Patterson-UTI Energy
Market Cap
US$1.7b
Last Updated
2019/08/21 23:43 UTC
Data Sources
Company Financials +
Executive Summary
Patterson-UTI Energy, Inc., through its subsidiaries, provides onshore contract drilling services to oil and natural gas operators in the United States and Canada.
Snowflake
Fundamentals
Adequate balance sheet and slightly overvalued.
Risks
- Patterson-UTI Energy has significant price volatility in the past 3 months.
Similar Companies
Share Price & News
How has Patterson-UTI Energy's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
0.1%
NasdaqGS:PTEN
3.9%
US Energy Services
2.9%
US Market
1 Year Return
-51.9%
NasdaqGS:PTEN
-48.3%
US Energy Services
0.2%
US Market
PTEN underperformed the Energy Services industry which returned -47.9% over the past year.
PTEN underperformed the Market in United States of America which returned -0.7% over the past year.
Share holder returns
| PTEN | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.1% | 3.9% | 2.9% |
| 30 Day | -21.8% | -16.0% | -2.3% |
| 90 Day | -25.1% | -14.1% | 3.1% |
| 1 Year | -51.4%-51.9% | -47.0%-48.3% | 2.4%0.2% |
| 3 Year | -58.1%-58.9% | -52.1%-57.8% | 41.7%32.4% |
| 5 Year | -73.1%-74.7% | -70.9%-75.2% | 55.1%37.9% |
Price Volatility Vs. Market
How volatile is Patterson-UTI Energy's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Should You Be Concerned About Patterson-UTI Energy, Inc.'s (NASDAQ:PTEN) Historical Volatility?4 weeks ago | Simply Wall St
Patterson-UTI Energy (NASDAQ:PTEN) Is Using Debt In A Risky Way1 month ago | Simply Wall St
Zooming in on NASDAQ:PTEN's 1.4% Dividend YieldValuation
Is Patterson-UTI Energy undervalued based on future cash flows and its price relative to the stock market?
33%
Discount to future cash flow value
Intrinsic Value Based on Future Cash Flows
Patterson-UTI Energy's share price is below the future cash flow value, and at a moderate discount (> 20%).
Patterson-UTI Energy's share price is below the future cash flow value, but not at a substantial discount (< 40%).
Price Based on Earnings
Patterson-UTI Energy is loss making, we can't compare its value to the US Energy Services industry average.
Patterson-UTI Energy is loss making, we can't compare the value of its earnings to the United States of America market.
Price Based on Expected Growth
Unable to calculate PEG ratio for Patterson-UTI Energy, we can't assess if its growth is good value.
Price Based on Value of Assets
Patterson-UTI Energy is good value based on assets compared to the US Energy Services industry average.
Next Steps
Future Growth
How is Patterson-UTI Energy expected to perform in the next 1 to 3 years based on estimates from 24 analysts?
24.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
Patterson-UTI Energy's revenue is expected to grow by 5.6% yearly, however this is not considered high growth (20% yearly).
Patterson-UTI Energy is not considered high growth as it is expected to be loss making for the next 1-3 years.
Patterson-UTI Energy's revenue growth is positive but not above the United States of America market average.
Unable to compare Patterson-UTI Energy's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.
Unable to compare Patterson-UTI Energy's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Earnings per Share Growth Estimates
Future Return on Equity
Unable to establish if Patterson-UTI Energy will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
Next Steps
Past Performance
How has Patterson-UTI Energy performed over the past 5 years?
-24.4%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Patterson-UTI Energy does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
Unable to compare Patterson-UTI Energy's 1-year earnings growth to the 5-year average as it is not currently profitable.
Unable to compare Patterson-UTI Energy's 1-year growth to the US Energy Services industry average as it is not currently profitable.
Return on Equity
It is difficult to establish if Patterson-UTI Energy has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
Return on Assets
It is difficult to establish if Patterson-UTI Energy has efficiently used its assets last year compared to the US Energy Services industry average (Return on Assets) as it is loss-making.
Return on Capital Employed
It is difficult to establish if Patterson-UTI Energy improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
Next Steps
Financial Health
How is Patterson-UTI Energy's financial position?
Financial Position Analysis
Patterson-UTI Energy is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Patterson-UTI Energy's long term commitments exceed its cash and other short term assets.
Debt to Equity History and Analysis
Patterson-UTI Energy's level of debt (34.2%) compared to net worth is satisfactory (less than 40%).
The level of debt compared to net worth has increased over the past 5 years (24.1% vs 34.2% today).
Balance Sheet
High level of physical assets or inventory.
Debt is not covered by short term assets, assets are 0.8x debt.
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Whilst loss making Patterson-UTI Energy has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
Whilst loss making Patterson-UTI Energy has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 12% per year.
Next Steps
Dividend
What is Patterson-UTI Energy's current dividend yield, its reliability and sustainability?
1.88%
Expected Dividend Yield
Upcoming Dividend Payment
Purchase Patterson-UTI Energy before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield and Payments Analysis
Patterson-UTI Energy's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
Patterson-UTI Energy's dividend is below the markets top 25% of dividend payers in United States of America (3.85%).
Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
Dividends per share have fallen over the past 10 years.
Current Payout to Shareholders
The company is paying a dividend however it is incurring a loss.
Future Payout to Shareholders
The company is expected to pay a dividend in 3 years whilst incurring a loss, therefore the dividend is not expected to be well covered.
Next Steps
Management
What is the CEO of Patterson-UTI Energy's salary, the management and board of directors tenure and is there insider trading?
7.6yrs
Average management tenure
CEO
Andy Hendricks (54yo)
6.8yrs
Tenure
US$9,764,924
Compensation
Mr. William Andrew Hendricks, Jr., also known as Andy, has been Chief Executive Officer and President at Seventy Seven Energy Inc. since April 20, 2017. Mr. Hendricks has been the Chief Executive Officer a ...
CEO Compensation Analysis
Andy's remuneration is higher than average for companies of similar size in United States of America.
Andy's compensation has been consistent with company performance over the past year, both up more than 20%.
Management Age and Tenure
7.6yrs
Average Tenure
55yo
Average Age
The average tenure for the Patterson-UTI Energy management team is over 5 years, this suggests they are a seasoned and experienced team.
Board Age and Tenure
6.9yrs
Average Tenure
64.5yo
Average Age
The tenure for the Patterson-UTI Energy board of directors is about average.
Insider Trading
No 3 month open market individual insider trading information.
Recent Insider Transactions
| Entity | Individual |
| Role | Lead Director Lead Director |
| Shares | 20,000 |
| Max Price | US$10.14 |
Ownership Breakdown
Management Team
Mark Siegel (68yo)
Executive Chairman
- Tenure: 18.3yrs
- Compensation: US$7.31m
Kenneth Berns (59yo)
Executive VP & Chief Commercial Officer
- Tenure: 16.3yrs
- Compensation: US$3.79m
Mike Drickamer
Vice President of Investor Relations
- Tenure: 0.0yrs
Seth Wexler (47yo)
Senior VP
- Tenure: 10.0yrs
- Compensation: US$1.09m
Andy Smith (48yo)
Executive VP & CFO
- Tenure: 1.9yrs
- Compensation: US$2.80m
James Holcomb (56yo)
President of UTI Drilling Company LLC
- Tenure: 7.6yrs
- Compensation: US$2.58m
Andy Hendricks (54yo)
President
- Tenure: 6.8yrs
- Compensation: US$9.76m
Board Members
Mark Siegel (68yo)
Executive Chairman
- Tenure: 18.3yrs
- Compensation: US$7.31m
Chris Huff (61yo)
Lead Director
- Tenure: 0.0yrs
- Compensation: US$289.99k
Terry Hunt (70yo)
Director
- Tenure: 16.3yrs
- Compensation: US$274.99k
Mike Conlon (72yo)
Director
- Tenure: 6.9yrs
- Compensation: US$269.99k
Chuck Buckner (74yo)
Director
- Tenure: 12.5yrs
- Compensation: US$265.53k
TJ Thom Cepak (46yo)
Director
- Tenure: 5.0yrs
- Compensation: US$269.45k
Andy Hendricks (54yo)
President
- Tenure: 6.8yrs
- Compensation: US$9.76m
Janeen Judah (59yo)
Director
- Tenure: 1.3yrs
- Compensation: US$243.38k
Company Information
Patterson-UTI Energy, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Patterson-UTI Energy, Inc.
- Ticker: PTEN
- Exchange: NasdaqGS
- Founded: 1978
- Industry: Oil and Gas Drilling
- Sector: Energy
- Market Cap: US$1.731b
- Shares outstanding: 202.45m
- Website: https://www.patenergy.com
Number of Employees
Location
- Patterson-UTI Energy, Inc.
- 10713 West Sam Houston Parkway North
- Suite 800
- Houston
- Texas
- 77064
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PTEN | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Nov 1993 |
| PE1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Nov 1993 |
Biography
Patterson-UTI Energy, Inc., through its subsidiaries, provides onshore contract drilling services to oil and natural gas operators in the United States and Canada. It operates through three segments: Contr ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/08/21 23:43 |
| End of Day Share Price | 2019/08/21 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.