $12.15.

Patterson-UTI Energy Price Performance

Patterson-UTI Energy stock opened at $9.85 on Wednesday. The company's 50 day moving average is $10.37 and its two-hundred day moving average is $9.92. The firm has a market cap of $3.74 billion, a PE ratio of -42.83 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. Patterson-UTI Energy has a 52-week low of $5.10 and a 52-week high of $13.08.

Patterson-UTI Energy (NASDAQ:PTEN - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The oil and gas company reported ($0.05) earnings per share for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.01). Patterson-UTI Energy had a negative return on equity of 1.67% and a negative net margin of 1.92%.The company had revenue of $1.23 billion for the quarter, compared to analysts' expectations of $1.15 billion. During the same period in the prior year, the company posted ($0.13) EPS. The firm's revenue was up .7% compared to the same quarter last year. On average, research analysts expect that Patterson-UTI Energy will post -0.06 EPS for the current fiscal year.

Insider Transactions at Patterson-UTI Energy

In other Patterson-UTI Energy news, Director Robert Wayne Drummond, Jr. sold 61,475 shares of the business's stock in a transaction on Monday, May 4th. The shares were sold at an average price of $12.02, for a total value of $738,929.50. Following the transaction, the director directly owned 1,128,773 shares of the company's stock, valued at approximately $13,567,851.46. The trade was a 5.16% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO William Andrew Hendricks, Jr. sold 200,000 shares of the company's stock in a transaction on Friday, June 5th. The stock was sold at an average price of $11.64, for a total transaction of $2,328,000.00. Following the transaction, the chief executive officer owned 2,542,474 shares of the company's stock, valued at approximately $29,594,397.36. The trade was a 7.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 435,145 shares of company stock worth $5,074,506 over the last quarter. 2.20% of the stock is currently owned by corporate insiders.

Institutional Trading of Patterson-UTI Energy

Several hedge funds have recently modified their holdings of PTEN. Tudor Investment Corp ET AL acquired a new stake in Patterson-UTI Energy in the third quarter valued at $2,206,000. SG Americas Securities LLC increased its holdings in Patterson-UTI Energy by 141.3% in the fourth quarter. SG Americas Securities LLC now owns 183,804 shares of the oil and gas company's stock valued at $1,123,000 after buying an additional 107,638 shares in the last quarter. Convergence Investment Partners LLC purchased a new stake in shares of Patterson-UTI Energy during the 1st quarter worth approximately $1,325,000. Prescott Group Capital Management L.L.C. acquired a new position in Patterson-UTI Energy during the fourth quarter worth $1,161,000. Finally, Principal Financial Group Inc. increased its position in shares of Patterson-UTI Energy by 92.6% in the fourth quarter. Principal Financial Group Inc. now owns 8,515,581 shares of the oil and gas company's stock valued at $52,030,000 after buying an additional 4,093,636 shares in the last quarter. 97.91% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Patterson-UTI Energy

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

• Positive Sentiment: Second-quarter revenue totaled $1.23 billion, exceeding analysts’ estimate of $1.15 billion and increasing approximately 0.7% year over year. The sales outperformance is the primary reason for the stock’s advance. Patterson-UTI posts better-than-expected sales in Q2 CY2026
• Positive Sentiment: Reported earnings improved from a loss of $0.13 per share in the year-ago quarter to a loss of $0.05 per share. Some adjusted-earnings coverage characterized results as break-even, ahead of the consensus expectation for a $0.03 loss, suggesting better underlying performance than last year. Patterson-UTI reports break-even earnings for Q2
• Positive Sentiment: Patterson-UTI declared a quarterly dividend of $0.10 per share, payable September 15 to shareholders of record September 1. The dividend represents an annualized yield of roughly 4.2%, which may support income-focused investor interest.
• Neutral Sentiment: The company’s results were mixed across key metrics, with revenue well above expectations but profitability still pressured. Investors will likely look for details on drilling activity, pricing, margins and management’s outlook in the earnings materials and conference call. Patterson-UTI earnings conference call
• Negative Sentiment: GAAP EPS of negative $0.05 missed the consensus estimate of negative $0.04 by $0.01. Patterson-UTI also reported a negative net margin of 2.56% and negative return on equity of 2.32%, indicating that the business remains unprofitable despite the revenue beat. Patterson-UTI second-quarter earnings

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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