Head to Head Analysis: Borr Drilling (BORR) and Its Peers

Borr Drilling (NYSE:BORR) is one of 177 public companies in the “Energy Equipment & Services” industry, but how does it weigh in compared to its peers? We will compare Borr Drilling to similar companies based on the strength of its analyst recommendations, risk, earnings, profitability, dividends, valuation and institutional ownership.

Profitability

This table compares Borr Drilling and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Borr Drilling	-23.98%	-5.95%	-1.84%
Borr Drilling Competitors	-10.64%	7.40%	1.47%

Valuation and Earnings

This table compares Borr Drilling and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Borr Drilling	$1.02 billion	$45.00 million	-4.16
Borr Drilling Competitors	$3.26 billion	$29.73 million	12.69

Borr Drilling’s peers have higher revenue, but lower earnings than Borr Drilling. Borr Drilling is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Volatility & Risk

Borr Drilling has a beta of 1.02, indicating that its stock price is 2% more volatile than the S&P 500. Comparatively, Borr Drilling’s peers have a beta of 0.82, indicating that their average stock price is 18% less volatile than the S&P 500.

Insider and Institutional Ownership

83.1% of Borr Drilling shares are held by institutional investors. Comparatively, 48.9% of shares of all “Energy Equipment & Services” companies are held by institutional investors. 7.9% of Borr Drilling shares are held by insiders. Comparatively, 12.3% of shares of all “Energy Equipment & Services” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings for Borr Drilling and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Borr Drilling	2	1	0	2	2.40
Borr Drilling Competitors	1676	6833	8618	489	2.45

Borr Drilling presently has a consensus target price of $5.27, suggesting a potential upside of 62.30%. As a group, “Energy Equipment & Services” companies have a potential upside of 39.78%. Given Borr Drilling’s higher probable upside, equities research analysts plainly believe Borr Drilling is more favorable than its peers.

Summary

Borr Drilling peers beat Borr Drilling on 8 of the 13 factors compared.

Borr Drilling Company Profile

Borr Drilling Limited operates as an offshore shallow-water drilling contractor to the oil and gas industry worldwide. The company owns, contracts, and operates jack-up drilling rigs for operations in shallow-water areas, including the provision of related equipment and work crews to conduct oil and gas drilling and workover operations for exploration and production. It serves oil and gas exploration and production companies, such as integrated oil companies, state-owned national oil companies, and independent oil and gas companies. The company was formerly known as Magni Drilling Limited and changed its name to Borr Drilling Limited in December 2016. Borr Drilling Limited was incorporated in 2016 and is based in Hamilton, Bermuda.