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Seadrill

NYSE:SDRL
Snowflake Description

Fair value with concerning outlook.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SDRL
NYSE
$958M
Market Cap
  1. Home
  2. US
  3. Energy
Company description

Seadrill Limited, an offshore drilling contractor, provides offshore drilling services to the oil and gas industry worldwide. The last earnings update was 23 days ago. More info.


Add to Portfolio Compare Print
  • Seadrill has significant price volatility in the past 3 months.
SDRL Share Price and Events
7 Day Returns
7.5%
NYSE:SDRL
2.5%
US Energy Services
1.2%
US Market
1 Year Returns
-
NYSE:SDRL
-27.2%
US Energy Services
3%
US Market
SDRL Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Seadrill (SDRL) 7.5% 10.2% 9.5% - - -
US Energy Services 2.5% -1.3% 18.3% -27.2% -34% -60.8%
US Market 1.2% 2.1% 14.6% 3% 39% 43.5%
1 Year Return vs Industry and Market
  • No trading data on SDRL.
  • No trading data on SDRL.
Price Volatility
Industry
5yr Volatility vs Market

Value

 Is Seadrill undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Seadrill to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Seadrill.

NYSE:SDRL Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:SDRL
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 1.04
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.039 (1 + (1- 21%) (744.89%))
5.122
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (2 * 5.96%)
14.65%

Discounted Cash Flow Calculation for NYSE:SDRL using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Seadrill is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:SDRL DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 14.65%)
2019 -352.64 Analyst x4 -307.58
2020 -242.07 Analyst x4 -184.16
2021 369.90 Analyst x2 245.45
2022 368.10 Analyst x1 213.04
2023 369.86 Est @ 0.48% 186.71
2024 374.12 Est @ 1.15% 164.73
2025 380.21 Est @ 1.63% 146.02
2026 387.65 Est @ 1.96% 129.85
2027 396.13 Est @ 2.19% 115.74
2028 405.45 Est @ 2.35% 103.32
Present value of next 10 years cash flows $813.12
NYSE:SDRL DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $405.45 × (1 + 2.73%) ÷ (14.65% – 2.73%)
$3,494.27
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $3,494.27 ÷ (1 + 14.65%)10
$890.46
NYSE:SDRL Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $813.12 + $890.46
$1,703.58
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,703.58 / 100.00
$17.04
NYSE:SDRL Discount to Share Price
Calculation Result
Value per share (USD) From above. $17.04
Current discount Discount to share price of $9.58
= -1 x ($9.58 - $17.04) / $17.04
43.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Seadrill is available for.
Intrinsic value
44%
Share price is $9.58 vs Future cash flow value of $17.04
Current Discount Checks
For Seadrill to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Seadrill's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Seadrill's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Seadrill's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Seadrill's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:SDRL PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-14.89
NYSE:SDRL Share Price ** NYSE (2019-03-20) in USD $9.58
United States of America Energy Services Industry PE Ratio Median Figure of 26 Publicly-Listed Energy Services Companies 18.45x
United States of America Market PE Ratio Median Figure of 3,058 Publicly-Listed Companies 17.69x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Seadrill.

NYSE:SDRL PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:SDRL Share Price ÷ EPS (both in USD)

= 9.58 ÷ -14.89

-0.64x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Seadrill is loss making, we can't compare its value to the US Energy Services industry average.
  • Seadrill is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does Seadrill's expected growth come at a high price?
Raw Data
NYSE:SDRL PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -0.64x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
96.8%per year
United States of America Energy Services Industry PEG Ratio Median Figure of 22 Publicly-Listed Energy Services Companies 0.75x
United States of America Market PEG Ratio Median Figure of 2,103 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Seadrill, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Seadrill's assets?
Raw Data
NYSE:SDRL PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $28.83
NYSE:SDRL Share Price * NYSE (2019-03-20) in USD $9.58
United States of America Energy Services Industry PB Ratio Median Figure of 88 Publicly-Listed Energy Services Companies 1.02x
United States of America Market PB Ratio Median Figure of 5,156 Publicly-Listed Companies 1.89x
NYSE:SDRL PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:SDRL Share Price ÷ Book Value per Share (both in USD)

