Seadrill (NYSE:SDRL) Stock Breaks Below 200 Day Moving Average After Earnings Miss

Seadrill Limited (NYSE:SDRL)’s stock price crossed below its two hundred day moving average during trading on Wednesday following a dissappointing earnings announcement. The stock has a two hundred day moving average of $45.09 and traded as low as $43.02. Seadrill shares last traded at $43.3060, with a volume of 1,134,165 shares changing hands.

The oil and gas company reported ($0.49) earnings per share for the quarter, missing the consensus estimate of $0.19 by ($0.68). The business had revenue of $428.00 million during the quarter, compared to the consensus estimate of $382.66 million. Seadrill had a negative net margin of 1.13% and a positive return on equity of 1.50%.

Key Headlines Impacting Seadrill

Here are the key news stories impacting Seadrill this week:

• Positive Sentiment: Seadrill’s adjusted third-quarter earnings of $0.22 per share topped the $0.20 consensus estimate, while revenue of $428 million exceeded expectations of about $383 million. Zacks report
• Positive Sentiment: Coverage highlighted contract extensions, robust cash flow and higher 2026 guidance, which could support future earnings and utilization. Q3 deep dive
• Negative Sentiment: Other reports emphasized that Seadrill’s quarterly loss widened. This contrasts with the adjusted-earnings beat and leaves investors weighing headline profitability against the improved revenue and outlook. Report on loss and guidance

Wall Street Analyst Weigh In

A number of research firms recently issued reports on SDRL. Weiss Ratings upgraded shares of Seadrill from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, October 9th. BWS Financial reiterated a “buy” rating and issued a $80.00 target price on shares of Seadrill in a research note on Wednesday, October 14th. Zacks Research downgraded shares of Seadrill from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, October 14th. Finally, Citigroup restated a “neutral” rating on shares of Seadrill in a research note on Monday, September 7th. Two investment analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Seadrill presently has a consensus rating of “Moderate Buy” and an average price target of $59.40.

Institutional Trading of Seadrill

A number of hedge funds and other institutional investors have recently bought and sold shares of SDRL. BlackRock Inc. bought a new position in shares of Seadrill in the second quarter worth $207,509,000. Elliott Investment Management L.P. raised its position in shares of Seadrill by 3.5% in the first quarter. Elliott Investment Management L.P. now owns 4,719,085 shares of the oil and gas company’s stock worth $214,718,000 after buying an additional 160,327 shares in the last quarter. Dimensional Fund Advisors LP raised its position in shares of Seadrill by 10.1% in the first quarter. Dimensional Fund Advisors LP now owns 3,553,281 shares of the oil and gas company’s stock worth $161,671,000 after buying an additional 326,835 shares in the last quarter. Goehring & Rozencwajg Associates LLC boosted its stake in Seadrill by 27.6% during the first quarter. Goehring & Rozencwajg Associates LLC now owns 2,449,565 shares of the oil and gas company’s stock valued at $111,455,000 after buying an additional 529,884 shares during the period. Finally, Patient Capital Management LLC bought a new stake in Seadrill during the second quarter valued at $73,876,000. Institutional investors own 95.67% of the company’s stock.

Seadrill Stock Down 6.5%

The company has a 50 day moving average of $47.72 and a 200-day moving average of $45.09. The company has a debt-to-equity ratio of 0.26, a current ratio of 2.50 and a quick ratio of 2.50. The company has a market cap of $2.71 billion, a P/E ratio of -149.33 and a beta of 1.17.

About Seadrill

Seadrill Limited (NYSE: SDRL) is an offshore drilling contractor that provides drilling services to oil and gas companies. The company operates a fleet of mobile offshore drilling units, including ultra-deepwater drillships and semisubmersible rigs, which are used to explore for and develop hydrocarbon resources beneath the seabed.

Seadrill’s services include contract drilling, rig operations, well construction support and related offshore services. Its modern, high-specification fleet is designed to work in challenging deepwater and harsh-environment locations.