VAL Stock Analysis: Valaris | NYSE
Oil & Gas Drilling | NYSE, USA | Market Cap: 5.797m USD | 12M Return: 57.8% | BMG9460G1015 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 103M
EPS Trend: 37.1%
Qual. Beats: 0
Rev. Trend: 69.9%
Qual. Beats: 6
Warnings
Tailwinds
No distinct edge detected
Seasonality 5.4 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Valaris Limited (NYSE: VAL) is a leading offshore contract drilling company headquartered in Houston, Texas, and founded in 1975. The company provides offshore drilling services across key regions including Brazil, the United Kingdom, Gulf of America, Australia, and Angola, serving international, government-owned, and independent oil and gas companies.
Valaris operates through four reporting segments: Floaters, Jackups, ARO (Arctic Rig Operations), and Other. Its fleet comprises a diverse mix of assets, including drillships, dynamically positioned semisubmersible rigs, a moored semisubmersible rig, and jackup rigs. In addition to operating its own rigs, the company generates revenue by providing management services for rigs owned by third parties, broadening its service offering beyond direct rig ownership.
As a mid-cap energy company in the Oil & Gas Drilling sub-industry, Valaris operates within the highly capital-intensive offshore drilling sector, where long-term contracts with exploration and production companies are typically structured around day-rate pricing. The companys diversified rig portfolio and global geographic footprint position it to serve a wide range of offshore drilling projects, from deepwater to shallow-water operations.
- Offshore rig dayrates climb on tight floater supply
- Brazil pre-salt backlog drives Floater segment revenue growth
- Share repurchase program accelerates capital returns to shareholders
| Net Income: 939.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.01 > 0.02 and ΔFCF/TA -5.69 > 1.0 |
| NWC/Revenue: 19.83% < 20% (prev 22.27%; Δ -2.44% < -1%) |
| CFO/TA 0.06 > 3% & CFO 350.8m > Net Income 939.6m |
| Net Debt (702.2m) to EBITDA (606.3m): 1.16 < 3 |
| Current Ratio: 1.55 > 1.5 & < 3 |
| Outstanding Shares: last quarter (70.4m) vs 12m ago -1.26% < -2% |
| Gross Margin: 40.82% > 18% (prev 31.47%; Δ 9.35% > 0.5%) |
| Asset Turnover: 42.96% > 50% (prev 54.70%; Δ -11.74% > 0%) |
| Interest Coverage Ratio: 4.50 > 6 (EBIT TTM 441.3m / Interest Expense TTM 98.0m) |
| A: 0.08 (Total Current Assets 1.20b - Total Current Liabilities 774.8m) / Total Assets 5.45b |
| B: 0.44 (Retained Earnings 2.42b / Total Assets 5.45b) |
| C: 0.09 (EBIT TTM 441.3m / Avg Total Assets 4.98b) |
| D: 1.44 (Book Value of Equity 3.22b / Total Liabilities 2.23b) |
| Altman-Z'' = 4.07 = AA |
| DSRI: 0.95 (Receivables 458.1m/554.2m, Revenue 2.14b/2.46b) |
| GMI: 0.77 (GM 31.47% / 40.82%) |
| AQI: 1.33 (AQ_t 0.37 / AQ_t-1 0.28) |
| SGI: 0.87 (Revenue 2.14b / 2.46b) |
| TATA: 0.11 (NI 939.6m - CFO 350.8m) / TA 5.45b) |
| Beneish M = -3.16 (Cap -4..+1) = AA |
As of October 07, 2026, the stock is trading at USD 82.00 with a total of 691,521 shares traded. Over the past week, the price has changed by +4.53%, over one month by -4.10%, over three months by +11.52% and over the past year by +57.75%.
Current recommended Stop Loss: 77.70 (which is 5.2% or 1.3 ATR below the current price).
Valaris has received a consensus analysts rating of 2.89. Therefore, it is recommended to hold VAL.
