Wells Fargo maintained an Underperform rating on Seadrill Ltd. (NYSE: SDRL). Comments follow its Q3 results, which analyst Judson E. Bailey described as modestly below forecast. More importantly, Seadrill said it will suspend its dividend.

Bailey noted that Seadrill will be the first driller to cut its dividend, but in his view Diamond Offshore Drilling (NYSE: DO) and Transocean (NYSE: RIG) will "ultimately have to follow suit."

For an analyst ratings summary and ratings history on Seadrill Ltd. click here. For more ratings news on Seadrill Ltd. click here.

Shares of Seadrill Ltd. closed at $20.71 yesterday.