The overall Seadrill report on earnings, dividends, cash flow and guidance should be favorable. I hope the people I suggested to buy Seadrill when it was at $32 acted then. Not likely to see that price again. This is a great stock that even Jim Cramer does not understand. If you don't own Seadrill suggest you sell tight front month puts until it is put to you.
Drillers are fine as long as oil stays high. It really needs to be $100+ for them to be the most profitable. When it starts creeping below 80, you have to get worried.
Even with all of the renewable and alternative energy companies that now exist, oil drilling will be around for many more years. The main drawback is the debt load, but as long as it can maintain the 8%+ yield it should be a good one to hold onto. Looking for entry with a fall after earnings, if not then I believe I missed the boat on this one.
High for year $42.30, hope earnings push over $42, then I add to my position. Expect $48-49 before year end when Israeli's bomb Iran's nuclear facilities, probably next month.
This news story has 8 comments:
Expect $48-49 before year end when Israeli's bomb Iran's nuclear facilities, probably next month.