New York, January 13, 2026, 13:51 EST — Regular session underway.
Seadrill Ltd shares surged Tuesday, leading offshore drillers higher amid rising crude prices and a boost in energy stocks. The stock climbed 7.0% to $36.01 in afternoon trading, briefly touching $36.03. It started the day at $34.02 and dipped to $34.00 earlier. Trading volume exceeded 420,000 shares.
The move follows Citi’s downgrade of Seadrill to “Sell” from “Neutral” just a day earlier, with the price target slashed to $32, according to a note reported by TheFly. Citi highlighted a “downside 30-day catalyst watch” and flagged concerns over rig downtime and reduced operating uptime that could hit 2026 EBITDA — a key measure of operating profit before interest, taxes, depreciation, and amortization. StreetInsider named Citi’s Scott Gruber as the analyst behind the call. (TipRanks)
Oil prices were leading the charge. Brent climbed nearly 2.9% to hit $65.75 a barrel by late morning, while U.S. West Texas Intermediate gained about 3%, reaching $61.29. Traders appeared focused on potential disruptions to Iranian exports. “The oil market is building in some price protection against geopolitical drivers,” said John Evans, an analyst at PVM Oil Associates. (Reuters)
Rivals rose as well, though less sharply. Valaris climbed roughly 2.9%, while Transocean added around 1.3%.
Offshore drillers face a straightforward reality: high utilization and solid day rates drive cash flow, while downtime and repairs cut into it. Day rates, the daily fees charged to customers, fluctuate depending on whether operators ramp up activity or pull back.
Oil held steady enough to keep investors interested in the sector. Brent closed Monday at $63.87 a barrel, marking its highest level since mid-November. WTI finished at $59.50, the strongest closing price seen since early December. (Reuters)
Seadrill dropped roughly 5.3% on Monday following a downgrade from Citi, then recovered some ground on Tuesday.
Seadrill delivers offshore drilling services across the globe, running a fleet of drillships and semi-submersible rigs, its company profile states.
But the trade works both ways. If crude prices slip and operators grow cautious, tendering can falter and day rates may drop, even when rigs are technically on offer. Unplanned downtime hits fast too; it doesn’t wait for a slow quarter.
Next in focus: earnings, where Seadrill’s outlook for 2026 will carry more weight than any short-term price moves. Nasdaq’s earnings calendar puts the next report around Feb. 25, but that’s just an estimate—Seadrill hasn’t officially confirmed the date. (Nasdaq)
