SEADRILL LIMITED (SDRL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SDRL - BMG7997W1029 - Common Stock
31.57 USD
+1.2 (+3.95%)
31.7 USD
+0.13 (+0.41%)
Taking everything into account, SDRL scores 2 out of 10 in our fundamental rating. SDRL was compared to 62 industry peers in the Energy Equipment & Services industry. SDRL may be in some trouble as it scores bad on both profitability and health. SDRL is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year SDRL has reported negative net income.
In the past year SDRL had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SDRL reported negative net income in multiple years.
In multiple years SDRL reported negative operating cash flow during the last 5 years.
1.2 Ratios
SDRL's Return On Assets of 0.84% is on the low side compared to the rest of the industry. SDRL is outperformed by 70.97% of its industry peers.
SDRL has a Return On Equity of 1.19%. This is in the lower half of the industry: SDRL underperforms 67.74% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.74%, SDRL is doing worse than 82.26% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SDRL is significantly below the industry average of 13.09%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.84% | ||
| ROE | 1.19% | ||
| ROIC | 0.74% |
ROA(3y)52.44%
ROA(5y)4.92%
ROE(3y)84.97%
ROE(5y)N/A
ROIC(3y)4.58%
ROIC(5y)N/A
1.3 Margins
SDRL's Profit Margin of 2.49% is on the low side compared to the rest of the industry. SDRL is outperformed by 66.13% of its industry peers.
SDRL has a worse Operating Margin (2.49%) than 72.58% of its industry peers.
SDRL has a Gross Margin of 26.03%. This is comparable to the rest of the industry: SDRL outperforms 58.06% of its industry peers.
SDRL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.49% | ||
| PM (TTM) | 2.49% | ||
| GM | 26.03% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y38.61%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SDRL is destroying value.
Compared to 1 year ago, SDRL has less shares outstanding
Compared to 1 year ago, SDRL has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.76, we must say that SDRL is in the distress zone and has some risk of bankruptcy.
SDRL's Altman-Z score of 1.76 is in line compared to the rest of the industry. SDRL outperforms 41.94% of its industry peers.
SDRL has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
SDRL has a Debt to Equity ratio of 0.21. This is in the better half of the industry: SDRL outperforms 67.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.76 |
ROIC/WACC0.08
WACC9.09%
2.3 Liquidity
SDRL has a Current Ratio of 1.89. This is a normal value and indicates that SDRL is financially healthy and should not expect problems in meeting its short term obligations.
SDRL has a Current ratio (1.89) which is in line with its industry peers.
SDRL has a Quick Ratio of 1.89. This is a normal value and indicates that SDRL is financially healthy and should not expect problems in meeting its short term obligations.
SDRL's Quick ratio of 1.89 is fine compared to the rest of the industry. SDRL outperforms 69.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
SDRL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -100.34%.
SDRL shows a decrease in Revenue. In the last year, the revenue decreased by -9.31%.
SDRL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.17% yearly.
EPS 1Y (TTM)-100.34%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-134.69%
Revenue 1Y (TTM)-9.31%
Revenue growth 3Y11.17%
Revenue growth 5YN/A
Sales Q2Q%2.54%
3.2 Future
Based on estimates for the next years, SDRL will show a small growth in Earnings Per Share. The EPS will grow by 3.57% on average per year.
The Revenue is expected to grow by 3.97% on average over the next years.
EPS Next Y-124.8%
EPS Next 2Y-48.36%
EPS Next 3Y3.57%
EPS Next 5YN/A
Revenue Next Year-1.13%
Revenue Next 2Y-1.17%
Revenue Next 3Y3.97%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
SDRL reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
SDRL is valuated quite expensively with a Price/Forward Earnings ratio of 38.69.
