NEW YORK (TheStreet) -- Shares of oil drilling company Seadrill (SDRL) - Get Report were falling 5.7% to $9.13 Friday as oil prices fell following a report from the International Energy Agency.

West Texas crude oil for April delivery was falling 3% to $45.66 a barrel Friday morning and Brent crude oil for April delivery was falling 1.1% to $56.44 a barrel.

Oil prices were falling following a monthly IEA report that said U.S. oil inventory growth "shows precious little sign of slowing down. Quite the contrary, it continues to defy expectations." The agency added that the U.S. may run out of empty tanks to store crude oil in soon, according to the Wall Street Journal.

The IEA report said that global oil supply grew by 1.3 million barrels a day year over year to 94 million barrels a day in February, despite lower OPEC output.

TheStreet Ratings team rates SEADRILL LTD as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:

"We rate SEADRILL LTD (SDRL) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its notable return on equity, attractive valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk, weak operating cash flow and a generally disappointing performance in the stock itself."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

• Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Energy Equipment & Services industry and the overall market, SEADRILL LTD's return on equity significantly exceeds that of both the industry average and the S&P 500.
• SDRL, with its decline in revenue, underperformed when compared the industry average of 14.6%. Since the same quarter one year prior, revenues fell by 14.2%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
• The debt-to-equity ratio of 1.35 is relatively high when compared with the industry average, suggesting a need for better debt level management. To add to this, SDRL has a quick ratio of 0.66, this demonstrates the lack of ability of the company to cover short-term liquidity needs.
• Net operating cash flow has decreased to $287.00 million or 41.66% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
• You can view the full analysis from the report here: SDRL Ratings Report