Patterson-UTI Energy Inc (PTEN)

Debt-to-equity ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	1,224,940	830,937	852,323	901,484	966,540
Total stockholders’ equity	US$ in thousands	4,812,290	1,665,520	1,609,490	2,016,060	2,833,620
Debt-to-equity ratio		0.25	0.50	0.53	0.45	0.34

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,224,940K ÷ $4,812,290K
= 0.25

The debt-to-equity ratio of Patterson-UTI Energy Inc has exhibited a decreasing trend over the past five years, indicating improved financial leverage and a stronger equity position relative to debt. The ratio decreased from 0.34 in 2019 to 0.27 in 2023, suggesting a reduction in the company's reliance on debt financing and a better balance between debt and equity in its capital structure. This trend indicates that the company may be managing its debt levels effectively while maintaining a healthy equity base to support its operations and growth initiatives.

Peer comparison

Dec 31, 2023

Company name

Symbol

Debt-to-equity ratio

Patterson-UTI Energy Inc

PTEN

0.25

Helmerich and Payne Inc

0.20

Nabors Industries Ltd