= 9.58 ÷ 28.83

0.33x

* Primary Listing of Seadrill.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Seadrill is good value based on assets compared to the US Energy Services industry average.
X
Value checks
We assess Seadrill's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. Seadrill has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Seadrill expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
96.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Seadrill expected to grow at an attractive rate?
  • Unable to compare Seadrill's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Growth vs Market Checks
  • Unable to compare Seadrill's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.
  • Seadrill's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:SDRL Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:SDRL Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 96.8%
NYSE:SDRL Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 7.6%
United States of America Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 40%
United States of America Energy Services Industry Revenue Growth Rate Market Cap Weighted Average 6.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:SDRL Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:SDRL Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 468 -90
2021-12-31 1,435 242 -529 2
2020-12-31 1,478 -73 -629 6
2019-12-31 1,339 -152 -814 2
NYSE:SDRL Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 1,206 -239 -4,483
2018-09-30 1,310 -8 -6,787
2018-06-30 1,574 48 -3,372
2018-03-31 1,788 178 -3,276
2017-12-31 1,999 399 -2,973
2017-09-30 2,105 480 -219
2017-06-30 2,359 806 -642
2017-03-31 2,652 1,045 -250
2016-12-31 2,969 1,184 -181
2016-09-30 3,259 1,137 118
2016-06-30 3,488 1,486 -1,055
2016-03-31 3,760 1,583 -927

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Seadrill is not considered high growth as it is expected to be loss making for the next 1-3 years.
  • Seadrill's revenue is expected to grow by 7.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:SDRL Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Seadrill Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:SDRL Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 -0.90 -0.90 -0.90 1.00
2021-12-31 -5.72 -4.08 -7.35 2.00
2020-12-31 -6.95 -5.82 -8.16 4.00
2019-12-31 -8.80 -8.07 -9.22 3.00
NYSE:SDRL Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -14.89
2018-09-30 -16.83
2018-06-30 -6.68
2018-03-31 -6.49
2017-12-31 -5.89
2017-09-30 -0.43
2017-06-30 -1.27
2017-03-31 -0.50
2016-12-31 -0.36
2016-09-30 0.24
2016-06-30 -2.13
2016-03-31 -1.88

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Seadrill will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
X
Future performance checks
We assess Seadrill's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Seadrill has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Seadrill performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Seadrill's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Seadrill does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Seadrill's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Seadrill's 1-year growth to the US Energy Services industry average as it is not currently profitable.
Earnings and Revenue History
Seadrill's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Seadrill Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:SDRL Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 1,206.00 -4,483.00 162.00
2018-09-30 1,310.00 -6,787.00 191.00
2018-06-30 1,574.00 -3,372.00 229.40
2018-03-31 1,788.00 -3,275.50 266.50
2017-12-31 1,999.00 -2,973.00 278.00
2017-09-30 2,105.00 -219.00 288.00
2017-06-30 2,359.00 -642.00 270.60
2017-03-31 2,652.00 -250.00 238.00
2016-12-31 2,969.00 -181.00 236.00
2016-09-30 3,259.00 118.00 234.00
2016-06-30 3,488.00 -1,055.00 238.00
2016-03-31 3,760.00 -927.00 244.00
2015-12-31 4,106.00 -634.00 249.00
2015-09-30 4,414.00 -865.00 264.00
2015-06-30 4,686.00 1,108.00 293.00
2015-03-31 4,711.00 1,334.00 307.00
2014-12-31 4,677.00 3,973.00 315.00
2014-09-30 4,918.00 4,048.00 318.00
2014-06-30 4,914.00 4,186.00 312.00
2014-03-31 4,923.00 5,309.00 301.00
2013-12-31 4,939.00 2,653.00 300.00
2013-09-30 4,725.00 2,401.00 298.00
2013-06-30 4,559.00 2,303.00 285.00
2013-03-31 4,486.00 1,101.00 271.00
2012-12-31 4,310.00 1,108.00 250.00
2012-09-30 4,205.00 1,001.00 222.00
2012-06-30 4,150.00 848.00 208.00
2012-03-31 4,036.00 938.00 201.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Seadrill has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Seadrill has efficiently used its assets last year compared to the US Energy Services industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Seadrill improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Seadrill's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Seadrill has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Seadrill's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Seadrill's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Seadrill is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Seadrill's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Seadrill's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Seadrill Company Filings, last reported 2 months ago.

