(BORR) Borr Drilling - Overview
Sector: Energy | Industry: Oil & Gas Drilling | Exchange: NYSE (USA) | Market Cap: 1.565m USD | Total Return: 174.5% in 12m
Avg Turnover: 43.6M
Qual. Beats: -1
Rev. Trend: 90.1%
Qual. Beats: 0
Warnings
Share dilution 26.5% YoY
High Debt while negative Cash Flow
Altman Z'' 0.37 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
Rs Leader
Borr Drilling Limited is an offshore contractor specializing in shallow-water drilling services for the global oil and gas industry. The company operates a fleet of jack-up rigs across major energy hubs, including the Middle East, Southeast Asia, and West Africa. Its primary business model involves leasing rigs and providing technical crews to national, integrated, and independent oil companies for exploration and production activities.
The jack-up rig sector is characterized by mobile, self-elevating platforms that stand on the seafloor, typically operating in water depths of up to 400 feet. Unlike deepwater floaters, these assets are often utilized for brownfield development and workover operations, which generally require lower capital expenditure from operators. For a deeper look at the underlying fundamentals, consider reviewing the detailed metrics on ValueRay.
Founded in 2016 and headquartered in Bermuda, Borr Drilling has expanded through strategic asset acquisitions to become a prominent player in the shallow-water market. The company’s revenue is driven by dayrates and fleet utilization levels dictated by global offshore drilling demand.
- Global jack-up utilization rates drive dayrate pricing and contract backlog strength
- Middle East geopolitical stability impacts national oil company offshore drilling budgets
- High leverage levels necessitate consistent free cash flow for debt service obligations
- Modern premium rig fleet commands higher margins than older competitive offshore assets
- Crude oil price fluctuations dictate capital expenditure across shallow-water exploration projects
| Net Income: 35.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.03 > 0.02 and ΔFCF/TA 3.50 > 1.0 |
| NWC/Revenue: 21.70% < 20% (prev 10.52%; Δ 11.18% < -1%) |
| CFO/TA 0.04 > 3% & CFO 163.2m > Net Income 35.9m |
| Net Debt (2.06b) to EBITDA (462.6m): 4.45 < 3 |
| Current Ratio: 1.55 > 1.5 & < 3 |
| Outstanding Shares: last quarter (307.9m) vs 12m ago 26.52% < -2% |
| Gross Margin: 45.98% > 18% (prev 86.38%; Δ -40.40% > 0.5%) |
| Asset Turnover: 29.18% > 50% (prev 29.19%; Δ -0.01% > 0%) |
| Interest Coverage Ratio: 1.30 > 6 (EBIT TTM 308.0m / Interest Expense TTM 236.5m) |
| A: 0.06 (Total Current Assets 640.2m - Total Current Liabilities 412.1m) / Total Assets 3.80b |
| B: -0.33 (Retained Earnings -1.26b / Total Assets 3.80b) |
| C: 0.09 (EBIT TTM 308.0m / Avg Total Assets 3.60b) |
| D: 0.46 (Book Value of Equity 1.20b / Total Liabilities 2.61b) |
| Altman-Z'' = 0.37 = B |
| DSRI: 1.17 (Receivables 355.8m/287.5m, Revenue 1.05b/993.2m) |
| GMI: 1.88 (GM 86.38% / 45.98%) |
| AQI: 1.10 (AQ_t 0.02 / AQ_t-1 0.02) |
| SGI: 1.06 (Revenue 1.05b / 993.2m) |
| TATA: -0.03 (NI 35.9m - CFO 163.2m) / TA 3.80b) |
| Beneish M = -1.99 (Cap -4..+1) = B |
As of June 05, 2026, the stock is trading at USD 5.05 with a total of 7,604,442 shares traded.
Over the past week, the price has changed by -0.39%,
over one month by -17.08%,
over three months by -13.82% and
over the past year by +174.46%.
