Patterson-UTI Energy Inc
NASDAQ:PTEN
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EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (11.9), the stock would be worth $-1.03 (110% downside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | -113.4 | $9.77 |
0%
|
| 3-Year Average | 11.9 | $-1.03 |
-110%
|
| Industry Average | 14.6 | $-1.26 |
-113%
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| Country Average | 19.6 | $-1.69 |
-117%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
$4B
|
/ |
Jan 2026
$-39.8m
|
= |
|
|
$4B
|
/ |
Dec 2026
$-90m
|
= |
|
|
$4B
|
/ |
Dec 2027
$9.6m
|
= |
|
|
$4B
|
/ |
Dec 2028
$199.7m
|
= |
|
Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
Patterson-UTI Energy Inc
NASDAQ:PTEN
|
3.7B USD | -113.4 | -39.6 | |
| CN |
|
China Oilfield Services Ltd
SSE:601808
|
72.8B CNY | 11.8 | 18.9 | |
| US |
|
Noble Corp (Cayman Island)
NYSE:NE
|
7.4B USD | 17.3 | 34.2 | |
| CH |
|
Transocean Ltd
NYSE:RIG
|
6.5B USD | 15.8 | -2.2 | |
| BM |
|
Valaris Ltd
NYSE:VAL
|
6.1B USD | 13.2 | 6.2 | |
| SA |
A
|
ADES Holding Company SJSC
SAU:2382
|
21.9B SAR | 19.3 | 26.8 | |
| US |
|
Noble Corporation PLC
CSE:NOBLE
|
31.4B DKK | 12.5 | 22.7 | |
| US |
|
Helmerich and Payne Inc
NYSE:HP
|
3.4B USD | 27.7 | -10.6 | |
| BM |
|
Seadrill Ltd
NYSE:SDRL
|
2.9B USD | 44.9 | -37.3 | |
| SA |
A
|
Arabian Drilling Co
SAU:2381
|
10.8B SAR | 83.5 | -143.1 | |
| UK |
|
Odfjell Drilling Ltd
OTC:ODFJF
|
2.7B USD | 12.8 | 15.1 |
Market Distribution
| Min | 0 |
| 30th Percentile | 13.6 |
| Median | 19.6 |
| 70th Percentile | 27.8 |
| Max | 1 826 183.2 |
Other Multiples
Patterson-UTI Energy Inc
Glance View
Patterson-UTI Energy Inc. stands as a formidable player in the energy sector, weaving its narrative through the vast landscape of oilfield services. Headquartered in Houston, Texas, the company has carved out a significant niche in the drilling and pressure pumping markets. At the core of its operations lies a robust fleet of high-spec drilling rigs, designed to tackle the complexities of modern energy extraction. Through its contract drilling segment, Patterson-UTI deploys these rigs across key basins in the United States, providing essential services that enable oil and natural gas companies to efficiently extract resources. This strategic focus on technologically advanced and performance-driven rig operations serves as a primary revenue source, making the company an indispensable partner in the upstream sector. Beyond drilling, Patterson-UTI leverages its expertise in pressure pumping services, which are critical in the hydraulic fracturing process, a method used extensively to enhance oil and gas recovery from challenging reservoirs. By offering integrated solutions that encompass both drilling and completion services, the company strives to maximize operational efficiency and deliver value to its clients. Furthermore, Patterson-UTI extends its prowess in the energy sector through strategic acquisitions and investments, constantly adapting to the shifting dynamics of the industry. Its business model is thereby firmly grounded in providing essential services that align with the evolving needs of energy producers, ultimately driving its financial performance and sustaining its competitive edge.
