NEW YORK (TheStreet) -- Patterson-UTI Energy (PTEN) - Get Report stock closed higher by 0.36% to $13.97 on heavy trading volume on Friday, as oil prices increased after the U.S. rig count declined.

WTI crude is rising 1.43% to $45.55 per barrel, while Brent crude is up 0.52% to $48.42 per barrel this afternoon, according to the index.

U.S. oil companies took four rigs out of production, but analysts and traders are still concerned demand is not enough to deal with the oversupply, Reuters reports.

"I'm predicting a return to the low $40 levels or even below by next month," Tyche Advisors trader Tariq told Reuters. "As U.S. refinery maintenance kicks into full gear, we're going to start seeing inventory builds instead of draws."

By the end of the trading day, 6.77 million shares of Patterson-UTI Energy had exchanged hands, compared with its average daily volume of 5.26 million shares.

Separately, TheStreet Ratings team rates PATTERSON-UTI ENERGY INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

We rate PATTERSON-UTI ENERGY INC (PTEN) a HOLD. The primary factors that have impacted our rating are mixed — some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, feeble growth in the company's earnings per share and deteriorating net income.

Highlights from the analysis by TheStreet Ratings Team goes as follows:

  • Net operating cash flow has increased to $235.68 million or 30.43% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -13.95%.
  • 36.67% is the gross profit margin for PATTERSON-UTI ENERGY INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -4.01% is in-line with the industry average.
  • The current debt-to-equity ratio, 0.30, is low and is below the industry average, implying that there has been successful management of debt levels. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.91 is somewhat weak and could be cause for future problems.
  • PATTERSON-UTI ENERGY INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Earnings per share have declined over the last two years. We anticipate that this should continue in the coming year. During the past fiscal year, PATTERSON-UTI ENERGY INC reported lower earnings of $1.11 versus $1.28 in the prior year. For the next year, the market is expecting a contraction of 172.1% in earnings (-$0.80 versus $1.11).
  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Energy Equipment & Services industry. The net income has significantly decreased by 134.9% when compared to the same quarter one year ago, falling from $54.28 million to -$18.98 million.
  • You can view the full analysis from the report here: PTEN