Seadrill Shares Soar 2.42% on Positive Rating, Industry Trends

Seadrill (SDRL) shares surged 2.42% today, marking the seventh consecutive day of gains, with a 19.12% increase over the past week. The share price reached its highest level since February 2025, with an intraday gain of 3.06%.

The strategy of buying SDRL shares after they reached a recent high and holding for 1 week showed poor performance over the past 5 years. The annualized return was -14.8%, significantly underperforming the market. This indicates that waiting for a recent high before buying SDRL shares and holding for 1 week did not lead to favorable returns, suggesting a need for a more robust trading strategy.

Seadrill's recent stock performance can be attributed to several key factors. On May 13th, BWS Financial reiterated a "buy" rating for Seadrill, setting a target price of $80.00. This positive outlook from the financial institution likely boosted investor confidence, contributing to the stock's upward trajectory. The reiteration of the "buy" rating and the target price provided a strong signal to investors, encouraging them to buy into the company's shares.

Additionally, the company's strategic initiatives and operational improvements have been well-received by the market. Seadrill has been focusing on cost-cutting measures and enhancing operational efficiency, which has helped in improving its financial performance. These efforts have been instrumental in driving the stock price higher, as investors recognize the company's commitment to improving its bottom line.

Furthermore, the positive sentiment surrounding the offshore drilling industry has also played a role in Seadrill's stock performance. With increasing demand for oil and gas, the industry is experiencing a resurgence, and Seadrill, as a key player in the sector, is well-positioned to benefit from this trend. The company's strong market position and its ability to capitalize on industry opportunities have further bolstered investor confidence in its stock.