Borr Drilling has received a consensus analysts rating of 4.40. Therefore, it is recommended to buy BORR.
- StrongBuy: 3
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 5.7 | 13.1% |
P/E Trailing = 33.8
P/E Forward = 28.169
P/S = 1.48
P/B = 1.3743
Revenue TTM = 1.05b USD
EBIT TTM = 308.0m USD
EBITDA TTM = 462.6m USD
Long Term Debt = 2.18b USD (from longTermDebt, last quarter)
Short Term Debt = 129.3m USD (from shortTermDebt, last quarter)
Debt = 2.31b USD (from shortLongTermDebtTotal, last quarter) + Leases 200k
Net Debt = 2.06b USD (calculated: Debt 2.31b - CCE 246.9m)
Enterprise Value = 3.62b USD (1.57b + Debt 2.31b - CCE 246.9m)
Interest Coverage Ratio = 1.30 (Ebit TTM 308.0m / Interest Expense TTM 236.5m)
EV/FCF = -29.88x (Enterprise Value 3.62b / FCF TTM -121.3m)
FCF Yield = -3.35% (FCF TTM -121.3m / Enterprise Value 3.62b)
FCF Margin = -11.54% (FCF TTM -121.3m / Revenue TTM 1.05b)
Net Margin = 3.42% (Net Income TTM 35.9m / Revenue TTM 1.05b)
Gross Margin = 45.98% ((Revenue TTM 1.05b - Cost of Revenue TTM 567.9m) / Revenue TTM)
Gross Margin QoQ = 24.21% (prev 31.42%)
Tobins Q-Ratio = 0.95 (Enterprise Value 3.62b / Total Assets 3.80b)
Interest Expense / Debt = 10.26% (Interest Expense 236.5m / Debt 2.31b)
Taxrate = 47.61% (40.9m / 85.9m)
NOPAT = 161.4m (EBIT 308.0m * (1 - 47.61%))
Current Ratio = 1.55 (Total Current Assets 640.2m / Total Current Liabilities 412.1m)
Debt / Equity = 1.93 (Debt 2.31b / totalStockholderEquity, last quarter 1.20b)
Debt / EBITDA = 4.45 (Net Debt 2.06b / EBITDA 462.6m)
Debt / FCF = -16.97 (negative FCF - burning cash) (Net Debt 2.06b / FCF TTM -121.3m)
Total Stockholder Equity = 1.14b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.00% (Net Income 35.9m / Total Assets 3.80b)
RoE = 3.14% (Net Income TTM 35.9m / Total Stockholder Equity 1.14b)
RoCE = 9.28% (EBIT 308.0m / Capital Employed (Equity 1.14b + L.T.Debt 2.18b))
RoIC = 4.65% (NOPAT 161.4m / Invested Capital 3.47b)
WACC = 7.81% (E(1.57b)/V(3.87b) * Re(11.39%) + D(2.31b)/V(3.87b) * Rd(10.26%) * (1-Tc(0.48)))
Discount Rate = 11.39% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 24.44 | Cagr: 2.78%
[DCF] Fair Price = unknown (Cash Flow -121.3m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -0.94 | # QB: -1
Revenue Correlation: 90.09 | Revenue CAGR: 18.93% | SUE: -0.46 | # QB: 0
EPS current Quarter (2026-06-30): EPS=-0.12 | Chg30d=-54.44% | Revisions=-33% | Analysts=2
EPS next Quarter (2026-09-30): EPS=-0.04 | Chg30d=N/A | Revisions=+0% | Analysts=2
EPS current Year (2026-12-31): EPS=-0.17 | Chg30d=-77.27% | Revisions=-43% | GrowthEPS=-200.3% | GrowthRev=+2.8%
EPS next Year (2027-12-31): EPS=0.33 | Chg30d=-13.83% | Revisions=-33% | GrowthEPS=+291.7% | GrowthRev=+18.5%
[Analyst] Revisions Ratio: -43%