Seadrill (NYSE:SDRL) Cut to "Hold" at Fearnley Fonds

Key Points

• Seadrill's stock was downgraded from a "strong-buy" to a "hold" rating by Fearnley Fonds, indicating a potential shift in investor sentiment.
• The company reported a loss of ($0.23) earnings per share, missing analysts' expectations, despite achieving revenues of $335.00 million in the last quarter.
• Institutional investors hold a significant majority, with 95.67% of Seadrill's stock owned by such investors and hedge funds, reflecting strong institutional interest in the company.

Seadrill (NYSE:SDRL - Get Free Report) was downgraded by stock analysts at Fearnley Fonds from a "strong-buy" rating to a "hold" rating in a report issued on Wednesday,Zacks.com reports.

A number of other research analysts also recently commented on the company. BWS Financial reaffirmed a "buy" rating and issued a $80.00 price target on shares of Seadrill in a research note on Tuesday, May 13th. Citigroup reaffirmed a "buy" rating and issued a $36.00 price target (up previously from $35.00) on shares of Seadrill in a research note on Wednesday, June 18th. Finally, BTIG Research set a $28.00 target price on Seadrill in a research note on Monday, May 5th. One analyst has rated the stock with a hold rating and four have issued a buy rating to the company's stock. Based on data from MarketBeat.com, Seadrill has an average rating of "Moderate Buy" and a consensus price target of $51.00.

Seadrill Trading Down 4.7%

Shares of Seadrill stock opened at $27.79 on Wednesday. The firm has a 50-day moving average of $27.75 and a 200-day moving average of $27.08. The stock has a market cap of $1.73 billion, a PE ratio of 5.25 and a beta of 1.60. Seadrill has a 52-week low of $17.74 and a 52-week high of $51.84. The company has a debt-to-equity ratio of 0.21, a quick ratio of 2.01 and a current ratio of 2.01.

Seadrill (NYSE:SDRL - Get Free Report) last announced its earnings results on Monday, May 12th. The oil and gas company reported ($0.23) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.25 by ($0.48). The business had revenue of $335.00 million during the quarter, compared to the consensus estimate of $325.69 million. Seadrill had a net margin of 27.49% and a return on equity of 4.68%. As a group, sell-side analysts forecast that Seadrill will post 1.86 EPS for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. Ameriprise Financial Inc. acquired a new position in shares of Seadrill in the fourth quarter valued at approximately $409,000. Exchange Traded Concepts LLC increased its stake in shares of Seadrill by 547.7% in the first quarter. Exchange Traded Concepts LLC now owns 15,615 shares of the oil and gas company's stock valued at $390,000 after buying an additional 13,204 shares during the period. GSA Capital Partners LLP acquired a new position in shares of Seadrill in the first quarter valued at approximately $1,491,000. JPMorgan Chase & Co. increased its stake in shares of Seadrill by 134.8% in the fourth quarter. JPMorgan Chase & Co. now owns 206,738 shares of the oil and gas company's stock valued at $8,048,000 after buying an additional 118,699 shares during the period. Finally, Third Point LLC acquired a new position in shares of Seadrill in the fourth quarter valued at approximately $39,903,000. Institutional investors and hedge funds own 95.67% of the company's stock.

Seadrill Company Profile

Seadrill Ltd. engages in the provision of offshore drilling services to the oil and gas industry. It operates through the following segments: Floaters, Jack-up rigs, and Other. The Floaters segment encompasses drilling, completion, and maintenance of offshore exploration and production wells. the Jack-up Rigs segment includes drilling contracts relate to jack-up rigs for operations in harsh and benign environments in shallow water.

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