Update shared on 25 Nov 2025
Analysts have adjusted their price targets for Patterson-UTI Energy, with estimates now ranging from $6 to $9 per share. This reflects mixed views based on recent earnings performance and evolving sector outlooks.
Analyst Commentary
Recent analyst updates on Patterson-UTI Energy reflect both optimism and caution regarding the company’s future performance. With price targets now ranging from $6 to $9 per share, analysts have highlighted various factors driving their perspectives on valuation, execution, and growth prospects.
Bullish Takeaways- Bullish analysts have raised their price targets following stronger-than-expected third-quarter results and guidance that exceeded prior forecasts.
- Near-term financial forecasts have been modestly increased, reflecting positive momentum in recent operational execution.
- Some see upside potential as recent quarterly performance demonstrates resilience within a challenging sector environment.
- Bearish analysts have lowered their price targets, citing risks to estimated performance in 2026 and a potentially softening completions market.
- Concerns remain over activity and pricing declines expected in the completions market over the next several quarters.
- Some believe current valuations already account for the company’s distributed power exposure, limiting room for further upside.
- Overall, a cautious stance is maintained as sector challenges are anticipated to persist into the foreseeable future.
What's in the News
- Between July 1, 2025 and September 30, 2025, Patterson-UTI Energy repurchased 6,000,000 shares for $33.86 million, representing 1.56% of shares outstanding (Key Developments).
- The company has now completed the repurchase of 92,588,733 shares, which is 34.59% of shares outstanding, for a total value of $1,003.49 million as part of the ongoing buyback program initiated in 2013 (Key Developments).
Valuation Changes
- Discount Rate has risen slightly from 7.97% to 8.07%.
- Revenue Growth estimate has improved marginally, from -1.03% to -1.00%.
- Net Profit Margin has increased from 6.91% to 7.17%.
- Future P/E ratio has decreased slightly from 9.78x to 9.71x.
- Fair Value estimate remains unchanged at $7.23 per share.
Disclaimer
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