Packer & Co Increases Stake in Seadrill
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 14 2026
0mins
Source: Fool
- Share Acquisition: Packer & Co Ltd disclosed the purchase of 366,000 shares of Seadrill valued at approximately $14.94 million in its May 13, 2026 SEC filing, indicating strong confidence in the company.
- Increased Stake: This acquisition raised Seadrill's share to 10.43% of Packer & Co's 13F reportable AUM, positioning it among the fund's top five holdings, reflecting its significance in the investment portfolio.
- Strong Market Performance: As of May 12, 2026, Seadrill shares were priced at $49.96, marking a 103.8% increase over the past year, significantly outperforming the S&P 500 by 77.11 percentage points, suggesting optimistic market expectations for future growth.
- Financial Condition Analysis: Despite Seadrill's first-quarter results exceeding analyst expectations and management providing positive guidance, the company remains free cash flow negative, with net debt rising to $302 million, indicating potential financial risks.
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Analyst Views on SDRL
Wall Street analysts forecast SDRL stock price to fall
5 Analyst Rating
3 Buy
2 Hold
0 Sell
Moderate Buy
Current: 47.950
Low
32.00
Averages
44.20
High
80.00
Current: 47.950
Low
32.00
Averages
44.20
High
80.00
About SDRL
Seadrill Limited is an offshore drilling contractor. The Company is engaged in providing worldwide offshore drilling services to the oil and gas industry. Its primary business is the ownership and operation of drill ships, semi-submersible rigs, and jack-up rigs for operations in shallow to ultra-deepwater in both benign and harsh environments. Its fleet portfolio includes West Phoenix, West Aquarius, West Eclipse, Sevan Louisiana, West Capella, West Gemini, West Tellus, West Neptune, West Jupiter, West Saturn, West Carina, West Polaris, West Auriga, West Vela, West Castor, West Tucana, West Telesto, and West Elara. Its drill ships are self-propelled ships equipped for drilling offshore in water depths ranging from approximately 1,000 to 12,000 feet and are positioned over the well through a computer-controlled thruster system. Its customers include oil super-majors, state-owned national oil companies, and independent oil and gas companies. It also provides management services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Packer & Co Increases Stake in Seadrill
- Share Acquisition: Packer & Co Ltd disclosed the purchase of 366,000 shares of Seadrill valued at approximately $14.94 million in its May 13, 2026 SEC filing, indicating strong confidence in the company.
- Increased Stake: This acquisition raised Seadrill's share to 10.43% of Packer & Co's 13F reportable AUM, positioning it among the fund's top five holdings, reflecting its significance in the investment portfolio.
- Strong Market Performance: As of May 12, 2026, Seadrill shares were priced at $49.96, marking a 103.8% increase over the past year, significantly outperforming the S&P 500 by 77.11 percentage points, suggesting optimistic market expectations for future growth.
- Financial Condition Analysis: Despite Seadrill's first-quarter results exceeding analyst expectations and management providing positive guidance, the company remains free cash flow negative, with net debt rising to $302 million, indicating potential financial risks.
See More
Seadrill Reports Q1 2026 Financial Results with Increased Guidance
- Contract Backlog Growth: Seadrill secured multiple contracts across the U.S. Gulf, Brazil, and Angola, adding over $860 million to its Contract Backlog, which now stands at $3.1 billion, indicating strong demand in the deepwater drilling market and enhancing future revenue visibility.
- Project Completion Ahead of Schedule: The West Capella and West Jupiter projects were completed on budget and ahead of schedule, improving operational efficiency and expected to drive higher earnings and Free Cash Flow in the second half of 2026 and into 2027, strengthening the company's competitive position.
- Improved Financial Performance: Although total operating revenues for Q1 2026 decreased to $358 million compared to the previous quarter, Adjusted EBITDA rose to $97 million from $88 million, demonstrating improvements in cost control and operational efficiency.
- Optimistic Future Outlook: Seadrill raised its full-year 2026 guidance for total operating revenues and Adjusted EBITDA, now expecting revenues of $1.43 to $1.48 billion and Adjusted EBITDA of $370 to $420 million, reflecting confidence in market demand and successful strategic positioning.
See More
Seadrill Scheduled to Announce Q1 Earnings on May 11
- Earnings Announcement: Seadrill (SDRL) is set to release its Q1 2023 earnings report on May 11 before market open, with consensus EPS estimate at -$0.27 and revenue forecast at $325.53 million, reflecting a 2.8% year-over-year decline.
- Performance Track Record: Over the past year, Seadrill has achieved a 100% accuracy rate in beating EPS estimates and a 75% rate for revenue estimates, indicating the company's reliability in financial forecasting.
- Estimate Adjustments: In the last three months, EPS estimates have seen one upward revision and two downward adjustments, while revenue estimates experienced two upward and two downward revisions, highlighting market uncertainty regarding the company's future performance.
- Investor Focus: Investors are expected to closely monitor the upcoming earnings report to assess Seadrill's performance in the current market environment and its growth potential, particularly amid volatility in the oil and gas sector.
See More
SEADRILL LIMITED: BARCLAYS INCREASES TARGET PRICE FROM $41 TO $59
Company Overview: Seadrill Limited is a company involved in offshore drilling services.
Target Price Increase: Barclays has raised the target price for Seadrill Limited from $41 to $59.
See More
SEADRILL LIMITED: BARCLAYS UPGRADES RATING TO OVERWEIGHT FROM EQUAL-WEIGHT
- Company Overview: Seadrill Limited is a company involved in offshore drilling services.
