UPDATE: Deutsche Bank Reiterates Hold on Patterson-UTI; Raises PT from $17 to $18

Deutsche Bank reiterated a Hold rating on Patterson-UTI

and raised its price target from $17 to $18. Deutsche Bank noted, “PTEN has been able to adjust to changing market conditions faster than some peers given their concentrated regional presence, cost cutting, and since they started seeing pricing pressure in their legacy position in Appalachia earlier than other plays. They still face some headwinds from here, including pricing pressures, lower utilization, and newbuilds without contracts. Therefore, we are maintaining our HOLD rating, but recognize PTEN's solid execution, share buybacks, and potential leverage when gas directed drilling improves.” Patterson-UTI closed at $15.65 on Thursday.