Some companies will slowly bump up their dividends from time
to time;Helmerich & Payne (
) is not one of them.
On Wednesday, the company more than tripled its quarterly
dividend to 50 cents from 15 cents a share for its fiscal Q3
ending June 30. Helmerich & Payne will pay the dividend Aug.
30 to shareholders of record Aug. 15.
"We are pleased to be in position to deliver a meaningful
level of yield to our shareholders while retaining a strong
ability to continue to pursue growth opportunities," said
Chairman and CEO Hans Helmerich in a press release.
Helmerich & Payne had already sharply increased its
dividend for its fiscal first quarter. The firm has hiked its
dividend each year for more than 40 years.
At the new rate, Helmerich & Payne pays $2 a share each
year, giving it a yield of about 3.2%. It has one of the highest
yields among the 10 dividend-paying stocks in the Oil &
Helmerich & Payne drills oil and gas wells for oil and gas
exploration companies in the U.S. and abroad. Weather, oil and
gas prices, the economy and foreign country risks can impact its
In 2009, earnings fell due to contract terminations stemming
from lower commodity prices and tough credit conditions. Profit
was also down in 2010, hurt by losses from discontinued
operations in Venezuela. The Venezuelan government seized its
rigs and other property. The declines weigh on its Earnings Per
Share Rating, which is 75.
Helmerich & Payne is in a cup-with-handle base with a
66.12 buy point. The current pattern's correction of 20% is less
than half of its prior base.
While the market is having a tough time this week, Helmerich
& Payne is holding just above its 50-day moving average.