- Financial Update: Barclays has raised its weight rating on Seadrill, indicating a positive outlook on the company's performance.
See More
Barclays: Best Time in Two Decades to Buy Oil Service Stocks
- Sector Upgrade: Barclays upgraded the U.S. energy service and technology sector from neutral to positive, raising ratings for oil service providers like Halliburton from equal weight to overweight, reflecting confidence in the sector's future performance.
- Oil Price Volatility: Although oil prices fell to $90.51 per barrel due to reports of a potential U.S.-Iran deal, nearly 20% down from early April's peak, Barclays analysts believe Middle Eastern events will lead to structurally higher oil prices, driving a multi-year upstream spending cycle.
- Positive Outlook for Halliburton: Barclays raised Halliburton's 12-month price target from $37 to $55, implying a 36% upside from Wednesday's close, indicating significant benefits for the company amid rising oil prices.
- Offshore Services Potential: Barclays also upgraded Patterson-UTI Energy and ProPetro Holding to overweight, forecasting an increase in active deepwater rigs from 122 to 131 by the end of 2027, which will provide a tailwind for offshore oil service companies.
See More
Packer & Co Increases Stake in Seadrill
- Share Acquisition: Packer & Co Ltd disclosed the purchase of 366,000 shares of Seadrill valued at approximately $14.94 million in its May 13, 2026 SEC filing, indicating strong confidence in the company.
- Increased Stake: This acquisition raised Seadrill's share to 10.43% of Packer & Co's 13F reportable AUM, positioning it among the fund's top five holdings, reflecting its significance in the investment portfolio.
- Strong Market Performance: As of May 12, 2026, Seadrill shares were priced at $49.96, marking a 103.8% increase over the past year, significantly outperforming the S&P 500 by 77.11 percentage points, suggesting optimistic market expectations for future growth.
- Financial Condition Analysis: Despite Seadrill's first-quarter results exceeding analyst expectations and management providing positive guidance, the company remains free cash flow negative, with net debt rising to $302 million, indicating potential financial risks.
See More
Seadrill Reports Q1 2026 Financial Results with Increased Guidance
- Contract Backlog Growth: Seadrill secured multiple contracts across the U.S. Gulf, Brazil, and Angola, adding over $860 million to its Contract Backlog, which now stands at $3.1 billion, indicating strong demand in the deepwater drilling market and enhancing future revenue visibility.
- Project Completion Ahead of Schedule: The West Capella and West Jupiter projects were completed on budget and ahead of schedule, improving operational efficiency and expected to drive higher earnings and Free Cash Flow in the second half of 2026 and into 2027, strengthening the company's competitive position.
- Improved Financial Performance: Although total operating revenues for Q1 2026 decreased to $358 million compared to the previous quarter, Adjusted EBITDA rose to $97 million from $88 million, demonstrating improvements in cost control and operational efficiency.
- Optimistic Future Outlook: Seadrill raised its full-year 2026 guidance for total operating revenues and Adjusted EBITDA, now expecting revenues of $1.43 to $1.48 billion and Adjusted EBITDA of $370 to $420 million, reflecting confidence in market demand and successful strategic positioning.
See More
Seadrill Scheduled to Announce Q1 Earnings on May 11
- Earnings Announcement: Seadrill (SDRL) is set to release its Q1 2023 earnings report on May 11 before market open, with consensus EPS estimate at -$0.27 and revenue forecast at $325.53 million, reflecting a 2.8% year-over-year decline.
- Performance Track Record: Over the past year, Seadrill has achieved a 100% accuracy rate in beating EPS estimates and a 75% rate for revenue estimates, indicating the company's reliability in financial forecasting.
- Estimate Adjustments: In the last three months, EPS estimates have seen one upward revision and two downward adjustments, while revenue estimates experienced two upward and two downward revisions, highlighting market uncertainty regarding the company's future performance.
- Investor Focus: Investors are expected to closely monitor the upcoming earnings report to assess Seadrill's performance in the current market environment and its growth potential, particularly amid volatility in the oil and gas sector.
See More
SEADRILL LIMITED: BARCLAYS INCREASES TARGET PRICE FROM $41 TO $59
Company Overview: Seadrill Limited is a company involved in offshore drilling services.
Target Price Increase: Barclays has raised the target price for Seadrill Limited from $41 to $59.
See More
SEADRILL LIMITED: BARCLAYS UPGRADES RATING TO OVERWEIGHT FROM EQUAL-WEIGHT
- Company Overview: Seadrill Limited is a company involved in offshore drilling services.
- Financial Update: Barclays has raised its weight rating on Seadrill, indicating a positive outlook on the company's performance.
See More
Barclays: Best Time in Two Decades to Buy Oil Service Stocks
- Sector Upgrade: Barclays upgraded the U.S. energy service and technology sector from neutral to positive, raising ratings for oil service providers like Halliburton from equal weight to overweight, reflecting confidence in the sector's future performance.
- Oil Price Volatility: Although oil prices fell to $90.51 per barrel due to reports of a potential U.S.-Iran deal, nearly 20% down from early April's peak, Barclays analysts believe Middle Eastern events will lead to structurally higher oil prices, driving a multi-year upstream spending cycle.
- Positive Outlook for Halliburton: Barclays raised Halliburton's 12-month price target from $37 to $55, implying a 36% upside from Wednesday's close, indicating significant benefits for the company amid rising oil prices.
- Offshore Services Potential: Barclays also upgraded Patterson-UTI Energy and ProPetro Holding to overweight, forecasting an increase in active deepwater rigs from 122 to 131 by the end of 2027, which will provide a tailwind for offshore oil service companies.
See More