NYSE:SDRL Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 3,073.00 7,136.00 1,599.00
2018-09-30 3,439.00 7,292.00 1,694.20
2018-06-30 6,264.00 8,840.00 930.40
2018-03-31 6,264.00 8,840.00 930.40
2017-12-31 6,959.00 9,013.00 1,379.00
2017-09-30
2017-06-30 9,946.00 9,499.00 1,465.00
2017-03-31 10,100.00 9,898.00 1,556.00
2016-12-31 10,063.00 10,080.00 1,478.00
2016-09-30 9,769.00 10,606.00 1,343.00
2016-06-30 10,321.00 10,902.00 1,428.00
2016-03-31 10,036.00 11,207.00 1,378.00
2015-12-31 10,068.00 11,274.00 1,140.00
2015-09-30 9,827.00 12,029.00 1,428.00
2015-06-30 11,159.00 11,886.00 1,242.00
2015-03-31 10,710.00 12,978.00 1,212.00
2014-12-31 10,390.00 13,169.00 1,257.00
2014-09-30 10,944.00 14,139.00 1,516.00
2014-06-30 10,747.00 13,576.50 1,476.00
2014-03-31 10,673.00 14,220.00 1,984.00
2013-12-31 8,202.00 15,078.00 1,160.00
2013-09-30 7,766.00 13,933.00 867.00
2013-06-30 7,840.00 12,341.40 1,373.00
2013-03-31 6,530.00 11,634.00 642.00
2012-12-31 6,024.00 12,215.00 651.00
2012-09-30 6,567.00 11,668.00 764.00
2012-06-30 6,715.00 11,074.00 503.00
2012-03-31 6,510.00 10,668.00 465.00
  • Seadrill's level of debt (232.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (183.1% vs 232.2% today).
  • Operating cash flow is negative therefore debt is not well covered.
  • Seadrill is making a loss, therefore interest payments are not well covered by earnings.
X
Financial health checks
We assess Seadrill's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Seadrill has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Seadrill's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Seadrill dividends. Estimated to be 0% next year.
If you bought $2,000 of Seadrill shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Seadrill's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Seadrill's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:SDRL Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
United States of America Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 3.3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2004 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:SDRL Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31 0.00 1.00
2020-12-31 0.00 3.00
2019-12-31 0.00 3.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Seadrill has not reported any payouts.
  • Unable to verify if Seadrill's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Seadrill's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Seadrill has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Seadrill's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Seadrill's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Seadrill afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Seadrill has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Seadrill's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Anton Dibowitz
COMPENSATION $0
AGE 46
TENURE AS CEO 1.7 years
CEO Bio

Mr. Anton Dibowitz has been Chief Executive Officer and President at Seadrill Limited since July 2018. Mr. Dibowitz had been Chief Executive Officer of Seadrill Management Ltd at SeaDrill Limited since July 1, 2017 until July 2018. Mr. Dibowitz served as the Chief Commercial Officer and Executive Vice President of Seadrill Ltd until July 1, 2017. Mr. Dibowitz served as an Executive Vice President of Seadrill Management Ltd. from June 6, 2016 to July 1, 2017. Mr. Dibowitz has over 20 years drilling industry experience. He served as Vice President of Marketing and Commercial Director of Deepwater Western Hemisphere Division. He served as Vice President of Marketing at Seadrill Management AS since January 2010. He joined Seadrill in April 2007. He served as the Chief Commercial Officer and Senior Vice President of Seadrill Management Limited since January 2013 until June 6, 2016. Prior to Seadrill, Mr. Dibowitz held various positions within tax, process reengineering and marketing at Transocean and within tax services at Ernst & Young LLP. Mr. Dibowitz is a Certified Public Accountant and a graduate of the University of Texas at Austin where he received a Bachelor degree in Business Administration and master degrees in Professional Accounting and Business Administration (MBA).

