Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

First Sanctions and Now Its Own Shareholders: Seadrill Ltd (SDRL) Just Can’t Get A Break

Page 1 of 2

Shareholders of a subsidiary of Seadrill Ltd (NYSE:SDRL), a $3.51 billion offshore drilling contractor, have sued the company in light of a deal signed with the Russian state-owned oil firm Rosneft back in June 2014, which has been put on hold since the sanctions in August last year. The shareholders of the subsidiary North Atlantic Drilling contend that both the parent company and the subsidiary made false and misleading statements, downplaying the risks of the deal with Rosneft. The deal involved Rosneft gaining a 30% stake in NADL in exchange for cash and a total of 150 onshore rigs. In early trading hours Seadrill’s stock was down by more than 4%. The news was first reported in the Russian business daily Kommersant on Friday.

oil-500711_1280 (1)

Seadrill Ltd (NYSE:SDRL) has lately been in a tough shape with the stock dropping by more than 37% so far this year. The stock has received some uplift recently on the back of the second quarter results, which managed to beat the earnings estimates and revenues that were almost in line with the expectations. The company has embarked on a rigorous cost cutting program and cost savings for the current year are expected to be double compared to the last year. Seadrill Ltd (NYSE:SDRL)’s management expects the low oil price environment to persist throughout 2016 with a real possibility of continuation in 2017 as well.

As Seadrill is undergoing some tough times dictated by low commodity prices, hedge funds have been cautious around the company, as our records show. We assess hedge fund sentiment that surrounds a stock based on 13F filings of more than 700 institutional investors, which we also use to determine the top 15 small-cap stocks in which they are invested.

We gather and share this information based on 16 years of research, which showed that these 15 most popular small-cap picks have a great potential to outperform the market, beating the S&P 500 Total Return Index by nearly one percentage point per month in backtests, and easily beating the most popular large-cap picks of hedge funds, which nonetheless get the majority of their collective capital. Why pay fees to invest in both the best and worst ideas of a particular hedge fund when you can simply mimic only the best ideas of the best money managers on your own? Since the beginning of forward testing in August 2012, the Insider Monkey small-cap strategy has outperformed the market every year, returning 123%, around double than the gains posted by the S&P 500 ETF (SPY) during the same period (see more details).

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!