Patterson-UTI Energy (NASDAQ:PTEN) Posts Earnings Results, Beats Expectations By $0.03 EPS

Patterson-UTI Energy (NASDAQ:PTEN) announced its earnings results on Wednesday. The oil and gas company reported $0.07 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.04 by $0.03, FiscalAI reports. Patterson-UTI Energy had a negative net margin of 1.92% and a negative return on equity of 1.68%. The company had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.31 billion. During the same period in the previous year, the business earned ($0.10) EPS. The company’s revenue was up 14.1% on a year-over-year basis.

Patterson-UTI Energy Stock Up 0.3%

PTEN traded up $0.03 during trading on Thursday, reaching $12.63. The company had a trading volume of 4,880,736 shares, compared to its average volume of 9,421,560. The company has a market cap of $4.82 billion, a P/E ratio of -54.89 and a beta of 0.77. Patterson-UTI Energy has a 12 month low of $5.24 and a 12 month high of $13.39. The business’s fifty day moving average price is $11.85 and its 200 day moving average price is $10.45. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.75 and a quick ratio of 1.57.

Patterson-UTI Energy Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a yield of 3.2%. The ex-dividend date of this dividend is Tuesday, December 1st. Patterson-UTI Energy’s payout ratio is presently -173.91%.

Patterson-UTI Energy News Summary

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

• Positive Sentiment: Q3 results exceeded key expectations: Patterson-UTI reported third-quarter revenue of approximately $1.34 billion, up 14.1% year over year and ahead of the roughly $1.31 billion consensus estimate. Reported earnings were $0.07 per share versus expectations of $0.04; another earnings summary characterized adjusted EPS as $0.04, in line with consensus. Either measure represents a significant improvement from the $0.10-per-share loss recorded a year earlier. Patterson-UTI Energy Reports Third-Quarter Earnings
• Positive Sentiment: Management raised its outlook: Coverage of the earnings release says Patterson-UTI increased its forward outlook, reinforcing expectations for continued improvement in drilling and completion activity. Patterson-UTI Reports Strong Q3 Results and Raises Outlook
• Positive Sentiment: Income support remains attractive: The company declared a quarterly dividend of $0.10 per share, or $0.40 annually, implying a yield of about 3.2% at the cited share price. The dividend is payable December 15 to shareholders of record December 1. Patterson-UTI Dividend Announcement
• Neutral Sentiment: Technical and media coverage has identified PTEN as a potential breakout candidate because shares are trading near their 52-week high, but this reflects market momentum rather than a new fundamental development. Potential Breakout Stocks Article
• Negative Sentiment: Despite the earnings improvement, Patterson-UTI still reported a negative net margin and negative return on equity, highlighting the ongoing profitability risks facing the oilfield-services business.

Insider Transactions at Patterson-UTI Energy

In related news, Director Robert Drummond Jr. sold 198,395 shares of the stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $12.85, for a total transaction of $2,549,375.75. Following the completion of 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 transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director James Stewart sold 207,000 shares of the stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $11.54, for a total transaction of $2,388,780.00. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,027,000 shares of company stock worth $12,698,780 in the last 90 days. Company insiders own 2.20% of the company’s stock.

Wall Street Analysts Forecast Growth

PTEN has been the topic of a number of research analyst reports. Weiss Ratings upgraded shares of Patterson-UTI Energy from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Thursday, October 8th. Zacks Research lowered Patterson-UTI Energy from a “strong-buy” rating to a “hold” rating in a research note on Thursday, August 27th. Barclays boosted their price objective on Patterson-UTI Energy from $15.00 to $16.00 and gave the stock an “overweight” rating in a research report on Wednesday, August 5th. Susquehanna raised their target price on Patterson-UTI Energy from $12.00 to $13.00 and gave the company a “positive” rating in a report on Monday, August 3rd. Finally, Citigroup dropped their price target on Patterson-UTI Energy from $13.50 to $12.50 and set a “neutral” rating on the stock in a research report on Friday, October 2nd. Nine research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $13.14.

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.