Seadrill Limited (SDRL) Stock Analysis
Energy · Oil & Gas Drilling
Sell if holding. Engine safety override at $52.96: Quality below floor (3.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10. Specifically: Below-average business quality.
Seadrill is an offshore drilling contractor operating 10 active drillships and semi-submersible rigs (15 total units), providing deepwater and ultra-deepwater drilling services to oil and gas companies globally on dayrate contracts. Top four customers—Petrobras (36%), Sonadrill... Read more
Sell if holding. Engine safety override at $52.96: Quality below floor (3.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10. Specifically: Below-average business quality. Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Score 5.3/10, moderate confidence.
Passes 7/8 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 76d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
Recent Developments — Seadrill Limited
Latest news
- Elliott Investment Management Trust Increases Stake In Digital Realty To 1,500,000 Shares; HDFC Bank To 797,085 Shares; — benzinga May 15, 2026
- Seadrill Raises FY2026 Sales Guidance from $1.400B-$1.450B to $1.430B-$1.480B vs $1.430B Est — benzinga May 11, 2026 positive
- Earnings Scheduled For May 11, 2026 — benzinga May 11, 2026 neutral
- Seadrill Q1 EPS $(0.11) Beats $(0.23) Estimate, Sales $358.000M Beat $325.801M Estimate — benzinga May 11, 2026 positive
- Barclays Upgrades Seadrill to Overweight, Raises Price Target to $59 — benzinga May 7, 2026 positive
Generated 2026-05-20T21:56:22Z.
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomerPetrobras36%10-K Item 1: 'Petrobras| 36 | %| | 18 | %| | 16 | %'
- MEDIUMCustomerSonadrill22%10-K Item 1: 'Sonadrill| 22 | %| | 22 | %| | 17 | %'
- LOWCustomerTalos11%10-K Item 1: 'Talos| 11 | %| | 2 | %| | 7 | %'
- LOWCustomerLLOG10%10-K Item 1: 'LLOG| 10 | %| | 9 | %| | 9 | %'
Material Events(8-K, last 90d)
- 2026-03-18Item 5.02MEDIUMSamir Ali appointed President and CEO effective March 12, 2026, replacing Simon Johnson immediately. Ali previously served as EVP Chief Commercial Officer since August 2022. Annual base salary set at $750,000; successor named.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
Cyclical trough — margins compressed or negative. Profitability typically recovers with the cycle, but floor fires on current data.static
No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $52.96: Quality below floor (3.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10. Specifically: Below-average business quality. Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Prior stop was $50.22. Score 5.3/10, moderate confidence.
Take-profit target: $54.36 (+1.0% upside). Prior stop was $50.22. Stop-loss: $50.22.
Target reached (-8.7% upside); Quality below floor (3.3 < 4.0).
Seadrill Limited trades at a P/E of N/A (forward 15.3). TrendMatrix value score: 7.2/10. Verdict: Sell.
16 analysts cover SDRL with a consensus score of 3.9/5. Average price target: $56.
What does Seadrill Limited do?Seadrill is an offshore drilling contractor operating 10 active drillships and semi-submersible rigs (15 total units),...
Seadrill is an offshore drilling contractor operating 10 active drillships and semi-submersible rigs (15 total units), providing deepwater and ultra-deepwater drilling services to oil and gas companies globally on dayrate contracts. Top four customers—Petrobras (36%), Sonadrill (22%), Talos (11%), and LLOG (10%)—accounted for 79% of 2025 total operating revenues.