Watch List: Adding PTEN

[dan_s]

I have completed my Net Income and Cash Flow Forecast for Patterson-UTI Energy (PTEN)

It closed today at $26.09

Earnings Per Share / Cash Flow Per Share:
2009 Actual = ($0.25) / $2.46
2010 Actual = $0.76 / $3.31
2011 Forecast = $1.84 / $5.92
2012 Forecast = $2.60 / $7.66

My estimate of current Fair Value ( 6 X 2011 CFPS) = $35.50 with a reasonable 12-month target price of $46.00.

My Net Income and Cash Flow Forecast model will be posted to the website tomorrow under the Watch List tab.

As a comparison:
> Helmerich & Payne (HP) is currently trading at 8.7 X 2010 CFPS
> Nabors Industries (NBR) is currently trading at 7.2 X 2010 CFPS
> Unit Corp (UNT) is currently trading at 5.9 X 2010 CFPS