A Look Ahead: Borr Drilling's Earnings Forecast

Borr Drilling BORR is preparing to release its quarterly earnings on Wednesday, 2024-11-06. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Borr Drilling to report an earnings per share (EPS) of $0.09.

The market awaits Borr Drilling's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Overview of Past Earnings

The company's EPS missed by $0.07 in the last quarter, leading to a 2.93% increase in the share price on the following day.

Here's a look at Borr Drilling's past performance and the resulting price change:

Tracking Borr Drilling's Stock Performance

Shares of Borr Drilling were trading at $4.19 as of November 04. Over the last 52-week period, shares are down 29.97%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analysts' Perspectives on Borr Drilling

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Borr Drilling.

With 1 analyst ratings, Borr Drilling has a consensus rating of Outperform. The average one-year price target is $9.0, indicating a potential 114.8% upside.

Comparing Ratings with Peers

In this analysis, we delve into the analyst ratings and average 1-year price targets of Nabors Industries, Seadrill and Patterson-UTI Energy, three key industry players, offering insights into their relative performance expectations and market positioning.

• Nabors Industries received a Neutral consensus from analysts, with an average 1-year price target of $84.5, implying a potential 1916.71% upside.
• As per analysts' assessments, Seadrill is favoring an Buy trajectory, with an average 1-year price target of $64.0, suggesting a potential 1427.45% upside.
• Analysts currently favor an Outperform trajectory for Patterson-UTI Energy, with an average 1-year price target of $11.4, suggesting a potential 172.08% upside.

Comprehensive Peer Analysis Summary

The peer analysis summary presents essential metrics for Nabors Industries, Seadrill and Patterson-UTI Energy, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Borr Drilling ranks highest in Revenue Growth among its peers. It has the highest Gross Profit margin. However, its Return on Equity is lower than one peer. Overall, Borr Drilling is positioned favorably compared to its peers in the analysis.

Discovering Borr Drilling: A Closer Look

Borr Drilling Ltd is a drilling contractor that owns and operates jack-up rigs of modern and high-specification designs providing drilling services to the oil and gas exploration and production industry. The company operates a fleet of around 16 jack-up drilling rigs. Geographically the activities are carried out through Norway.

Financial Milestones: Borr Drilling's Journey

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Over the 3 months period, Borr Drilling showcased positive performance, achieving a revenue growth rate of 45.01% as of 30 June, 2024. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Energy sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Borr Drilling's net margin is impressive, surpassing industry averages. With a net margin of 11.66%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Borr Drilling's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 3.19%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.98%, the company showcases effective utilization of assets.

Debt Management: With a below-average debt-to-equity ratio of 1.85, Borr Drilling adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Borr Drilling visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.