Tidewater (Buy, TP: USD62.00) - Growth set to pause in 2025
The Q4 results were decent but overshadowed by a weaker 2025 guidance than expected (EBITDA mid-point 9% below consensus and our estimate ahead of the report). The company expects 2025 activity to start slow before recovering in H2, partly driven by growth in subsea-related work, while offshore rig count is seen lower in 2025 than in 2024. We expect softness in the offshore drilling market to continue into 2026, and we remain below consensus on 2026e EBITDA (15%). The stock is trading at 2025–2026e EV/EBITDAs of 4.5–3.4x. We reiterate our BUY but have lowered our target price to USD62 (65) on reduced estimates.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.