Borr Drilling Valuation
Is BORRO undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of BORRO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: BORRO (NOK58.65) is trading below our estimate of fair value (NOK167.63)
Significantly Below Fair Value: BORRO is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for BORRO?
Other financial metrics that can be useful for relative valuation.
| What is BORRO's n/a Ratio? | |
|---|---|
| n/a | 0x |
| n/a | n/a |
| Market Cap | US$1.39b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 3.3x |
| Enterprise Value/EBITDA | 6.7x |
| PEG Ratio | 0.4x |
Price to Earnings Ratio vs Peers
How does BORRO's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 6.2x | ||
YCA Yellow Cake | 2.3x | -78.1% | UK£1.2b |
HTG Hunting | 5.9x | -4.3% | UK£594.1m |
ENOG Energean | 7.4x | 11.1% | UK£1.5b |
ITH Ithaca Energy | 9.4x | -6.2% | UK£1.1b |
BORRO Borr Drilling | 18.6x | 44.1% | NOK 14.7b |
Price-To-Earnings vs Peers: BORRO is expensive based on its Price-To-Earnings Ratio (18.6x) compared to the peer average (6.3x).
Price to Earnings Ratio vs Industry
How does BORRO's PE Ratio compare vs other companies in the European Energy Services Industry?
Price-To-Earnings vs Industry: BORRO is expensive based on its Price-To-Earnings Ratio (18.6x) compared to the European Energy Services industry average (9.1x).
Price to Earnings Ratio vs Fair Ratio
What is BORRO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 18.6x |
| Fair PE Ratio | 21.2x |
Price-To-Earnings vs Fair Ratio: BORRO is good value based on its Price-To-Earnings Ratio (18.6x) compared to the estimated Fair Price-To-Earnings Ratio (21.2x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | NOK 58.65 | NOK 83.79 +42.9% | 15.6% | NOK 96.81 | NOK 64.91 | n/a | 4 |
| Sep ’25 | NOK 62.90 | NOK 85.92 +36.6% | 12.6% | NOK 97.75 | NOK 71.82 | n/a | 4 |
| Aug ’25 | NOK 73.10 | NOK 85.46 +16.9% | 14.7% | NOK 98.03 | NOK 65.96 | n/a | 4 |
| Jul ’25 | NOK 69.80 | NOK 84.69 +21.3% | 16.3% | NOK 98.98 | NOK 64.00 | n/a | 4 |
| Jun ’25 | NOK 75.90 | NOK 82.22 +8.3% | 19.3% | NOK 97.30 | NOK 57.54 | n/a | 4 |
| May ’25 | NOK 60.35 | NOK 80.96 +34.2% | 16.9% | NOK 94.93 | NOK 60.26 | n/a | 4 |
| Apr ’25 | NOK 70.00 | NOK 105.32 +50.5% | 3.0% | NOK 109.97 | NOK 101.74 | n/a | 4 |
| Mar ’25 | NOK 65.05 | NOK 104.15 +60.1% | 3.4% | NOK 109.90 | NOK 100.56 | n/a | 4 |
| Feb ’25 | NOK 64.00 | NOK 104.02 +62.5% | 3.4% | NOK 110.13 | NOK 101.46 | n/a | 4 |
| Jan ’25 | NOK 76.10 | NOK 102.48 +34.7% | 4.2% | NOK 109.99 | NOK 99.46 | n/a | 4 |
| Dec ’24 | NOK 68.50 | NOK 104.42 +52.4% | 4.6% | NOK 110.02 | NOK 97.05 | n/a | 4 |
| Nov ’24 | NOK 67.40 | NOK 106.26 +57.7% | 4.1% | NOK 110.57 | NOK 101.95 | n/a | 2 |
| Oct ’24 | NOK 76.00 | NOK 111.38 +46.5% | 4.3% | NOK 117.64 | NOK 106.16 | NOK 57.80 | 3 |
| Sep ’24 | NOK 77.45 | NOK 105.45 +36.1% | 2.8% | NOK 109.48 | NOK 102.30 | NOK 62.90 | 3 |
| Aug ’24 | NOK 83.30 | NOK 106.53 +27.9% | 3.0% | NOK 109.90 | NOK 102.14 | NOK 73.10 | 3 |
| Jul ’24 | NOK 78.45 | NOK 106.53 +35.8% | 3.0% | NOK 109.90 | NOK 102.14 | NOK 69.80 | 3 |
| Jun ’24 | NOK 81.10 | NOK 106.53 +31.4% | 3.0% | NOK 109.90 | NOK 102.14 | NOK 75.90 | 3 |
| May ’24 | n/a | NOK 93.04 0% | 1.0% | NOK 93.98 | NOK 92.10 | NOK 60.35 | 2 |
| Apr ’24 | n/a | NOK 89.45 0% | 0.7% | NOK 90.11 | NOK 88.79 | NOK 70.00 | 2 |
| Mar ’24 | NOK 72.00 | NOK 89.46 +24.3% | 1.2% | NOK 90.49 | NOK 88.43 | NOK 65.05 | 2 |
| Jan ’24 | n/a | NOK 59.36 0% | 9.5% | NOK 64.99 | NOK 53.73 | NOK 76.10 | 2 |
| Dec ’23 | NOK 46.87 | NOK 52.18 +11.3% | 7.0% | NOK 55.85 | NOK 48.50 | NOK 68.50 | 2 |
| Nov ’23 | NOK 45.13 | NOK 37.94 -15.9% | 30.8% | NOK 49.62 | NOK 26.26 | NOK 67.40 | 2 |
| Oct ’23 | n/a | NOK 40.97 0% | 34.1% | NOK 54.93 | NOK 27.02 | NOK 76.00 | 2 |
Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.