RIG gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 61 industry peers in the Energy Equipment & Services industry. RIG may be in some trouble as it scores bad on both profitability and health. RIG has a decent growth rate and is not valued too expensively.

Quickly go to:

1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

1. Profitability

1.1 Basic Checks

In the past year RIG has reported negative net income.
RIG had a positive operating cash flow in the past year.
In the past 5 years RIG always reported negative net income.
In the past 5 years RIG always reported a positive cash flow from operatings.

1.2 Ratios

RIG has a Return On Assets of -18.13%. This is amonst the worse of the industry: RIG underperforms 91.80% of its industry peers.
RIG's Return On Equity of -36.31% is on the low side compared to the rest of the industry. RIG is outperformed by 85.25% of its industry peers.
With a Return On Invested Capital value of 3.41%, RIG perfoms like the industry average, outperforming 40.98% of the companies in the same industry.

		Industry Rank	Sector Rank
ROA	-18.13%
ROE	-36.31%
ROIC	3.41%

ROA(3y)-3.46%

ROA(5y)-3.17%

ROE(3y)-6.63%

ROE(5y)-6.03%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

With a decent Operating Margin value of 15.51%, RIG is doing good in the industry, outperforming 75.41% of the companies in the same industry.
RIG's Gross Margin of 38.56% is fine compared to the rest of the industry. RIG outperforms 78.69% of its industry peers.
RIG's Gross Margin has improved in the last couple of years.

		Industry Rank	Sector Rank
OM	15.51%
PM (TTM)	N/A
GM	38.56%

OM growth 3YN/A

OM growth 5YN/A

PM growth 3YN/A

PM growth 5YN/A

GM growth 3Y3.81%

GM growth 5Y4.14%

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ROA

ROE

ROIC

Operating and Profit Margin

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2. Health

2.1 Basic Checks

RIG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
RIG has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, RIG has more shares outstanding
RIG has a better debt/assets ratio than last year.

2.2 Solvency

RIG has an Altman-Z score of 0.13. This is a bad value and indicates that RIG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.13, RIG is doing worse than 85.25% of the companies in the same industry.
The Debt to FCF ratio of RIG is 12.91, which is on the high side as it means it would take RIG, 12.91 years of fcf income to pay off all of its debts.
RIG's Debt to FCF ratio of 12.91 is in line compared to the rest of the industry. RIG outperforms 44.26% of its industry peers.
A Debt/Equity ratio of 0.60 indicates that RIG is somewhat dependend on debt financing.
The Debt to Equity ratio of RIG (0.60) is comparable to the rest of the industry.

		Industry Rank	Sector Rank
Debt/Equity	0.6
Debt/FCF	12.91
Altman-Z	0.13

ROIC/WACC0.49

WACC7.01%

2.3 Liquidity

RIG has a Current Ratio of 1.08. This is a normal value and indicates that RIG is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.08, RIG is not doing good in the industry: 88.52% of the companies in the same industry are doing better.
A Quick Ratio of 0.91 indicates that RIG may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.91, RIG is doing worse than 81.97% of the companies in the same industry.

		Industry Rank	Sector Rank
Current Ratio	1.08
Quick Ratio	0.91

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WACC

Debt/Equity

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Altman-Z score

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3. Growth

3.1 Past

RIG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 51.85%, which is quite impressive.
RIG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.93%.
The Revenue has been growing slightly by 2.68% on average over the past years.

EPS 1Y (TTM)51.85%

EPS 3YN/A

EPS 5YN/A

EPS Q2Q%-256.05%

Revenue 1Y (TTM)16.93%

Revenue growth 3Y11.3%

Revenue growth 5Y2.68%

Sales Q2Q%8.44%

3.2 Future

The Earnings Per Share is expected to grow by 33.28% on average over the next years. This is a very strong growth
Based on estimates for the next years, RIG will show a small growth in Revenue. The Revenue will grow by 2.00% on average per year.

EPS Next Y138.37%

EPS Next 2Y60.31%

EPS Next 3Y33.28%

EPS Next 5YN/A

Revenue Next Year11.46%

Revenue Next 2Y4.24%

Revenue Next 3Y2%

Revenue Next 5YN/A

3.3 Evolution

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.

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4. Valuation

4.1 Price/Earnings Ratio

RIG reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
A Price/Forward Earnings ratio of 32.29 indicates a quite expensive valuation of RIG.
RIG's Price/Forward Earnings ratio is in line with the industry average.
RIG is valuated rather expensively when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.

		Industry Rank	Sector Rank
PE	N/A
Fwd PE	32.29

4.2 Price Multiples

RIG's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, RIG is valued cheaper than 81.97% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	11.36
EV/EBITDA	8.4

4.3 Compensation for Growth

RIG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as RIG's earnings are expected to grow with 33.28% in the coming years.