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HOUSTON - Patterson-UTI Energy, Inc. (NASDAQ:PTEN) has maintained a consistent number of drilling rigs in operation throughout March 2025, with an average of 106 rigs actively earning revenue under contract in the United States. This level of activity also reflects the company’s average operational rig count for the first quarter ending March 31, 2025. The company’s operational stability comes amid strong revenue growth of 29.7% over the last twelve months, according to InvestingPro data, though current trading levels near 52-week lows suggest market uncertainty about the sector’s outlook.
The company, a prominent provider of drilling and completion services to the oil and natural gas sectors, highlighted that the average number of drilling rigs operating is a measure of rigs that are generating revenue and should not be directly correlated with financial performance. Patterson-UTI emphasized that various factors could influence their operating results, and the rig count may not necessarily predict financial outcomes. Despite operational challenges, the company maintains strong liquidity with a current ratio of 1.54 and has consistently paid dividends for 22 consecutive years, currently yielding 3.74%.
Patterson-UTI plans to continue its practice of issuing monthly updates on its drilling rig operations shortly after each month’s end. This regular reporting is part of the company’s commitment to transparency regarding its operational status.
Despite potential market volatility, including fluctuations in oil and gas prices and varying customer spending patterns, Patterson-UTI has managed to sustain its drilling rig operations. The company navigates an industry landscape that includes competition, regulatory changes, and technological advancements. InvestingPro analysis indicates the company’s current Fair Value suggests it may be undervalued, with 12 additional exclusive ProTips available for subscribers seeking deeper insights into the company’s financial health and market position.
The information disclosed is based on a press release statement and does not constitute an endorsement of Patterson-UTI’s performance or future outlook. The company’s forward-looking statements are subject to risks and uncertainties, many of which are beyond its control, and there can be no assurance that future developments affecting Patterson-UTI will be those that it has anticipated. Notably, two analysts have recently revised their earnings estimates upward for the upcoming period, though consensus forecasts available on InvestingPro suggest the company may face profitability challenges in the current fiscal year.
Investors and stakeholders are advised to consider the company’s SEC filings for a more detailed understanding of factors that could affect actual results, which may differ materially from those suggested by forward-looking statements. Patterson-UTI assumes no obligation to update or revise any such forward-looking statements publicly, whether as a result of new information, future events, or otherwise.
In other recent news, Patterson-UTI Energy Inc. reported a net loss for the fourth quarter of 2024, with earnings per share at -$0.13, missing the analyst forecast of -$0.08. Revenue for the quarter was $1.162 billion, falling short of the expected $1.24 billion. Despite these financial results, the company has focused on expanding its natural gas-powered completion equipment and reducing capital expenditures, with further cuts anticipated in 2025. Patterson-UTI Energy plans to generate significant free cash flow in 2025 and intends to return at least 50% of this to shareholders. Analysts from Raymond James and ATB Capital Markets have shown interest in the company’s performance-based contracts and capital allocation plans. The company has also successfully refinanced its revolving credit facility into a new five-year, $500 million unsecured credit facility. Additionally, Patterson-UTI Energy continues to explore opportunities in power generation, particularly with its natural gas-powered equipment, and is optimistic about the natural gas market’s long-term prospects.
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