CEO Compensation
  • Insufficient data for Anton to compare compensation growth.
  • Anton's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Seadrill management team in years:

2.6
Average Tenure
47
Average Age
  • The tenure for the Seadrill management team is about average.
Management Team

Anton Dibowitz

TITLE
CEO & President
AGE
46
TENURE
1.7 yrs

Mark Morris

TITLE
CFO & Senior VP of Seadrill Management Ltd
AGE
54
TENURE
3.5 yrs

Leif Nelson

TITLE
COO & Senior VP of Seadrill Management Ltd
AGE
43
TENURE
3.7 yrs

John Roche

TITLE
Vice President of Investor Relations
AGE
38

Chris Edwards

TITLE
General Counsel & Senior VP of Seadrill Management Ltd
AGE
53
TENURE
4.1 yrs

Torsten Sauer-Petersen

TITLE
Senior Vice President of Human Resources - Seadrill Management Ltd
TENURE
1.6 yrs

Jose Firmo

TITLE
Senior Vice President of Western Hemisphere
AGE
48
TENURE
4.4 yrs

Matt Lyne

TITLE
Senior Vice President of Commercial
TENURE
1.2 yrs

Reid Warriner

TITLE
Senior Vice President of Eastern Hemisphere
TENURE
0.2 yrs
Board of Directors Tenure

Average tenure and age of the Seadrill board of directors in years:

0.7
Average Tenure
54
Average Age
  • The average tenure for the Seadrill board of directors is less than 3 years, this suggests a new board.
Board of Directors

John Fredriksen

TITLE
Director
AGE
74
TENURE
13.8 yrs

Harald Thorstein

TITLE
Director
AGE
44
TENURE
1.3 yrs

Kjell-Erik Østdahl

TITLE
Director
AGE
54
TENURE
0.7 yrs

Scott Vogel

TITLE
Director
AGE
43
TENURE
0.7 yrs

Peter Sharpe

TITLE
Director
AGE
59
TENURE
0.7 yrs

Gene Davis

TITLE
Director
AGE
63
TENURE
0.7 yrs

Birgitte Vartdal

TITLE
Director
AGE
41
TENURE
0.7 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
06. Dec 18 Sell John Fredriksen Individual 06. Dec 18 06. Dec 18 -3,000,000 $13.35 $-40,036,686
X
Management checks
We assess Seadrill's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Seadrill has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Who Are The Major Shareholders In Seadrill Limited (NYSE:SDRL)?

In this analysis, my focus will be on developing a perspective on Seadrill Limited’s (NYSE:SDRL) latest ownership structure, a less discussed, but important factor. … Ownership structure of a company has been found to affect share performance over time. … Therefore, it is beneficial for us to examine SDRL's ownership structure in more detail.

Simply Wall St -

Who Are The Top Investors In Seadrill Limited (NYSE:SDRL)?

I am going to take a deep dive into Seadrill Limited’s (NYSE:SDRL) most recent ownership structure, not a frequent subject of discussion among individual investors. … When it comes to ownership structure of a company, the impact has been observed in both the long-and short-term performance of shares. … It also impacts the trading environment of company shares, which is more of a concern for short-term investors.

Simply Wall St -

Is Seadrill Limited's (NYSE:SDRL) Balance Sheet Strong Enough To Weather A Storm?

Investors are always looking for growth in small-cap stocks like Seadrill Limited (NYSE:SDRL), with a market cap of US$158.07m. … However, an important fact which most ignore is: how financially healthy is the business?

Simply Wall St -

Seadrill Limited (NYSE:SDRL): Is Breakeven Near?

Seadrill Limited's (NYSE:SDRL):. … Seadrill Limited, an offshore drilling contractor, provides offshore drilling services to the oil and gas industry worldwide. … Below I will provide a high-level summary of the industry analysts’ expectations for SDRL

Simply Wall St -

Seadrill Limited (NYSE:SDRL): What's The Analyst Consensus Outlook?

In December 2017, Seadrill Limited (NYSE:SDRL) announced its latest earnings update, which suggested company earnings became less negative compared to the previous year's level as a result of recent tailwinds Below is a brief commentary on my key takeaways on how market analysts predict Seadrill's earnings growth trajectory over the next few years and whether the future looks brighter. … View our latest analysis for Seadrill Market analysts' prospects for next year seems positive, with earnings becoming less negative, generating -US$298.87M in 2019. … NYSE:SDRL Future Profit May 10th 18 Even though it is useful to understand the growth each year relative to today’s level, it may be more insightful estimating the rate at which the earnings are rising or falling every year, on average.

Simply Wall St -

What Investors Should Know About SeaDrill Limited's (NYSE:SDRL) Financial Strength

How does SDRL’s operating cash flow stack up against its debt? … Additionally, SDRL has generated US$1.18B in operating cash flow over the same time period, leading to an operating cash to total debt ratio of 11.74%, signalling that SDRL’s current level of operating cash is not high enough to cover debt. … Furthermore, its cash flow coverage of less than a quarter of debt means that operating efficiency could also be an issue.

