Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



What You Need to Know About Seadrill

In the following video, Motley Fool analyst Joel South discusses how Seadrill (NYSE: SDRL  ) is positioned to reward investors with strong growth.

Earnings per share for the third quarter were a disappointment, and the market punished shareholders.  Earnings were below expectations as well, but partially because of both planned downtime and the relocation of a number of rigs to more profitable geographies. 

These activities are already showing positive returns, as day rates and utilization rates were at higher levels through November. Factor in a growing backlog and a dividend now near 9%, and Joel says you shouldn't fret over last quarter. Seadrill's young fleet, better technology, and the drive for deeper oil give Seadrill strong competitive advantages. 

He also discusses the new master limited partnership, Seadrill Partners (NYSE: SDLP  ) , and how investors in both Seadrill and Seadrill Partners will benefit from the newly formed MLP, including why this new company will drive even faster growth in the next three to five years. 

Seadrill is one of the more exciting plays in the space and will have to continue its rapid growth for investors to be rewarded,  And despite Joel's confidence that this past quarter was an aberration, it's up to you to do a deep dive to better understand what's at risk. To learn more about the strengths and weaknesses of this company, as well as what to expect from Seadrill going forward, be sure to check out this brand-new premium report put together by one of our top Stock Advisor analysts. Click here to get started.

Read/Post Comments (1) | Recommend This Article (6)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2135420, ~/Articles/ArticleHandler.aspx, 10/23/2016 11:37:39 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 2 days ago Sponsored by:
DOW 18,145.71 -16.64 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/21/2016 4:01 PM
SDLP $3.58 Down -0.12 -3.24%
Seadrill Partners CAPS Rating: *****
SDRL $2.31 Down -0.04 -1.70%
Seadrill CAPS Rating: ***
KMI $21.11 Down -0.08 -0.38%
Kinder Morgan CAPS Rating: *****
RIG $10.50 Down -0.09 -0.85%
Transocean CAPS Rating: ****
XOM $86.62 Down -0.59 -0.68%
ExxonMobil CAPS Rating: ****