Stock of the Day

March 23, 2020

Patterson-UTI Energy (PTEN)

$12.79
+$0.15 (+1.2%)
Market Cap: $4.82B

About Patterson-UTI Energy

Patterson-UTI Energy, Inc., through its subsidiaries, engages in the provision of contract drilling services to oil and natural gas operators in the United States and internationally. It operates through three segments: Drilling Services, Completion Services, and Drilling Products. The Contract Drilling Services segment provides contract and directional drilling services in onshore oil and natural gas basins, as well as engages in the service and re-certification of equipment for drilling contractors, and provision of electrical controls and automation to the energy, marine and mining industries. The Completion Services segment offers services for hydraulic fracturing, wireline and pumping, completion support, and cementing; and involved in the power solutions natural gas fueling, and logistics and storage businesses. The Drilling Products segment manufactures and distributes drill bits for energy and mining markets. It also provides software and services, such as MWD Survey FDIR, a data analytics technology to analyze MWD survey data in real-time and identify the position of a well; HiFi Nav, which enhances FDIR by targeting improved vertical placement of the directional well within the reservoir; HiFi Guidance, utilizes trajectory optimization to determine optimal steering recommendations and placement within the reservoir; and rents oilfield tools. The company was founded in 1978 and is headquartered in Houston, Texas.

Today's Trend

Patterson-UTI Energy, Inc. (NASDAQ: PTEN) shares have increased as higher crude oil prices and improving analyst forecasts support the outlook for the oilfield-services company. Oil above $80 per barrel, aided by Middle East tensions, could encourage upstream exploration and drilling activity, potentially benefiting Patterson-UTI’s contract-drilling and completion-services businesses.

  • Higher oil prices are improving expectations for drilling activity and energy-services demand. Patterson-UTI was highlighted as one of two energy stocks that could benefit from crude prices above $80. Oil Above $80: 2 Energy Stocks You Don't Want to Miss
  • Zacks Research maintains a “Strong Buy” view and raised several longer-term earnings forecasts. FY2026 EPS was improved to a loss of $0.05 from a loss of $0.10, FY2027 EPS to $0.04 from $0.02, and FY2028 EPS to $0.38 from $0.27. Estimates for Q1 2027 and Q3 2027 also improved modestly.
  • Analysts identified PTEN as one of the drilling stocks bucking a generally bearish industry trend, suggesting relative strength within the oil-and-gas drilling group. 3 Oil & Gas Drilling Stocks Bucking a Bearish Industry Trend
  • The broader analyst view is a “Moderate Buy,” indicating constructive sentiment but not unanimous conviction. Patterson-UTI Energy Given Consensus Recommendation of Moderate Buy
  • Not all revisions were favorable: Q4 2027 EPS was lowered to $0.04 from $0.05, while the current full-year consensus still calls for a $0.04-per-share loss. This highlights continuing near-term profitability risk.
← Previous Stock of the DayNext Stock of the Day →

Recent News