. In FY 14, HP paid out DIVIDENDS totaling $2.44 per share, up from $0.87 per share in FY
13. Based on Capital IQ consensus estimates, HP is projected to pay out dividends of $2.76 per share in FY
15, or a payout ratio of about 65%. We believe that this is a sustainable level for HP given sizable recent
spending on newbuild units and a likely pause within the industry until crude prices recover to prior normal
levels in the $90/barrel to $110/barrel range. We are not optimistic that such prices will recover to normal
levels in the near term given strength in crude oil supply in North America and a weak demand environment.
January 29, 2015
06:04 pm ET ... S&P CAPITAL IQ KEEPS HOLD OPINION ON SHARES OF
HELMERICH & PAYNE (HP 57.46***): We cut our FY 15 (Sep.) EPS estimate by
$0.45 to $4.26, and FY 16's by $0.98 to $3.42.
Say Dirt, do you watch HP ? Very solid company. Land driller but also an oil company. Been around a long time. Good balance sheet and good mgmt.. Nice yield , similar to COP. Worth a look. They are at $68 ish, down about 50% of 52 wk high.
WTI still above $50 and BRENT above $58 at the moment. Not much of a sell off.
The real risk of the entire Middle East "blowing up" should be the concern.