Seadrill Ltd (NYSE: SDRL) has seen a decline in its stock price by -0.12 in relation to its previous close of 25.44. However, the company has experienced a 1.15% gain in its stock price over the last five trading sessions. seekingalpha.com reported 2025-03-13 that Seadrill Limited added $1 billion in backlogs and repurchased $100 million in shares, securing future revenues and rewarding shareholders. Despite market pessimism and legal issues, SDRL’s strong contracts and young fleet position it well for future growth. SDRL’s valuation is attractive, trading at 0.51x book value, with significant upside potential due to share buybacks and a solid balance sheet.
Is It Worth Investing in Seadrill Ltd (NYSE: SDRL) Right Now?
Seadrill Ltd (NYSE: SDRL) has a higher price-to-earnings ratio of 3.98x compared to its average ratio. Analysts have mixed views on the stock, with 7 analysts rating it as a “buy,” 2 as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for SDRL is 65.49M, and currently, short sellers hold a 8.08% ratio of that float. The average trading volume of SDRL on March 28, 2025 was 985.19K shares.
SDRL’s Market Performance
SDRL stock saw a decrease of 1.15% in the past week, with a monthly decline of -7.73% and a quarterly a decrease of -28.76%. The volatility ratio for the week is 3.32%, and the volatility levels for the last 30 days are 4.56% for Seadrill Ltd (SDRL). The simple moving average for the past 20 days is 3.45% for SDRL’s stock, with a -35.92% simple moving average for the past 200 days.
Analysts’ Opinion of SDRL
Stifel gave a rating of “Buy” to SDRL, setting the target price at $72 in the report published on December 06th of the previous year.
SDRL Trading at -15.56% from the 50-Day Moving Average
After a stumble in the market that brought SDRL to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -54.99% of loss for the given period.
Volatility was left at 4.56%, however, over the last 30 days, the volatility rate increased by 3.32%, as shares sank -2.31% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -32.62% lower at present.
During the last 5 trading sessions, SDRL rose by +1.15%, which changed the moving average for the period of 200-days by -48.02% in comparison to the 20-day moving average, which settled at $24.56. In addition, Seadrill Ltd saw -34.73% in overturn over a single year, with a tendency to cut further losses.
Stock Fundamentals for SDRL
Current profitability levels for the company are sitting at:
- 0.29 for the present operating margin
- 0.24 for the gross margin
The net margin for Seadrill Ltd stands at 0.33. The total capital return value is set at 0.11. Equity return is now at value 15.12, with 10.65 for asset returns.
Based on Seadrill Ltd (SDRL), the company’s capital structure generated 0.17 points at debt to capital in total, while cash flow to debt ratio is standing at 0.14. The debt to equity ratio resting at 0.21. The interest coverage ratio of the stock is 6.49.
Currently, EBITDA for the company is 562.0 million with net debt to EBITDA at 0.35. When we switch over and look at the enterprise to sales, we see a ratio of 1.25. The receivables turnover for the company is 7.05for trailing twelve months and the total asset turnover is 0.33. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.69.
Conclusion
To put it simply, Seadrill Ltd (SDRL) has had a bad performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