- StrongBuy: 0
- Buy: 0
- Hold: 8
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 67.4 | -17.8% |
P/E Trailing = 5.9129
P/E Forward = 29.0698
P/S = 2.7119
P/B = 1.7801
Revenue TTM = 2.14b USD
EBIT TTM = 441.3m USD
EBITDA TTM = 606.3m USD
Long Term Debt = 1.09b USD (from longTermDebt, last quarter)
Short Term Debt = 30.7m USD (from shortTermDebt, last quarter)
Debt = 1.24b USD (from shortLongTermDebtTotal, last quarter) + Leases 77.9m
Net Debt = 702.2m USD (calculated: Debt 1.24b - CCE 541.2m)
Enterprise Value = 6.50b USD (5.80b + Debt 1.24b - CCE 541.2m)
Interest Coverage Ratio = 4.50 (Ebit TTM 441.3m / Interest Expense TTM 98.0m)
EV/FCF = -227.9x (Enterprise Value 6.50b / FCF TTM -28.5m)
FCF Yield = -0.44% (FCF TTM -28.5m / Enterprise Value 6.50b)
FCF Margin = -1.33% (FCF TTM -28.5m / Revenue TTM 2.14b)
Net Margin = 43.95% (Net Income TTM 939.6m / Revenue TTM 2.14b)
Gross Margin = 40.82% ((Revenue TTM 2.14b - Cost of Revenue TTM 1.27b) / Revenue TTM)
Gross Margin QoQ = none% (prev 10.59%)
Tobins Q-Ratio = 1.19 (Enterprise Value 6.50b / Total Assets 5.45b)
Interest Expense / Debt = 7.88% (Interest Expense 98.0m / Debt 1.24b)
Taxrate = 41.69% (33.6m / 80.6m)
NOPAT = 257.3m (EBIT 441.3m * (1 - 41.69%))
Current Ratio = 1.55 (Total Current Assets 1.20b / Total Current Liabilities 774.8m)
Debt / Equity = 0.39 (Debt 1.24b / totalStockholderEquity, last quarter 3.22b)
Debt / EBITDA = 1.16 (Net Debt 702.2m / EBITDA 606.3m)
Debt / FCF = -24.62 (negative FCF - burning cash) (Net Debt 702.2m / FCF TTM -28.5m)
Total Stockholder Equity = 3.00b (last 4 quarters mean from totalStockholderEquity)
RoA = 18.88% (Net Income 939.6m / Total Assets 5.45b)
RoE = 31.33% (Net Income TTM 939.6m / Total Stockholder Equity 3.00b)
RoCE = 10.80% (EBIT 441.3m / Capital Employed (Equity 3.00b + L.T.Debt 1.09b))
RoIC = 5.60% (NOPAT 257.3m / Invested Capital 4.60b)
WACC = 9.01% (E(5.80b)/V(7.04b) * Re(9.96%) + D(1.24b)/V(7.04b) * Rd(7.88%) * (1-Tc(0.42)))
Discount Rate = 9.96% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -90.89 | Cagr: -1.96%
[DCF] Fair Price = unknown (Cash Flow -28.5m)
EPS Correlation: 37.10 | EPS CAGR: 43.42% | SUE: 0.07 | # QB: 0
Revenue Correlation: 69.85 | Revenue CAGR: 10.17% | SUE: 4.0 | # QB: 6
EPS current Quarter (2026-09-30): EPS=1.06 | Chg30d=-5.76% | Revisions=-25% | Analysts=4
EPS current Year (2026-12-31): EPS=3.46 | Chg30d=+7.61% | Revisions=-25% | GrowthEPS=-75.2% | GrowthRev=-7.5%
EPS next Year (2027-12-31): EPS=7.01 | Chg30d=-1.43% | Revisions=-50% | GrowthEPS=+102.2% | GrowthRev=+13.4%
[Analyst] Revisions Ratio: -62% (up=0, down=5)