Borr Drilling (NYSE:BORR) Shares Gap Down – Here’s What Happened

Borr Drilling Limited (NYSE:BORR)’s stock price gapped down before the market opened on Monday. The stock had previously closed at $4.40, but opened at $3.96. Borr Drilling shares last traded at $3.9250, with a volume of 4,844,103 shares trading hands.

More Borr Drilling News

Here are the key news stories impacting Borr Drilling this week:

• Positive Sentiment: Rescue efforts have reportedly brought approximately 110 people to safety, reducing the immediate human-risk toll. Borr said it is coordinating with authorities and other parties involved in the response. Borr Drilling Rig Sinks Off Gabon, 110 Rescued as Search for Five Missing Continues
• Neutral Sentiment: The Prospector 5 lost stability and sank while operating offshore Gabon. Reports indicate that search-and-rescue operations remain active, with the number of missing personnel evolving as authorities reconcile information from the incident. A formal investigation will be important in determining the cause and responsibility. Borr Drilling Limited – Prospector 5 Rig Incident Update
• Negative Sentiment: The loss of a drilling rig could remove Prospector 5 from service, interrupt contracted operations and expose Borr Drilling to repair, replacement, insurance, legal and potential compensation costs. The incident may also affect the company’s relationship with customers and regulators, particularly if investigators identify equipment, maintenance or operational deficiencies. Borr Drilling Shares Sink Following Drilling Rig Incident
• Negative Sentiment: Reports of fatalities and personnel still missing have intensified the financial and reputational risks. Investors are likely to focus on the final casualty count, the rig’s insurance coverage and book value, contract provisions, downtime, and whether the event leads to broader scrutiny of Borr’s fleet. One Dead, Four Missing After Borr Drilling Jack-Up Sinks Offshore Gabon

Analyst Ratings Changes

Several brokerages have recently issued reports on BORR. SEB Equity Research set a $3.55 target price on shares of Borr Drilling in a report on Monday, August 17th. Wall Street Zen lowered shares of Borr Drilling from a “sell” rating to a “strong sell” rating in a report on Saturday, August 8th. Capital One Financial set a $6.00 price target on shares of Borr Drilling and gave the company an “overweight” rating in a report on Wednesday, July 1st. Zacks Research cut shares of Borr Drilling from a “hold” rating to a “strong sell” rating in a research report on Tuesday, September 15th. Finally, Weiss Ratings raised shares of Borr Drilling from a “sell (d)” rating to a “sell (d+)” rating in a report on Friday, October 9th. Two investment analysts have rated the stock with a Strong Buy rating, one has assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, Borr Drilling presently has an average rating of “Hold” and a consensus target price of $5.27.

Borr Drilling Price Performance

The company has a quick ratio of 2.53, a current ratio of 2.53 and a debt-to-equity ratio of 2.58. The firm’s 50-day moving average is $4.39 and its 200-day moving average is $4.73. The company has a market cap of $1.28 billion, a PE ratio of -5.20 and a beta of 1.08.

Borr Drilling (NYSE:BORR) last released its quarterly earnings results on Wednesday, August 12th. The company reported ($0.79) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.58). Borr Drilling had a negative return on equity of 5.95% and a negative net margin of 23.98%. The company had revenue of $232.30 million during the quarter, compared to the consensus estimate of $245.96 million. On average, equities analysts anticipate that Borr Drilling Limited will post -0.51 EPS for the current year.

Insider Buying and Selling

In other news, COO Harvey Snowling bought 300,000 shares of Borr Drilling stock in a transaction on Wednesday, October 14th. The shares were purchased at an average price of $4.91 per share, for a total transaction of $1,473,000.00. Following the acquisition, the chief operating officer owned 445,944 shares of the company’s stock, valued at approximately $2,189,585.04. The trade was a 205.56% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Jeffrey Currie bought 125,000 shares of the firm’s stock in a transaction dated Thursday, August 13th. The stock was purchased at an average cost of $4.01 per share, with a total value of $501,250.00. Following the transaction, the director directly owned 479,423 shares in the company, valued at approximately $1,922,486.23. This represents a 35.27% increase in their position. The SEC filing for this purchase provides additional information. 7.90% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Borr Drilling

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Wedbush Securities Inc. bought a new position in Borr Drilling in the third quarter worth $805,000. Sterling Capital Management LLC lifted its position in Borr Drilling by 315.2% during the third quarter. Sterling Capital Management LLC now owns 7,324 shares of the company’s stock valued at $28,000 after buying an additional 5,560 shares during the period. Vontobel Holding Ltd. lifted its position in Borr Drilling by 89.7% during the third quarter. Vontobel Holding Ltd. now owns 444,000 shares of the company’s stock valued at $1,727,000 after buying an additional 210,000 shares during the period. State of Alaska Department of Revenue bought a new stake in shares of Borr Drilling during the 3rd quarter valued at $41,000. Finally, Fortitude Family Office LLC boosted its holdings in shares of Borr Drilling by 11,940.8% during the 3rd quarter. Fortitude Family Office LLC now owns 8,549 shares of the company’s stock valued at $33,000 after buying an additional 8,478 shares in the last quarter. 83.12% of the stock is owned by hedge funds and other institutional investors.

Borr Drilling Company Profile

Borr Drilling Limited (NYSE: BORR) is an offshore drilling contractor that provides well-drilling services to oil and gas exploration and production companies. The company primarily operates modern jack-up drilling rigs, which are designed to work in relatively shallow-water offshore environments.

Borr Drilling’s services include rig operations, well construction support and related offshore drilling activities. Its jack-up fleet is used for development drilling, exploration and workover projects, with contracts typically awarded by energy companies and other offshore operators.

Founded in 2016, Borr Drilling expanded through the acquisition of a large jack-up rig fleet from Transocean in 2017.