Patterson-UTI (PTEN): Among the Best Oil and Gas Stocks for Dividend Income

Patterson-UTI Energy, Inc. (NASDAQ:PTEN) is included among the 12 Best Oil and Gas Dividend Stocks to Buy Now.

Following its 2023 acquisition of Nextier, Patterson-UTI Energy, Inc. (NASDAQ:PTEN) has emerged as a dominant player in US drilling and completions, boasting the country’s largest pressure pumping fleet. The company returned $51 million to shareholders in the first quarter of 2025, including $20 million for share repurchases. PTEN also declared a quarterly dividend of $0.08 per share in April and offers an attractive annual dividend yield of 5.37% as of the writing of this piece.

Over the 18 months from September 30, 2023, through March 31, 2025, Patterson-UTI Energy, Inc. (NASDAQ:PTEN) used approximately $387 million to repurchase shares and reduced its share count by 8%. The company still has $741 million in remaining share repurchase authorization as of the end of the first quarter of 2025. PTEN revealed in its investor presentation last month that it has a target to return at least 50% of this adjusted free cash flow to shareholders, supported by a strong capital structure with no senior note maturities until 2028.

Patterson-UTI Energy, Inc. (NASDAQ:PTEN) is a leading provider of drilling and completion services to oil and natural gas exploration and production companies in the United States and other select countries.

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Disclosure: None.