SFLNYSE: SFL

SFL is taking meaningful strides to grow its business through vessel additions and backlog growth. Attractive rates in the offshore drilling market and tanker business will drive meaningful revenue growth. The company has adequate free cash flow to continue to grow the dividend as well as fund the purchase of new vessels.

SFL Corporation Ltd. (NYSE: SFL) (“SFL” or the “Company”) today announced that it has agreed to build five 16,800 TEU container vessels with scheduled delivery in 2028 at an aggregate construction cost of approximately $1 billion. The vessels will have LNG dual-fuel propulsion and the latest features in fuel efficiency and cargo intake optimization.

SFL Corporation has multiple tailwinds in both the car-carrying and offshore drilling segments. These tailwinds will drive over 30% growth in EBITDA, which should flow back to investors through increased dividends. I conservatively project a quarterly dividend raise from $0.25/share to $0.33/share over the course of 2024.

SFL Corporation Ltd. (NYSE:SFL ) Q3 2023 Earnings Conference Call November 8, 2023 8:30 AM ET Company Participants Ole Hjertaker - Chief Executive Officer Trym Sjølie - Chief Operating Officer Aksel Olesen - Chief Financial Officer Conference Call Participants Richard Diamond - Castlewood Capital Unidentified Company Representative Welcome to SFL's Third Quarter 2023 Conference Call.

SFL Corporation is a ship leasing firm with a diversified fleet and is controlled by experienced owner John Frederiksen. The company generates cash flow from long-term ship leasing contracts with reputable clients. SFL is currently trading at an attractive dividend yield and a lower than typical valuation, making it an appealing investment option.

SFL Corporation: Buy The 10.5% Yield Before A Potential Rebound