This week I'm seeking a prestigious and long-term dividend-paying stock from the energy sector. 

That sector includes six industries all related to bringing oil and gas to market. They are as follows: drilling, exploration and production (E&P), equipment and services, integrated, midstream, refining & marketing. All such oily and gassy enterprises.

Today I'm reviewing a mid-cap oil and gas drilling firm named Helmerich & Payne Inc. Its trading ticker symbol is HP.

Helmerich & Payne Inc is engaged in contract drilling of oil and gas wells for oil and gas exploration and production companies. Its business comprises three reportable segments, U.S. Land, Offshore and International Land. 

The U.S. Land segment drills primarily in Colorado, Louisiana, Ohio, Oklahoma, New Mexico, North Dakota, Pennsylvania, Texas, Utah, West Virginia, and Wyoming. The Offshore segment has drilling operations in the Gulf of Mexico. The International Land segment conducts drilling operations in Colombia, Argentina, Bahrain, and the United Arab Emirates. 

As of September 30, 2017, the company operated a fleet of 350 land rigs in the United States; 38 international land rigs; and 8 offshore platform rigs. 

In addition, it owns, develops, and operates commercial real estate properties; and researches and develops a rotary steerable technology.

Helmerich & Payne, Inc. was founded in 1920 and is headquartered in Tulsa, Oklahoma.

I use three key data points to gauge the value of any dividend equity or fund like Helmerich & Payne Inc. (HP): 

(1) Price

(2) Dividends

(3) Returns

Besides those three, four more keys will finally unlock an equity or fund in which to invest.

But those first three primary keys, best tell whether a company has made, is making, and will make money. 

HP Price

HP's price per share was $70.11 at yesterday's market close. A year ago its price was $51.26 for a gain of $18.85 per share.  

Assuming HP's price will trade in the range of $60 to $90 next year, HP's current $70.11 price could grow $18 to $88.11 by early-October, 2019. 

HP Dividends

HP's most recent quarterly dividend was $0.71 declared September 5th and payable December 3rd. That recent dividend was increased from $0.70 in 

August.  

At this most recent $0.71 quarterly rate, HP's annual dividend equates to $2.84 yielding 4% at yesterday's closing $70.11 price.

Gains For HP?

Adding the $2.84 estimated annual dividend to my estimated $18.00 annual price upside for HP makes a $20.84 potential gross annual per share gain, which is reduced by the costs to trade the shares.  

 A little under $1,000.00 invested today at the $70.11 recent price buys 14 Helmerich & Payne Inc. (HP) shares. 

A $10 broker fee paid half at purchase and half at sale costs $0.71 per share, subtracting that $0.71 brokerage cost from the estimated $20.84 gross annual gain leaves a net gain of $20.13 X 14 shares = $281.82 or a 28% net gain on a $981.54 investment.

Therefore, Helmerich & Payne Inc., whose trading ticker symbol is HP, now shows a possible 28% net gain including a 4% dividend yield. 

Thirty-five brokers cover this stock:

Six say HP is a stock to "buy".

Two says HP will "outperform" its peers.

Ten say HP is a stock to "hold".

Three say HP will "underperform" peers

Four say "sell" at this plateau. 

Thus, the consensus analyst recommendation number is 2.8 or "hold".

The median price target set by those thirty-five brokers is the below the current price and $21.60 below the 88.11 price target I suggested for HP. 

So, you could look at all these speculative numbers this way, Helmerich & Payne Inc., whose trading ticker symbol is HP, has made money, is making money, and could net a 28% net annual gain including 4% dividend yield. Fall 4% and not cover the decline with its dividend. It could be more, it could be less.

The above speculation is based on past year performance. Actual results remain to be seen. Those results will determine if Helmerich & Payne Inc. (HP) is worth your time and money.