Tidewater cut to Neutral at BTIG amid ongoing softness in offshore activity

BTIG downgraded Tidewater (TDW) to Neutral from Buy as part of a broader research note on Offshore Oil Services names. There has been a flight to quality trade in offshore services over the last year, though the firm still views the ongoing slow down in drilling activity as a pause in the cycle, with 7G utilization still firm and at premium pricing versus 6G floaters, the analyst tells investors in a research note. BTIG adds that 2025 was expected to be a transition year for offshore activity given ongoing macro uncertainty, the drop in the 2026 oil futures curve, and OPEC+ unwinding production cuts, but the firm expects offshore activity to continue to limp along this year and most of next.