Simply Wall St -

Is SeaDrill Limited (NYSE:SDRL) Cheap For A Reason?

Whether a company has a good future, in terms of its business operation and financial health, is an important question to address. … NYSE:SDRL Future Profit Mar 26th 18 Limiting your downside risk is an important part of investing, and financial health is a key determinant on whether SDRL is a risky investment or not. … A good company is reflected in its financials, and for SDRL, the financials don't look good.

Simply Wall St -

What You Must Know About SeaDrill Limited's (NYSE:SDRL) Major Investors

Today, I will be analyzing SeaDrill Limited’s (NYSE:SDRL) recent ownership structure, an important but not-so-popular subject among individual investors. … Private Company Ownership Another important group of owners for potential investors in SDRL are private companies that hold a stake of 5.08% in SDRL. … Thus, potential investors should look into these business relations and check how it can impact long-term shareholder returns.What this means for you: Institutional ownership in SDRL is not at a level that would concern investors.

Simply Wall St -

Should Your Next Investment In The Energy Industry Be In SeaDrill Limited (NYSE:SDRL)?

Below, I will examine the sector growth prospects, as well as evaluate whether SeaDrill is lagging or leading its competitors in the industry. … NYSE:SDRL Past Future Earnings Jan 19th 18 The oil price collapse drove a negative 40% growth in the energy sector in the past five years. … If SeaDrill has been on your watchlist for a while, now may be the time to enter into the stock, if you like its growth prospects and are not highly concentrated in the oil and gas industry.

Simply Wall St -

SeaDrill Limited (NYSE:SDRL): Risks You Need To Consider Before Buying

A popular measure of market risk for a stock is its beta, and the market as a whole represents a beta value of one. … View our latest analysis for SeaDrill An interpretation of SDRL's beta With a beta of 3.05, SeaDrill is a stock that tends to experience more gains than the market during a growth phase and also a bigger reduction in value compared to the market during a broad downturn. … SDRL, with its market capitalisation of $131.66M, is a small-cap stock, which generally have higher beta than similar companies of larger size.

Simply Wall St -

Company Info

Description

Seadrill Limited, an offshore drilling contractor, provides offshore drilling services to the oil and gas industry worldwide. The company operates in three segments: Floaters, Jack-up Rigs, and Other. The Floaters segment offers drilling, completion, and maintenance services for offshore exploration and production wells. Its drilling contracts relates to semi-submersible rigs and drill ships for harsh and benign environments in mid, deep, and ultra-deep waters. The Jack-up Rigs segment provides drilling, completion, and maintenance services for offshore exploration and production wells. Its drilling contracts relate to jack-up rigs for operations in harsh and benign environment. The Other segment offers management services to third parties and related parties. As of March 31, 2018, the company had a fleet of 35 offshore drilling units that consisted of semi-submersible rigs, 7 drill ships, and 16 jack-up rigs. It serves oil and gas exploration and production companies comprising integrated oil companies, state-owned national oil companies, and independent oil and gas producers. Seadrill Limited was founded in 2005 and is headquartered in Hamilton, Bermuda.

Details
Name: Seadrill Limited
SDRL
Exchange: NYSE
Founded: 2005
$958,000,000
100,000,000
Website: http://www.seadrill.com
Address: Seadrill Limited
Par-la-Ville Place,
4th Floor,
Hamilton,
HM 08,
Bermuda
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE SDRL New Common Shares New York Stock Exchange US USD 03. Jul 2018
DB S9AD New Common Shares Deutsche Boerse AG DE EUR 03. Jul 2018
BST S9AD New Common Shares Boerse-Stuttgart DE EUR 03. Jul 2018
LSE 0Z5D New Common Shares London Stock Exchange GB USD 03. Jul 2018
OB SDRL New Common Shares Oslo Bors NO NOK 03. Jul 2018
BATS-CHIXE SDRLO New Common Shares BATS 'Chi-X Europe' GB NOK 03. Jul 2018
Number of employees
Current staff
Staff numbers
4,328
Seadrill employees.
Industry
Oil and Gas Drilling
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/21 01:14
End of day share price update: 2019/03/20 00:00
Last estimates confirmation: 2019/03/20
Last earnings filing: 2019/02/26
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.