Borr Drilling Valuation

BORR Stock  USD 6.73  0.22  3.38%   
At this time, the firm appears to be undervalued. Borr Drilling shows a prevailing Real Value of $7.74 per share. The current price of the firm is $6.73. Our model approximates the value of Borr Drilling from analyzing the firm fundamentals such as Return On Equity of 0.0235, profit margin of 0.03 %, and Current Valuation of 3.23 B as well as examining its technical indicators and probability of bankruptcy. In general, most investors favor buying undervalued instruments and selling overvalued instruments since, at some point, asset prices and their ongoing real values will blend.
Price Book
1.671
Enterprise Value
3.2 B
Enterprise Value Ebitda
9.2167
Price Sales
2.131
Forward PE
9.4697
Undervalued
Today
6.73
Please note that Borr Drilling's price fluctuation is somewhat reliable at this time. Calculation of the real value of Borr Drilling is based on 3 months time horizon. Increasing Borr Drilling's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Borr Drilling is useful when determining the fair value of the Borr stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Borr Drilling. Since Borr Drilling is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Borr Stock. However, Borr Drilling's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  6.73 Real  7.74 Target  9.0 Hype  6.73
The real value of Borr Stock, also known as its intrinsic value, is the underlying worth of Borr Drilling Company, which is reflected in its stock price. It is based on Borr Drilling's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Borr Drilling's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Borr Drilling's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
7.74
Real Value
10.82
Upside
Estimating the potential upside or downside of Borr Drilling helps investors to forecast how Borr stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Borr Drilling more accurately as focusing exclusively on Borr Drilling's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.160.210.24
Details
Hype
Prediction
LowEstimatedHigh
3.656.739.81
Details
2 Analysts
Consensus
LowTarget PriceHigh
8.199.009.99
Details

Borr Drilling Investments

(113.61 Million)

Borr Drilling Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Borr Drilling's current stock value. Our valuation model uses many indicators to compare Borr Drilling value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Borr Drilling competition to find correlations between indicators driving Borr Drilling's intrinsic value. More Info.
Borr Drilling is rated fifth in beta category among related companies. It is rated below average in net asset category among related companies making up about  1,222,033,471  of Net Asset per Beta. . Comparative valuation analysis is a catch-all model that can be used if you cannot value Borr Drilling by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Borr Drilling's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Borr Drilling's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Borr Drilling's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Borr Drilling and how it compares across the competition.

About Borr Drilling Valuation

The stock valuation mechanism determines the current worth of Borr Drilling on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Borr Drilling. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Borr Drilling based exclusively on its fundamental and basic technical indicators. By analyzing Borr Drilling's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Borr Drilling's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Borr Drilling. We calculate exposure to Borr Drilling's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Borr Drilling's related companies.
Last ReportedProjected for 2024
Gross Profit306 M161.5 M
Pretax Profit Margin 0.07  0.07 
Operating Profit Margin 0.32  0.34 
Net Profit Margin 0.03  0.03 
Gross Profit Margin 0.38  0.43 

8 Steps to conduct Borr Drilling's Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Borr Drilling's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Borr Drilling's valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain Borr Drilling's financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine Borr Drilling's revenue streams: Identify Borr Drilling's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research Borr Drilling's industry and market trends, including the size of the market, growth rate, and competition.
  • Establish Borr Drilling's growth potential: Evaluate Borr Drilling's management, business model, and growth potential.
  • Determine Borr Drilling's financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Borr Drilling's estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.
Borr Drilling's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Borr Drilling's value is low or high relative to the company's performance and growth projections. Determining the market value of Borr Drilling can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Borr Drilling represents a small ownership stake in the entity. As a stockholder of Borr, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Borr Drilling Dividends Analysis For Valuation

Please note that Borr Drilling has scaled down on payment of dividends at this time. As of 03/28/2024, Price Earnings Ratio is likely to grow to 83.62, though Retained Earnings are likely to grow to (1.3 B).
There are various types of dividends Borr Drilling can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Borr shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Borr Drilling directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Borr pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Borr Drilling by the value of the dividends paid out.

Borr Drilling Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Borr Drilling does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding248.2 M
Forward Price Earnings9.4697

Borr Drilling Current Valuation Indicators

Valuation refers to the process of determining the present value of Borr Drilling and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Borr we look at many different elements of the entity such as Borr's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Borr Drilling's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Borr Drilling's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Borr Drilling, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Borr Drilling's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Borr Drilling's worth.
When determining whether Borr Drilling is a strong investment it is important to analyze Borr Drilling's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Borr Drilling's future performance. For an informed investment choice regarding Borr Stock, refer to the following important reports:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Borr Drilling. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in metropolitan statistical area.
To learn how to invest in Borr Stock, please use our How to Invest in Borr Drilling guide.
You can also try the Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.

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When running Borr Drilling's price analysis, check to measure Borr Drilling's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Borr Drilling is operating at the current time. Most of Borr Drilling's value examination focuses on studying past and present price action to predict the probability of Borr Drilling's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Borr Drilling's price. Additionally, you may evaluate how the addition of Borr Drilling to your portfolios can decrease your overall portfolio volatility.
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Is Borr Drilling's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Borr Drilling. If investors know Borr will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Borr Drilling listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Dividend Share
0.05
Earnings Share
0.09
Revenue Per Share
3.159
Quarterly Revenue Growth
0.485
Return On Assets
0.0513
The market value of Borr Drilling is measured differently than its book value, which is the value of Borr that is recorded on the company's balance sheet. Investors also form their own opinion of Borr Drilling's value that differs from its market value or its book value, called intrinsic value, which is Borr Drilling's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Borr Drilling's market value can be influenced by many factors that don't directly affect Borr Drilling's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Borr Drilling's value and its price as these two are different measures arrived at by different means. Investors typically determine if Borr Drilling is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Borr Drilling's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.