Unit Corporation — A Secret “Super Dividend” Payer

Do you like ultra-cheap stocks yielding 44% dividends?

If so, today’s article is for you!

Unit Corporation ($UNTC) is an obscure stock that recently crossed my radar when the company announced a one-time special dividend of $15 per share.

This is a small company in the oil and gas sector that’s currently trading at a price to earnings ratio of 2.19.

And, Unit Corporation is yielding a 17% starting dividend — without factoring in the special payment. Today’s article examines what Unit Corporation does, and whether or not it’s a good investment.

What Is Unit Corporation?

Unit Corporation is an oil and gas company that operates in three distinct segments.

The first segment is exploration, where the company looks for properties containing oil and natural gas — and then develops these into their own production sites.

The second segment is contract drilling, where Unit Corporation drills oil and natural gas wells for other companies.

And the third segment is midstream. Like some other stocks I’ve reviewed (such as TC Energy), Unit Corporation operates natural gas pipelines and processing centers.