BORR DRILLING LTD (BORR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BORR - BMG1466R1732 - Common Stock
4.26 USD
-0.06 (-1.39%)
4.32 USD
+0.06 (+1.41%)
We assign a fundamental rating of 3 out of 10 to BORR. BORR was compared to 62 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of BORR while its profitability can be described as average. BORR is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year BORR was profitable.
- BORR had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: BORR reported negative net income in multiple years.
- The reported operating cash flow has been mixed in the past 5 years: BORR reported negative operating cash flow in multiple years.
1.2 Ratios
- With a Return On Assets value of 2.05%, BORR perfoms like the industry average, outperforming 41.94% of the companies in the same industry.
- BORR has a Return On Equity of 6.34%. This is comparable to the rest of the industry: BORR outperforms 56.45% of its industry peers.
- BORR has a better Return On Invested Capital (9.03%) than 70.97% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BORR is significantly below the industry average of 12.77%.
- The 3 year average ROIC (5.99%) for BORR is below the current ROIC(9.03%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.05% | ||
| ROE | 6.34% | ||
| ROIC | 9.03% |
ROA(3y)-2.21%
ROA(5y)-4.51%
ROE(3y)-7.37%
ROE(5y)-14.65%
ROIC(3y)5.99%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 7.06%, BORR is in the better half of the industry, outperforming 72.58% of the companies in the same industry.
- BORR has a better Operating Margin (34.72%) than 98.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.72% | ||
| PM (TTM) | 7.06% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BORR is destroying value.
- The number of shares outstanding for BORR has been reduced compared to 1 year ago.
- Compared to 5 years ago, BORR has more shares outstanding
- Compared to 1 year ago, BORR has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.29, we must say that BORR is in the distress zone and has some risk of bankruptcy.
- BORR has a worse Altman-Z score (1.29) than 67.74% of its industry peers.
- BORR has a Debt/Equity ratio of 1.70. This is a high value indicating a heavy dependency on external financing.
- BORR's Debt to Equity ratio of 1.70 is on the low side compared to the rest of the industry. BORR is outperformed by 82.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.29 |
ROIC/WACC0.89
WACC10.19%
2.3 Liquidity
- A Current Ratio of 1.63 indicates that BORR should not have too much problems paying its short term obligations.
- BORR has a Current ratio of 1.63. This is in the lower half of the industry: BORR underperforms 66.13% of its industry peers.
- A Quick Ratio of 1.63 indicates that BORR should not have too much problems paying its short term obligations.
- BORR's Quick ratio of 1.63 is in line compared to the rest of the industry. BORR outperforms 59.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
- BORR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.18%.
- BORR shows a small growth in Revenue. In the last year, the Revenue has grown by 5.83%.
- The Revenue has been growing by 24.78% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-18.18%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%150%
Revenue 1Y (TTM)5.83%
Revenue growth 3Y60.31%
Revenue growth 5Y24.78%
Sales Q2Q%14.69%
3.2 Future
- The Earnings Per Share is expected to decrease by -3.15% on average over the next years.
- Based on estimates for the next years, BORR will show a small growth in Revenue. The Revenue will grow by 4.14% on average per year.
EPS Next Y-56.46%
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
EPS Next 5YN/A
Revenue Next Year0.59%
Revenue Next 2Y0.25%
Revenue Next 3Y4.14%
Revenue Next 5YN/A
3.3 Evolution
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 15.78, the valuation of BORR can be described as correct.
- 80.65% of the companies in the same industry are more expensive than BORR, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.38, BORR is valued a bit cheaper.
- The Forward Price/Earnings Ratio is negative for BORR. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.78 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BORR indicates a somewhat cheap valuation: BORR is cheaper than 69.35% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.07 |
4.3 Compensation for Growth
- A cheap valuation may be justified as BORR's earnings are expected to decrease with -3.15% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.47%, BORR is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 1.17, BORR has a dividend in line with its industry peers.
- With a Dividend Yield of 0.47, BORR pays less dividend than the S&P500 average, which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
- BORR is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 13.00% of the earnings are spent on dividend by BORR. This is a low number and sustainable payout ratio.
