Seadrill Limited ($SDRL) – Overbought

Seadrill Limited has hit a technical signal on 3 different technical indicators. SDRL is in the sector. The technical signals indicate that the stock is Overbought right now. The 3 indicators: Commodity Channel Index, Relative Strength Index and the Fast Stochastics were all triggered based on the last closing price of $40.88 on Feb 24.

There are currently 16 analysts covering the company. Of these analysts, 7 have a buy recommendation. The current consensus estimate for quarterly earnings among the 16 analysts covering the stock is $0.71 per share. Last quarter the company earned $0.69 per share. The consensus estimate for this years earnings is $2.88 per share as compared to the next years’ expectation, of $3.28 per share. The consensus estimate for next years earnings is $3.28 per share, which represents forecast growth of 13.9%.

Over the last 52 weeks, the stock has been trading between $24.69 and $41.16. More recently in the last 4 weeks, the stock has been trading between $35.13 and $41.16. Yesterday the stock traded between $40.53 and $41.16. The stock currently has a PE ratio of 6.7.

Seadrill Limited is trading 5.6% from its 20-day simple moving average (SMA) of $38.71 and 13.5% from its 50-day SMA and 22.01% from its 200-day SMA. Average daily volume over the last 30 days has been 2,057,851 shares.

At yesterdays close: the RSI was at 81.6, the CCI was at 150.1 and the Fast Stochastic was at 92.0. SDRL closed yesterday at $40.88, on volume of 2,355,670 shares as compared to an average volume of 2,057,851 over the last 4 weeks.

Seadrill Limited, an offshore drilling contractor, provides offshore drilling services to the oil and gas industries worldwide. It also offers platform drilling, well intervention, and engineering services. As of March 31, 2011 the company owned and operated 54 offshore drilling units, which consist of drillships, jack-up rigs, semisubmersible rigs, and tender rigs for operations in shallow and deepwater areas, as well as in benign and harsh environments. Seadrill Limited was founded in 1972 and is based in Hamilton, Bermuda.

Technical Indicators should be used as the starting point for further analysis. These indicators are provided as a guide to help you determine what assets to analyze. The technical indicators used in this article can indicate that an asset is either overbought or oversold, but that indication could be the result of a fundamental or other type of event like an earnings announcement.

To learn more about technical analysis, please refer to our technical analysis primer.

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