| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 57 | 27.5x | 17.8x | Around median | |
Growth | 26 | -15.3% | 7.1% | Bottom tier | |
Quality | 65 | 5.2% | 4.5% | Around median | |
Safety | 37 | 5.0x | 2.6x | Bottom tier | |
Capital Return | 79 | 6.57% | 2.12% | Top tier | |
Momentum | 95 | 48.1% | 2.9% | Top tier | |
Sentiment | 70 | 3 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
SFL Corporation Ltd operates as a maritime infrastructure company with a portfolio of 61 maritime assets, including vessels, drilling rigs, and vessels under construction. The portfolio comprises 30 container vessels, 16 tankers, 11 car carriers, two dry bulk vessels, and two drilling rigs. The company generates most of its cash flows by chartering these assets under long-term time-charter contracts, while keeping a limited number of tankers and dry bulk vessels in the spot or short-term market.
Operating revenues in Q2 FY2026 amounted to approximately $201 million, compared with $174.5 million in Q1 FY2026, while adjusted earnings before interest, taxes, depreciation, and amortization increased to $130 million from $108 million. The company reported US GAAP net income of $34 million, or $0.25 per share, equivalent to a net profit margin of approximately 16.9%, noting that the result included a $3 million gain from the revaluation of hedging derivatives and $1 million from the revaluation of equity investments.
Total charter revenues amounted to $199 million in Q2 FY2026; container vessels contributed approximately $83 million, tankers approximately $62 million, car carriers approximately $27 million, energy assets approximately $24 million, and dry bulk vessels approximately $3 million. These revenues are supported by a $3.8 billion contract backlog, but FY2025 results were significantly weaker than FY2024, as annual revenues declined from $904.4 million to $733 million and net income shifted from a profit of $130.7 million to a loss of $26.4 million.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $14, identical to the highest and lowest available targets, and approximately 8% above the 52-week range high of $12.94, while the range low is $6.73. However, the consensus rating is Hold rather than Buy, and the price-to-earnings ratio is unavailable following the FY2025 loss of $26.4 million; therefore, justification for the target depends on a continued recovery in FY2026 earnings, stability of the contract backlog, and SFL's ability to finance remaining capital expenditures of $1.2 billion without eroding shareholder returns.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Operating revenues increased to approximately $201 million from $174.5 million in Q1 FY2026, while net income rose to $34 million from $26 million. The two Suezmax tankers were the largest driver, as the average daily time charter equivalent rate per vessel increased to $133 thousand from $54 thousand. As a result, tanker revenues rose to $62 million from $46 million, while adjusted earnings before interest, taxes, depreciation, and amortization increased to $130 million.
The contract backlog amounted to approximately $3.8 billion in Q2 FY2026, up from $3.7 billion at the end of the previous quarter. Investment-grade counterparties account for 65% of contracted revenues, while container vessels represent approximately 70% of the backlog. The average remaining term is 7.1 years for container vessels, 5.9 years for car carriers, and 3.5 years for tankers.
SFL ordered four dual-fuel LNG car carriers, each with capacity for 7,000 vehicles, at a total cost of approximately $360 million and with delivery scheduled for 2029. Two vessels secured contracts with five-year base periods plus five-year optional periods, adding $150 million to the backlog for the base periods and potentially increasing to $300 million if the options are exercised. The other two vessels had no firm contracts as of the August 26, 2026 call, although the company had begun discussions regarding their chartering.
The board of directors declared a dividend of $0.22 per share for Q2 FY2026, marking the 90th consecutive quarterly dividend. During the quarter, the company generated an adjusted earnings before interest, taxes, depreciation, and amortization equivalent cash flow of $130 million and net income of $34 million, or $0.25 per share. However, the dividend track record should be weighed against remaining capital expenditures of approximately $1.2 billion and the issuance of 8.8 million shares to raise $100 million during Q2 and Q3 FY2026.
Hercules was warm-stacked in Q2 FY2026 and undergoing preparation and upgrades ahead of operations in Canada. The company expects the rig to begin contributing to revenues during the first half of 2027, and the program includes 400 firm days with options that could extend it by approximately a similar duration. Meanwhile, the Linus rig remained operational under a long-term contract with ConocoPhillips through May 2029, and energy assets contributed approximately $24 million in quarterly revenues.
Remaining capital expenditures amounted to approximately $1.2 billion for five container vessels and four car carriers, with long-term contracts in place for seven of the nine vessels. At the end of Q2 FY2026, the company had $113 million in cash and cash equivalents and $160 million in undrawn facilities, compared with a book equity ratio of 29%. It also raised $100 million by issuing 8.8 million shares through its at-the-market and dividend reinvestment programs, which provided additional investment capacity but diluted the ownership of existing shareholders.
