Struggling Seadrill Limited (SDRL) Has Option Bears Busy

Seadrill Ltd (SDRL) speculators are gambling on additional losses

Digital Content Group

Feb 10, 2015 at 2:10 PM

SDRL

Amid crude's first dip in four sessions, Seadrill Ltd (NYSE:SDRL) is floundering -- down 6.2% this afternoon to trade at $13.44. Meanwhile, bearish betting has picked up in the stock's options pits, with put volume running at a 43% mark-up to what's expected at this point in the day.

Receiving notable attention has been SDRL's weekly 2/13 13-strike put. Several signs suggest this could be buy-to-open activity, as speculators roll the dice on additional downside through week's end, when the series expires.

These aren't the only traders who see red ahead. During the most recent reporting period, short interest on SDRL spiked 18%, with 8.5% of the stock's total float now dedicated to short interest.

Returning to the charts, Seadrill Ltd (NYSE:SDRL) has had a rough go of it. Over the last year, the shares have tumbled roughly 64%. More recently, the security has underperformed the broader S&P 500 Index (SPX) by almost 33 percentage points over the past three months.

Follow @Schaeffers

Two High-Octane Trade Ideas. One Simple Goal: Intraday Profits.

Dynamite Day Trading Signals delivers two same-day options trades every week — powered by proprietary intraday analysis and 43+ years of trading expertise.

But this isn’t just another stream of alerts.

It’s a structured plan with clear entry and exit points – designed for traders who want to act fast, trade smart, and wrap up gains before the closing bell.

No guesswork. No overnight exposure – Just two well-researched setups per week — whether you prefer buying premium or selling it.

And the results speak for themselves: subscribers have locked in +245.8% total profit over the last six months (since inception!).

👉 Start your one-month trial now for just $10, and be ready for the next trade alert.