Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
) as a pre-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Seadrill as such a stock due to the following factors:
- SDRL has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $224.1 million.
- SDRL traded 29,068 shares today in the pre-market hours as of 7:38 AM.
- SDRL is down 2% today from yesterday's close.
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More details on SDRL:
Seadrill Limited provides offshore drilling services to the oil and gas industry worldwide. The company operates in three segments: Floaters, Jack-up Rigs, and Tender Rigs. The stock currently has a dividend yield of 10.3%. SDRL has a PE ratio of 7.7. Currently there are 5 analysts that rate Seadrill a buy, 2 analysts rate it a sell, and 4 rate it a hold.
The average volume for Seadrill has been 3.9 million shares per day over the past 30 days. Seadrill has a market cap of $17.3 billion and is part of the basic materials sector and energy industry. The stock has a beta of 1.36 and a short float of 3.1% with 1.67 days to cover. Shares are down 8.3% year-to-date as of the close of trading on Monday.
rates Seadrill as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity, compelling growth in net income, good cash flow from operations and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.
Highlights from the ratings report include:
- SDRL's revenue growth has slightly outpaced the industry average of 8.1%. Since the same quarter one year prior, revenues rose by 17.2%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. 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.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Energy Equipment & Services industry. The net income increased by 52.1% when compared to the same quarter one year prior, rising from $188.00 million to $286.00 million.
- Net operating cash flow has increased to $533.00 million or 29.05% when compared to the same quarter last year. In addition, SEADRILL LTD has also modestly surpassed the industry average cash flow growth rate of 22.90%.
- SEADRILL LTD reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, SEADRILL LTD reported lower earnings of $2.32 versus $2.92 in the prior year. This year, the market expects an improvement in earnings ($2.79 versus $2.32).
- You can view the full Seadrill Ratings Report.