Based on the Price/Forward Earnings ratio, SDRL is valued a bit more expensive than the industry average as 62.90% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of SDRL to the average of the S&P500 Index (23.84), we can say SDRL is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 38.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SDRL is valued a bit more expensive than 70.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.79 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-48.36%
EPS Next 3Y3.57%
5. Dividend
5.1 Amount
No dividends for SDRL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
31.57
+1.2 (+3.95%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners104.19%
Inst Owner Change263.83%
Ins Owners0.49%
Ins Owner Change54.38%
Market Cap1.97B
Revenue(TTM)1.36B
Net Income(TTM)34.00M
Analysts80
Price Target42.08 (33.29%)
Short Float %9.29%
Short Ratio7.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-189.01%
Min EPS beat(2)-207.4%
Max EPS beat(2)-170.62%
EPS beat(4)1
Avg EPS beat(4)-19.4%
Min EPS beat(4)-207.4%
Max EPS beat(4)444.88%
EPS beat(8)5
Avg EPS beat(8)67.36%
EPS beat(12)8
Avg EPS beat(12)70.06%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.72%
Min Revenue beat(2)1.8%
Max Revenue beat(2)5.65%
Revenue beat(4)2
Avg Revenue beat(4)0.26%
Min Revenue beat(4)-4.58%
Max Revenue beat(4)5.65%
Revenue beat(8)5
Avg Revenue beat(8)1.51%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)15.04%
PT rev (3m)-0.43%
EPS NQ rev (1m)28.72%
EPS NQ rev (3m)21.88%
EPS NY rev (1m)-42.39%
EPS NY rev (3m)-193.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.16%
Revenue NY rev (1m)1.15%
Revenue NY rev (3m)1.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 38.69 | ||
| P/S | 1.44 | ||
| P/FCF | N/A | ||
| P/OCF | 103.63 | ||
| P/B | 0.69 | ||
| P/tB | 0.69 | ||
| EV/EBITDA | 8.79 |
EPS(TTM)-0.01
EYN/A
EPS(NY)0.82
Fwd EY2.58%
FCF(TTM)-1.7
FCFYN/A
OCF(TTM)0.3
OCFY0.96%
SpS21.87
BVpS45.94
TBVpS45.94
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.84% | ||
| ROE | 1.19% | ||
| ROCE | 0.94% | ||
| ROIC | 0.74% | ||
| ROICexc | 0.83% | ||
| ROICexgc | 0.83% | ||
| OM | 2.49% | ||
| PM (TTM) | 2.49% | ||
| GM | 26.03% | ||
| FCFM | N/A |
ROA(3y)52.44%
ROA(5y)4.92%
ROE(3y)84.97%
ROE(5y)N/A
ROIC(3y)4.58%
ROIC(5y)N/A
ROICexc(3y)5.51%
ROICexc(5y)N/A
ROICexgc(3y)5.51%
ROICexgc(5y)N/A
ROCE(3y)5.79%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y38.61%
GM growth 5YN/A
F-Score3
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.47 | ||
| Cap/Depr | 58.41% | ||
| Cap/Sales | 9.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 7.66% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 1.76 |
F-Score3
WACC9.09%
ROIC/WACC0.08
Cap/Depr(3y)85.55%
Cap/Depr(5y)56.63%
Cap/Sales(3y)10.93%
Cap/Sales(5y)7.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-100.34%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-134.69%
EPS Next Y-124.8%
EPS Next 2Y-48.36%
EPS Next 3Y3.57%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.31%
Revenue growth 3Y11.17%
Revenue growth 5YN/A
Sales Q2Q%2.54%
Revenue Next Year-1.13%
Revenue Next 2Y-1.17%
Revenue Next 3Y3.97%
Revenue Next 5YN/A
EBIT growth 1Y-87.59%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year64.56%
EBIT Next 3Y38.45%
EBIT Next 5YN/A
FCF growth 1Y-137.1%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-69.34%
OCF growth 3YN/A
OCF growth 5YN/A
SEADRILL LIMITED / SDRL FAQ
What is the ChartMill fundamental rating of SEADRILL LIMITED (SDRL) stock?
ChartMill assigns a fundamental rating of 2 / 10 to SDRL.
What is the valuation status for SDRL stock?
ChartMill assigns a valuation rating of 0 / 10 to SEADRILL LIMITED (SDRL). This can be considered as Overvalued.
How profitable is SEADRILL LIMITED (SDRL) stock?
SEADRILL LIMITED (SDRL) has a profitability rating of 2 / 10.