Borr Drilling Limited Common Shares (BORR)
FairStock Score: 27/100 — RISKY
Key Financials
| Current Price | $4.4 |
| Market Cap | $1.7B |
| P/E Ratio | -5.57 |
| ROE | -24.68% |
| Dividend Yield | 3.92% |
| Sector | Energy |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
I look for businesses that earn good returns on capital and generate cash, and Borr Drilling fails that test today. The latest filed quarter, fiscal Q2 2026, showed revenue of $232.3 million and a net loss of $241.4 million—a negative 103.92% margin. Trailing free cash flow is negative $144.0 million, and the FCF yield is -8.3%. FairStock calculations at the 2026-10-13 close reinforce the strain: P/E -6.08, P/B 1.54, EV/EBITDA 20.80. Debt is heavy at D/E 2.59, ROE is -24.68%, and ROCE is only 3.76%. The Piotroski F-Score is 2/9 and Altman Z-Score is -0.01, both warning signs. The FairStock Score is 27/100. The Lynch category is none because only 0 years of filed results exist and it needs 3. On the positive side, the company pays a 3.92% dividend yield and has a beta of 1.02, but a dividend funded while free cash flow is negative raises doubt. Offshore drilling is cyclical and asset-heavy; a jack-up rig fleet can earn well when dayrates rise, but there is no margin of safety here. I would want evidence of positive earnings, positive free cash flow, and lower leverage before calling this a sound investment.
In plain English: Borr Drilling provides offshore drilling services using shallow-water jack-up rigs for oil and gas companies. The business looks weak right now: the latest reported quarter showed a large loss, trailing cash flow is negative, and debt is high. At $4.80, the price looks expensive relative to current losses and cash burn, though the company does pay a dividend.
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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash
Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer