Patterson-UTI Insiders Sell $12.7M Before Q3 Report
The CEO and three insiders of Patterson-UTI Energy sold $12.7 million in stock with zero offsetting purchases between August 25 and September 18, a concentrated sell-down that precedes Q3 results due
Patterson-UTI Insiders Sell $12.7M Ahead of Q3 Report
NEW YORK, October 28 —
The CEO, two board directors, and the general counsel of Patterson-UTI Energy, Inc. (PTEN) sold a combined $12.70 million in open-market shares between August 25 and September 18 with zero purchases recorded in the window, a concentrated sell-down that lands immediately before Q3 results Wednesday, when analysts are forecasting an 11.1% revenue rebound.
- Q3 results due after the bell Wednesday; analyst consensus forecasts 11.1% year-on-year revenue growth.
- CEO Hendricks sold 500,000 shares in September for $6.21 million; combined insider sales reach $12.70 million with zero purchases.
Four Insiders, Zero Buyers
The cluster is the central fact. CEO William Andrew Hendricks Jr. sold 500,000 shares in two tranches: 250,000 at $12.93 on September 2 and 250,000 at $11.91 on September 18, collecting $6.21 million total. Director Robert Wayne Drummond Jr. sold approximately $2.57 million in early September. Director James Carl Stewart and EVP and General Counsel Seth David Wexler each sold on August 25, for $2.39 million and $1.53 million respectively. When the CEO, two board directors, and the general counsel all sell within three weeks with no offsetting purchases, it is the kind of unanimity that deserves explanation.
An Expensive Multiple on a Profitless Book
Patterson-UTI Energy runs contract drilling rigs and hydraulic fracturing crews for oil and gas producers in the US, Canada, and Colombia, and manufactures drill bits through a Drilling Products segment. It carries net debt of $1.09 billion against only $0.20 billion in cash, though trailing free cash flow of $254 million provides a buffer. The market is awarding it a 34.5 times forward P/E on trailing EPS of -$0.24, a multiple that only makes sense if the consensus revenue rebound converts into a genuine earnings turn. The DCF calculator is the right lens for stress-testing whether current cash flows justify that premium.
| Ticker | Mkt cap | Fwd P/E | 52-wk |
|---|---|---|---|
| PTEN | $4.7B | 35.6x | +88.1% |
| NBR | $1.4B | 19.5x | +56.4% |
| HP | $4.2B | 27.3x | +49.4% |
| NE | $7.5B | 22.8x | +54.2% |
| PDS | $1.3B | 12.0x | +70.5% |
| RES | $1.5B | 22.9x | +32.0% |
Wednesday's Proof
The constructive case rests on the Q3 report due after the close Wednesday. Analysts forecast 11.1% year-on-year revenue growth, a real acceleration from Q2's flat performance that would validate the Street's inflection thesis. The number that changes the analysis is positive EPS: a shift into the black would begin to justify the 34.5 times forward multiple and recast the September selling as routine portfolio management rather than a near-term signal. Absent that, four insiders who sold at $11 to $13 per share will look like the better-informed trade. Run the free Patterson-UTI Energy, Inc. deep-dive → for the latest numbers.
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Frequently Asked Questions
Why did Patterson-UTI insiders sell stock?
The CEO, two board directors, and the general counsel of Patterson-UTI Energy sold a combined $12.7 million in open-market shares between August 25 and September 18 with zero purchases recorded in the window. The concentrated sell-down lands immediately before Q3 results due Wednesday.
When are Patterson-UTI Q3 earnings?
Q3 results are due after the close on Wednesday. Analyst consensus forecasts 11.1% year-on-year revenue growth.
How much did Patterson-UTI CEO sell?
CEO William Andrew Hendricks Jr. sold 500,000 shares in two tranches, collecting $6.21 million total. He sold 250,000 shares at $12.93 on September 2 and 250,000 shares at $11.91 on September 18.
What is Patterson-UTI's valuation?
The market is awarding Patterson-UTI a 34.5 times forward P/E on trailing EPS of -$0.24, a multiple that only makes sense if the consensus revenue rebound converts into a genuine earnings turn.
How much did other Patterson-UTI insiders sell?
Director Robert Wayne Drummond Jr. sold approximately $2.57 million in early September. Director James Carl Stewart sold $2.39 million and EVP and General Counsel Seth David Wexler sold $1.53 million, both on August 25.
Patterson-UTI Energy reports Q3 2026 results after the bell Wednesday with analysts forecasting an 11.1% revenue rebound — yet the CEO, a director, and the general counsel sold a combined $12.7 million in stock between August 25 and September 18 with zero insider purchases in the period, a pattern that cuts against the constructive Street setup.