Aristotle Liquidates Patterson-UTI Position Despite 13.3% Monthly Gain
Aristotle Small Cap Equity Fund liquidated its Patterson-UTI Energy position in Q4 2025 citing a deteriorating energy market outlook. Patterson-UTI closed at $8.10 on February 13, posted a 13.29% one-month gain but is down 9.19% over 12 months and has a $3.075 billion market cap.
1. Fund Liquidation Rationale
In its fourth-quarter 2025 letter, Aristotle Small Cap Equity Fund removed Patterson-UTI Energy from its top holdings, attributing the decision to a weakening energy market outlook and deteriorating fundamentals in the oilfield services sector.
2. Recent Stock Performance
Patterson-UTI Energy shares closed at $8.10 on February 13, reflecting a 13.29% gain over the prior month but remaining down 9.19% over the past twelve months, with the company holding a market capitalization of $3.075 billion.
3. Hedge Fund and Market Positioning
Interest from hedge funds remained steady with 42 portfolios holding Patterson-UTI at the end of Q3 2025, as investors compare the company’s drilling and pressure pumping services against broader sector headwinds and alternative AI-focused opportunities.