DP13%
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
4.26
-0.06 (-1.39%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)11-05 2025-11-05/amc
Earnings (Next)02-18 2026-02-18/amc
Inst Owners60.34%
Inst Owner Change0.04%
Ins Owners8.49%
Ins Owner ChangeN/A
Market Cap1.22B
Revenue(TTM)1.02B
Net Income(TTM)72.30M
Analysts80
Price Target4.28 (0.47%)
Short Float %4.94%
Short Ratio2.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Yearly Dividend0.31
Dividend Growth(5Y)N/A
DP13%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.34%
Min EPS beat(2)32.83%
Max EPS beat(2)33.84%
EPS beat(4)3
Avg EPS beat(4)15.31%
Min EPS beat(4)-14.38%
Max EPS beat(4)33.84%
EPS beat(8)3
Avg EPS beat(8)-11.6%
EPS beat(12)4
Avg EPS beat(12)-57.08%
EPS beat(16)4
Avg EPS beat(16)-67.83%
Revenue beat(2)2
Avg Revenue beat(2)1.96%
Min Revenue beat(2)0.03%
Max Revenue beat(2)3.89%
Revenue beat(4)3
Avg Revenue beat(4)0.96%
Min Revenue beat(4)-4.29%
Max Revenue beat(4)4.22%
Revenue beat(8)5
Avg Revenue beat(8)1.61%
Revenue beat(12)8
Avg Revenue beat(12)1.92%
Revenue beat(16)9
Avg Revenue beat(16)0.12%
PT rev (1m)23.89%
PT rev (3m)58.49%
EPS NQ rev (1m)-40.79%
EPS NQ rev (3m)-185.6%
EPS NY rev (1m)-2.84%
EPS NY rev (3m)-83.34%
Revenue NQ rev (1m)-0.69%
Revenue NQ rev (3m)-4.44%
Revenue NY rev (1m)-0.29%
Revenue NY rev (3m)1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.78 | ||
| Fwd PE | N/A | ||
| P/S | 1.19 | ||
| P/FCF | N/A | ||
| P/OCF | 5.72 | ||
| P/B | 1.07 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 6.07 |
EPS(TTM)0.27
EY6.34%
EPS(NY)0
Fwd EYN/A
FCF(TTM)-0.17
FCFYN/A
OCF(TTM)0.75
OCFY17.49%
SpS3.58
BVpS3.99
TBVpS3.99
PEG (NY)N/A
PEG (5Y)N/A
Graham Number4.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.05% | ||
| ROE | 6.34% | ||
| ROCE | 11.43% | ||
| ROIC | 9.03% | ||
| ROICexc | 9.74% | ||
| ROICexgc | 9.74% | ||
| OM | 34.72% | ||
| PM (TTM) | 7.06% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)-2.21%
ROA(5y)-4.51%
ROE(3y)-7.37%
ROE(5y)-14.65%
ROIC(3y)5.99%
ROIC(5y)N/A
ROICexc(3y)6.17%
ROICexc(5y)N/A
ROICexgc(3y)6.17%
ROICexgc(5y)N/A
ROCE(3y)7.58%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.86 | ||
| Cap/Depr | 179.78% | ||
| Cap/Sales | 25.6% | ||
| Interest Coverage | 1.84 | ||
| Cash Conversion | 42.46% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | 1.29 |
F-Score6
WACC10.19%
ROIC/WACC0.89
Cap/Depr(3y)160.22%
Cap/Depr(5y)106.48%
Cap/Sales(3y)24.68%
Cap/Sales(5y)19.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.18%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%150%
EPS Next Y-56.46%
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
EPS Next 5YN/A
Revenue 1Y (TTM)5.83%
Revenue growth 3Y60.31%
Revenue growth 5Y24.78%
Sales Q2Q%14.69%
Revenue Next Year0.59%
Revenue Next 2Y0.25%
Revenue Next 3Y4.14%
Revenue Next 5YN/A
EBIT growth 1Y0.74%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year28.7%
EBIT Next 3Y11.63%
EBIT Next 5YN/A
FCF growth 1Y-317.8%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y100.57%
OCF growth 3YN/A
OCF growth 5YN/A
BORR DRILLING LTD / BORR FAQ
What is the fundamental rating for BORR stock?
ChartMill assigns a fundamental rating of 3 / 10 to BORR.
What is the valuation status for BORR stock?
ChartMill assigns a valuation rating of 2 / 10 to BORR DRILLING LTD (BORR). This can be considered as Overvalued.
What is the profitability of BORR stock?
BORR DRILLING LTD (BORR) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for BORR stock?
The Price/Earnings (PE) ratio for BORR DRILLING LTD (BORR) is 15.78 and the Price/Book (PB) ratio is 1.07.
What is the financial health of BORR DRILLING LTD (BORR) stock?
The financial health rating of BORR DRILLING LTD (BORR) is 2 / 10.