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

Key Points

• Seadrill shares fell below their 200-day moving average, touching $43.02 and trading around $43.31 after the earnings announcement.
• Results were mixed: the company reported a quarterly loss of $0.49 per share, missing the $0.19 consensus, while adjusted EPS of $0.22 and revenue of $428 million beat estimates.
• Analyst sentiment remains moderately positive, with a consensus “Moderate Buy” rating and an average price target of $59.40; reports also cited contract extensions, strong cash flow, and higher 2026 guidance.

Seadrill Limited (NYSE:SDRL - Get Free Report) passed below its 200-day moving average during trading on Wednesday following a weaker than expected earnings announcement. The stock has a 200-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.

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 for 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%.

Seadrill News Roundup

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

Several research analysts have recently weighed in on the stock. Citigroup restated a "neutral" rating on shares of Seadrill in a research note on Monday, September 7th. 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. Weiss Ratings upgraded Seadrill from a "sell (d+)" rating to a "hold (c-)" rating in a report on Friday, October 9th. Finally, Zacks Research cut Seadrill from a "strong-buy" rating to a "hold" rating in a report on Wednesday, October 14th. Two research analysts have rated the stock with a Strong Buy rating, three have given a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, Seadrill currently has a consensus rating of "Moderate Buy" and an average price target of $59.40.

Hedge Funds Weigh In On Seadrill

Several hedge funds have recently bought and sold shares of the company. Parallel Advisors LLC grew its stake in shares of Seadrill by 55.2% in the 3rd quarter. Parallel Advisors LLC now owns 737 shares of the oil and gas company's stock valued at $33,000 after buying an additional 262 shares during the period. State of Wyoming bought a new stake in Seadrill in the 2nd quarter valued at about $55,000. Integrated Wealth Concepts LLC acquired a new position in Seadrill during the 2nd quarter worth approximately $92,000. GAMMA Investing LLC raised its stake in Seadrill by 38.2% during the 3rd quarter. GAMMA Investing LLC now owns 2,523 shares of the oil and gas company's stock worth $113,000 after buying an additional 698 shares during the period. Finally, Entropy Technologies LP acquired a new position in Seadrill during the 1st quarter worth approximately $205,000. 95.67% of the stock is owned by institutional investors.

Seadrill Trading Down 6.5%

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

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.

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