Seadrill (NYSE:SDRL) Announces Earnings Results

Seadrill (NYSE:SDRL) issued its quarterly earnings results on Monday. The oil and gas company reported ($0.11) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.27) by $0.16, Zacks reports. Seadrill had a negative return on equity of 2.07% and a negative net margin of 5.36%.

Here are the key takeaways from Seadrill’s conference call:

• Seadrill added about $860 million of backlog this quarter, including follow‑on contracts for the West Neptune and West Vela in the U.S. Gulf, a 7‑well option in Angola and a 3‑year extension for the West Polaris in Brazil, reducing 2026 white space and improving near‑term revenue visibility.
• Management raised full‑year guidance after a stronger Q1, with EBITDA of $97 million in the quarter and updated 2026 revenue and EBITDA ranges of $1.43–1.48 billion and $370–420 million, respectively.
• Seadrill expects a free‑cash‑flow inflection point in mid‑2026 driven by early contract starts, higher market day rates on re‑contracted rigs, and approximately $70 million of lump‑sum mobilization receipts due from Petrobras related to reacceptance projects.
• The balance sheet shows $329 million cash, $625 million gross principal debt and ~$482 million total liquidity, with capex guidance of $200–240 million; management prioritizes FCF generation and says capital returns or M&A will be considered once cash is generated.

Seadrill Price Performance

Shares of Seadrill stock traded up $1.56 during trading on Monday, reaching $49.88. 436,811 shares of the stock traded hands, compared to its average volume of 834,784. The company has a market capitalization of $3.11 billion, a price-to-earnings ratio of -40.26 and a beta of 1.25. The business has a fifty day simple moving average of $45.72 and a two-hundred day simple moving average of $38.36. The company has a debt-to-equity ratio of 0.21, a current ratio of 2.03 and a quick ratio of 2.03. Seadrill has a 52-week low of $22.30 and a 52-week high of $51.25.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Russell Investments Group Ltd. grew its position in shares of Seadrill by 23.1% during the second quarter. Russell Investments Group Ltd. now owns 38,538 shares of the oil and gas company’s stock valued at $1,012,000 after purchasing an additional 7,233 shares in the last quarter. Marshall Wace LLP bought a new position in shares of Seadrill in the 4th quarter valued at about $766,000. Cerity Partners LLC bought a new position in shares of Seadrill in the 2nd quarter valued at about $696,000. Robotti Robert lifted its holdings in shares of Seadrill by 17.8% in the 4th quarter. Robotti Robert now owns 18,910 shares of the oil and gas company’s stock valued at $654,000 after acquiring an additional 2,860 shares during the last quarter. Finally, Concentric Capital Strategies LP bought a new position in shares of Seadrill in the 3rd quarter valued at about $472,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

Wall Street Analysts Forecast Growth

SDRL has been the subject of a number of analyst reports. BTIG Research increased their price target on Seadrill from $50.00 to $55.00 and gave the stock a “buy” rating in a research note on Friday, April 17th. Wall Street Zen upgraded Seadrill from a “sell” rating to a “hold” rating in a research note on Saturday, March 7th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Seadrill in a research note on Thursday, April 2nd. Barclays upgraded Seadrill from an “equal weight” rating to an “overweight” rating and increased their price target for the stock from $41.00 to $59.00 in a research note on Thursday. Finally, Zacks Research upgraded Seadrill from a “strong sell” rating to a “hold” rating in a research note on Tuesday, April 28th. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $55.00.

Seadrill Company Profile

Seadrill Limited, trading on the New York Stock Exchange under the symbol SDRL, is a leading provider of offshore drilling services to the global oil and gas industry. The company specializes in the design, construction, deployment and operation of mobile offshore drilling units, serving major exploration and production companies with turnkey drilling solutions.

Seadrill’s fleet comprises ultra-deepwater drillships, semi-submersible rigs and high-specification jack-up units capable of operating in some of the world’s most challenging offshore environments.