Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, offshore driller Seadrill (NYSE: SDRL ) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Seadrill's business and see what CAPS investors are saying about the stock right now.
||Hamilton, Bermuda (1972)
||Oil and gas drilling
CEO Alf Thorkildsen (since 2008)
CFO Esa Ikaheimonen (since 2010)
|Return on Capital (Average, Past 3 Years)
||$528 million / $9.7 billion
Ensco (NYSE: ESV )
Noble (NYSE: NE )
Transocean (NYSE: RIG )
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 99.6% of the 475 members who have rated Seadrill believe the stock will outperform the S&P 500 going forward. These bulls include artmuseum and TurnKeyOilStocks.
A few months ago, artmuseum tapped Seadrill as a particularly well-managed opportunity:
SDRL's ace up its sleeve is charismatic John Fredriksen, Chairman, Pres. ... His presence enables low borrowing costs, also accelerated growth combined with generous cash dividends. What more can we expect from a NYSE listed management/investment?
In fact, Seadrill currently boasts a tempting dividend yield of 9.9%. That's higher than that of rivals like Ensco (2.9%), Noble (1.5%), and Transocean (5.8%).
CAPS member TurnKeyOilStocks elaborates on the bargain opportunity:
At current prices, investors have the opportunity to load up on a safe investment that will offer large returns. There is no logical explanation for the recent drop in price other than a sell-off in the market and commodity price drops. ... This should prove to be a great investment both long and short term. The stock is now trading with a P/E under 7.
What do you think about Seadrill, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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