Patterson UTI Energy Inc. (NASDAQ:PTEN) director Robert Wayne Drummond Jr. has sold a significant portion of his holdings in the company, according to a recent filing with the Securities and Exchange Commission. On May 20, Drummond sold 150,000 shares of the oil and gas drilling company's common stock, netting a total of $1.73 million.
The shares were sold at a weighted average price of $11.55, with individual transactions ranging from $11.50 to $11.63 per share. This information was disclosed in a footnote to the filing, which also offered to provide further details about the number of shares sold at each price upon request.
Following the sale, Drummond still holds a substantial stake in the company, with 2,007,895 shares of common stock remaining in his direct ownership. Additionally, he has an indirect ownership of 250,000 shares held in trust(s), for which he serves as a trustee.
The recent transaction reflects a notable change in Drummond's investment in Patterson UTI Energy, though the filing did not disclose the reasons behind the sale. Investors often monitor insider transactions such as these for insights into executive sentiment regarding their company's stock.
Patterson UTI Energy, headquartered in Houston, Texas, specializes in drilling oil and gas wells and is incorporated in Delaware. The company has a long history in the energy sector and is known for its extensive fleet of land-based drilling rigs.
The transaction was signed off by Forrest Robinson, acting under a limited power of attorney for Drummond, which was filed with the SEC in September of the previous year. The filing was made public on May 21, the day after the reported transaction date.
InvestingPro Insights
Amidst the news of Patterson UTI Energy Inc. (NASDAQ:PTEN) director Robert Wayne Drummond Jr.'s stock sale, current and potential investors may find the following insights from InvestingPro valuable. The company's market capitalization stands at a robust $4.61 billion, reflecting its significant presence in the oil and gas drilling industry. Furthermore, PTEN's Price to Earnings (P/E) ratio, a key metric for assessing a company's value, is currently at 19.12, with an adjusted P/E ratio for the last twelve months as of Q1 2024 at a slightly lower 15.83.
Investors seeking stability might be interested in the fact that PTEN has maintained dividend payments for an impressive 21 consecutive years, signaling a potential for consistent income. This is complemented by a dividend yield of 2.79% as of the latest data, which can be particularly attractive in the current investment climate. Additionally, the company's liquid assets surpass its short-term obligations, indicating a healthy liquidity position that can reassure stakeholders of its financial resilience.
For those considering the stock's performance, it's worth noting that PTEN has experienced a 1-week price total return of 4.09%, and a 1-year price total return of 8.61%, as of the latest available data. Such figures can be useful for understanding the stock's recent market behavior.
For more detailed analysis and additional InvestingPro Tips, including predictions on profitability and stock price volatility, investors can visit Investing.com. There are 7 additional tips available, which could provide further insights into PTEN's financial health and future prospects. To gain access to these insights, consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
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