5-Star Stocks Poised to Pop: Seadrill

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, offshore driller Seadrill (NYS: SDRL) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Seadrill's business and see what CAPS investors are saying about the stock right now.

Seadrill facts

Headquarters (founded)

Hamilton, Bermuda (1972)

Market Cap

$17.8 billion

Industry

Oil and gas drilling

Trailing-12-Month Revenue

$4.1 billion

Management

Chairman/President John Fredriksen
CEO Alf Thorkildsen

Return on Equity (average, past 3 years)

26.7%

Cash/Debt

$507.0 million / $10.4 billion

Dividend Yield

8.5%

Competitors


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 99% of the 788 members who have rated Seadrill believe the stock will outperform the S&P 500 going forward.

A couple of months ago, one of those Fools, cafbchief, succinctly summed up the bull case for our community:

[W]atch the pent-up demand push exploration and drilling companies' value skyrocket. With a practically new fleet of rigs, low maintenance costs, and a backlog of existing demand for their product, Seadrill will be positioned to do very nicely. Add in the excellent dividend and you have a long-term buy.

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Seadrill may not be your top choice.

If that's the case, we've compiled a special free report for investors called "Secure Your Future With 9 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Seadrill, Ensco, and Transocean. Motley Fool newsletter services have recommended buying shares of Seadrill. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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