Over the past quarter, four analysts have given various ratings for Patterson-UTI Energy, showcasing a range of sentiments:
Recent Ratings Breakdown
- Bullish: 1 rating
- Somewhat Bullish: 3 ratings
- Indifferent: 0 ratings
- Somewhat Bearish: 0 ratings
- Bearish: 0 ratings
Ratings Over the Last 30 Days
- Somewhat Bullish: 1 rating
12-Month Price Targets
- Average Target: $14.5
- High Estimate: $17.00
- Low Estimate: $13.00
- Current Average: 8.69% lower than the prior average price target of $15.88.
Detailed Analyst Actions
The table below summarizes recent analyst actions, including changes to ratings and price targets:
Analyst Firm Action Taken Rating Current Price Target Prior Price Target Charles Minervino Susquehanna Lowers Positive $13.00 $14.00 Luke Lemoine Piper Sandler Lowers Overweight $14.00 $17.00 Jason Bandel Evercore ISI Group Lowers Outperform $17.00 $18.00 Chase Mulvehill B of A Securities Lowers Buy $14.00 $14.50
Insights from Analyst Actions
- Action Taken: Reflects adjustments to changing market conditions and company performance.
- Rating: Indicates analysts’ expectations for Patterson-UTI Energy’s performance relative to the broader market.
- Price Targets: Offer insights into analysts’ expectations for the company’s future value.
Company Overview: Patterson-UTI Energy
Patterson-UTI Energy is a major land rig drilling contractor in the U.S. Following its 2023 merger with NexTier, it significantly expanded its pressure pumping operations and now holds nearly 20% of the North American market for drilling and completions services. The company also provides directional drilling and tool rental services across most U.S. onshore oil and gas basins.
Financial Performance
- Market Capitalization: High market capitalization, signaling substantial size and market recognition.
- Revenue Growth: Achieved a 90.75% revenue growth rate over the past three months (as of March 31, 2024), surpassing industry averages.
- Net Margin: At 3.39%, below industry benchmarks, indicating challenges in cost control and profitability.
- Return on Equity (ROE): Impressive at 1.07%, exceeding industry averages.
- Return on Assets (ROA): Strong at 0.7%, also above industry norms.
- Debt Management: Debt-to-equity ratio of 0.28, indicating a conservative financial approach and lower dependency on debt financing.
Understanding Analyst Ratings
Analysts specialize in assessing specific stocks or sectors. Their research involves:
- Attending company meetings and conference calls.
- Analyzing financial statements.
- Engaging with insiders.
These evaluations typically occur quarterly and may include growth estimates, earnings, and revenue predictions, providing investors with a comprehensive outlook. However, it’s essential to consider that analysts’ forecasts can be subjective.
