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Seadrill Limited (SDRL) Stock Analysis

Breakout setup

SellModerate Confidence

Energy · Oil & Gas Drilling

Sell if holding. Engine safety override at $49.19: Quality below floor (3.0 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.8/10. Specifically: Elevated put/call ratio: 1.33; Below-average business quality.

Seadrill is an offshore drilling contractor operating 15 drilling units (drillships and semi-subs) under dayrate contracts with oil majors, national oil companies, and independents. The company employs approximately 3,000 people globally and emerged from bankruptcy in February... Read more

$49.190.0% A.UpsideScore 5.8/10#4 of 9 Oil & Gas Drilling
Stop $46.20Target $49.23(resistance)A.R:R -0.9:1
Analyst target$51.71+5.1%7 analysts
$49.23our TP
$49.19price
$51.71mean
$41
$80

Sell if holding. Engine safety override at $49.19: Quality below floor (3.0 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.8/10. Specifically: Elevated put/call ratio: 1.33; Below-average business quality. Chart setup: Golden cross, above all MAs, RSI 59, MACD bullish. Score 5.8/10, moderate confidence.

Passes 5/7 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.

Thesis

Rewards
No bull case signals
Risks
Target reached (-8.6% upside)
Quality below floor (3.0 < 4.0)

Key Metrics

P/E (TTM)
P/E (Fwd)14.6
Mkt Cap$3.1B
EV/EBITDA11.1
Profit Mgn-5.6%
ROE-2.7%
Rev Growth26.3%
Beta1.48
DividendNone
Rating analysts16

Quality Signals

Piotroski F6/9

Options Flow

P/C1.33bearish
IV63%elevated

Material Events(8-K, last 90d)

  • 2026-03-18Item 5.02MEDIUM
    Samir Ali appointed President and CEO of Seadrill Limited effective March 12, 2026, replacing Simon Johnson. Ali previously served as EVP, Chief Commercial Officer since August 2022. No reason cited for Johnson departure.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers·1 ceiling hit

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Surprise Avg
0.0
Earnings Timing
5.0
Erm
6.5
Earnings concerns: 0B/3MEarnings in 10 days

Cyclical trough — margins compressed or negative. Profitability typically recovers with the cycle, but floor fires on current data.static

Roe
0.0
Net Margin
0.0
Roa
0.7
Gross Margin
2.0
Operating Margin
2.2
Moat
5.0
Piotroski F
6.7
Current Ratio
7.1
No competitive moatQuality concerns
GatesA.R:R -0.9=NEGATIVEEARNINGS PROXIMITY 10d<=14d (soft)Momentum 6.8>=5.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARBreakoutSuitability: Aggressive
RSI
59 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $44.59Resistance $50.23

Price Targets

$46
$49
A.Upside+0.1%
A.R:R-0.9:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-8.6% upside)
! Quality below floor (3.0 < 4.0)
! Negative risk/reward — downside exceeds upside

Earnings

M
M
M
M
0/4 beats
Next Earnings2026-05-11 (10d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is SDRL stock a buy right now?

Sell if holding. Engine safety override at $49.19: Quality below floor (3.0 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.8/10. Specifically: Elevated put/call ratio: 1.33; Below-average business quality. Chart setup: Golden cross, above all MAs, RSI 59, MACD bullish. Prior stop was $46.20. Score 5.8/10, moderate confidence.

What is the SDRL stock price target?

Take-profit target: $49.23 (0.0% upside). Prior stop was $46.20. Stop-loss: $46.20.

What are the risks of investing in SDRL?

Target reached (-8.6% upside); Quality below floor (3.0 < 4.0).

Is SDRL overvalued or undervalued?

Seadrill Limited trades at a P/E of N/A (forward 14.6). TrendMatrix value score: 7.2/10. Verdict: Sell.

What do analysts say about SDRL?

16 analysts cover SDRL with a consensus score of 3.9/5. Average price target: $52.

What does Seadrill Limited do?Seadrill is an offshore drilling contractor operating 15 drilling units (drillships and semi-subs) under dayrate...

Seadrill is an offshore drilling contractor operating 15 drilling units (drillships and semi-subs) under dayrate contracts with oil majors, national oil companies, and independents. The company employs approximately 3,000 people globally and emerged from bankruptcy in February 2022.

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