BORR DRILLING LTD (BORR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BORR - BMG1466R1732 - Common Stock
4.18 USD
-0.08 (-1.88%)
4.1701 USD
-0.01 (-0.24%)
Taking everything into account, BORR scores 3 out of 10 in our fundamental rating. BORR was compared to 62 industry peers in the Energy Equipment & Services industry. BORR has a medium profitability rating, but doesn't score so well on its financial health evaluation. BORR does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year BORR was profitable.
In the past year BORR had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: BORR reported negative net income in multiple years.
In multiple years BORR reported negative operating cash flow during the last 5 years.
1.2 Ratios
BORR has a Return On Assets (2.05%) which is comparable to the rest of the industry.
With a Return On Equity value of 6.34%, BORR perfoms like the industry average, outperforming 56.45% of the companies in the same industry.
BORR has a better Return On Invested Capital (9.03%) than 70.97% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BORR is significantly below the industry average of 12.77%.
The last Return On Invested Capital (9.03%) for BORR is above the 3 year average (5.99%), which is a sign of increasing profitability.
| 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
The Profit Margin of BORR (7.06%) is better than 72.58% of its industry peers.
Looking at the Operating Margin, with a value of 34.72%, BORR belongs to the top of the industry, outperforming 98.39% of the companies in the same industry.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BORR is destroying value.
BORR has less shares outstanding than it did 1 year ago.
BORR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BORR has a worse debt to assets ratio.
2.2 Solvency
BORR has an Altman-Z score of 1.29. This is a bad value and indicates that BORR is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of BORR (1.29) is worse than 69.35% 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
WACC10.15%
2.3 Liquidity
BORR has a Current Ratio of 1.63. This is a normal value and indicates that BORR is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.63, BORR is not doing good in the industry: 66.13% of the companies in the same industry are doing better.
A Quick Ratio of 1.63 indicates that BORR should not have too much problems paying its short term obligations.
BORR has a Quick ratio (1.63) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
The earnings per share for BORR have decreased strongly by -18.18% in the last year.
The Revenue has been growing slightly by 5.83% in the past year.
Measured over the past years, BORR shows a very strong growth in Revenue. The Revenue has been growing by 24.78% on average per year.
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.
The Revenue is expected to grow by 5.07% on average over the next years.
EPS Next Y-56.46%
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
EPS Next 5YN/A
Revenue Next Year0.89%
Revenue Next 2Y1.33%
Revenue Next 3Y5.07%
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 15.48, the valuation of BORR can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of BORR indicates a rather cheap valuation: BORR is cheaper than 80.65% of the companies listed in the same industry.
BORR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.25.
The Forward Price/Earnings Ratio is negative for BORR. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.48 | ||
| 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 64.52% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.03 |
4.3 Compensation for Growth
BORR's earnings are expected to decrease with -3.15% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
5. Dividend
5.1 Amount
BORR has a yearly dividend return of 0.47%, which is pretty low.
Compared to an average industry Dividend Yield of 1.21, 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 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
BORR does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
BORR pays out 13.00% of its income as dividend. This is a sustainable payout ratio.
DP13%
EPS Next 2Y-41.51%
EPS Next 3Y-3.15%
4.18
-0.08 (-1.88%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners60.34%
Inst Owner Change0.05%
Ins Owners8.49%
Ins Owner ChangeN/A
Market Cap1.19B
Revenue(TTM)1.02B
Net Income(TTM)72.30M
Analysts80
Price Target3.95 (-5.5%)
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)14.16%
PT rev (3m)46.04%
EPS NQ rev (1m)-293.83%
EPS NQ rev (3m)-171.46%
EPS NY rev (1m)-2.84%
EPS NY rev (3m)-83.34%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.78%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.48 | ||
| Fwd PE | N/A | ||
| P/S | 1.17 | ||
| P/FCF | N/A | ||
| P/OCF | 5.61 | ||
| P/B | 1.05 | ||
| P/tB | 1.05 | ||
| EV/EBITDA | 6.03 |
EPS(TTM)0.27
EY6.46%
EPS(NY)0
Fwd EYN/A
FCF(TTM)-0.17
FCFYN/A
OCF(TTM)0.75
OCFY17.83%
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
WACC10.15%
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 Year0.89%
Revenue Next 2Y1.33%
Revenue Next 3Y5.07%
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 15.48 and the Price/Book (PB) ratio is 1.05.
What is the financial health of BORR DRILLING LTD (BORR) stock?
The financial health rating of BORR DRILLING LTD (BORR) is 2 / 10.