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Seadrill Limited: Strategic Positioning and Contract Wins Justify Buy Rating

Seadrill Limited: Strategic Positioning and Contract Wins Justify Buy Rating

BWS Financial analyst Hamed Khorsand maintained a Buy rating on Seadrill Limited (SDRLResearch Report) today and set a price target of $80.00.

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Hamed Khorsand has given his Buy rating due to a combination of factors including Seadrill Limited’s strategic positioning and recent contract wins. The company has managed to secure contract extensions in Brazil for the year 2026, which indicates a robust long-term outlook despite some short-term challenges. These contracts not only add to the company’s revenue certainty but also enhance its market presence in key regions.
Despite facing near-term hurdles due to a portion of its fleet currently being without contracts, Seadrill is showing resilience by steadily acquiring work for its vessels like the Sevan Louisiana. This adaptability suggests potential for improved performance in 2025. While there may be some hesitations due to the current contract activity, the long-term prospects and strategic moves justify the Buy rating, as Khorsand anticipates that contract activity will align with expectations, maintaining a stable revenue similar to 2024.

In another report released on January 28, Benchmark Co. also assigned a Buy rating to the stock with a $52.00 price target.

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