Remove the steaks from the refrigerator 30 minutes before cooking. Pat them completely dry with paper towels. Season both sides generously with salt and pepper.
Place a heavy, oven-safe skillet (cast iron works best) over high heat. Add the oil. Wait until the oil shimmers slightly.
Carefully place the steaks in the hot skillet. Sear without moving for 3 to 4 minutes until a deep brown crust forms.
Flip the steaks. Immediately add the 2 tablespoons of butter, thyme, and smashed garlic to the pan. Tilt the pan slightly and use a spoon to continuously baste the melting butter over the tops of the steaks for about 1 minute.
Transfer the skillet to a preheated oven at 400°F (200°C). Cook until the internal temperature reaches 125°F for medium-rare (about 4-6 minutes, depending on thickness).
Remove the steaks from the oven and place them on a cutting board. Tent loosely with foil. Let the steaks rest for 10 minutes. The internal temperature will rise to about 130°F.
While the steaks rest, mix the 1 tablespoon of softened butter with the chopped parsley.
Slice the herbed butter into rounds. Place one round on top of each rested steak just before serving.
Notes
Use a meat thermometer to check doneness; this is the best way to cook a tenderloin steak recipe perfectly.
For an extra layer of flavor, wrap each steak with one strip of bacon before searing, securing it with kitchen twine.
If you are cooking smaller filet medallions, reduce the oven time significantly.