Borr Drilling Ltd (NYSE: BORR) has experienced a decline in its stock price by -10.22 compared to its previous closing price of 6.85. However, the company has seen a fall of -9.43% in its stock price over the last five trading days. InvestorPlace reported 2024-03-29 that I believe that equity markets are at a point where small-cap and penny stocks can go ballistic. The assumption of multiple rate cuts in the next 12 to 18 months backs this general view.
Is It Worth Investing in Borr Drilling Ltd (NYSE: BORR) Right Now?
The price-to-earnings ratio for Borr Drilling Ltd (NYSE: BORR) is above average at 86.62x. The 36-month beta value for BORR is also noteworthy at 2.92. There are mixed opinions on the stock, with 0 analysts rating it as a “buy,” 1 rating it as “overweight,” 1 rating it as “hold,” and 0 rating it as “sell.”
The public float for BORR is 216.40M, and at present, short sellers hold a 3.88% of that float. The average trading volume of BORR on April 01, 2024 was 1.82M shares.
BORR’s Market Performance
The stock of Borr Drilling Ltd (BORR) has seen a -9.43% decrease in the past week, with a 3.02% rise in the past month, and a -15.16% fall in the past quarter. The volatility ratio for the week is 3.61%, and the volatility levels for the past 30 days are at 3.19% for BORR. The simple moving average for the past 20 days is -6.68% for BORR’s stock, with a -10.02% simple moving average for the past 200 days.
BORR Trading at -4.95% from the 50-Day Moving Average
After a stumble in the market that brought BORR to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -30.70% of loss for the given period.
Volatility was left at 3.19%, however, over the last 30 days, the volatility rate increased by 3.61%, as shares sank -0.48% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -8.06% lower at present.
During the last 5 trading sessions, BORR fell by -9.28%, which changed the moving average for the period of 200-days by -10.33% in comparison to the 20-day moving average, which settled at $6.59. In addition, Borr Drilling Ltd saw -15.16% in overturn over a single year, with a tendency to cut further losses.
Stock Fundamentals for BORR
Current profitability levels for the company are sitting at:
- 0.32 for the present operating margin
- 0.71 for the gross margin
The net margin for Borr Drilling Ltd stands at 0.03. The total capital return value is set at 0.09. Equity return is now at value 2.35, with 0.73 for asset returns.
Based on Borr Drilling Ltd (BORR), the company’s capital structure generated 0.63 points at debt to capital in total, while cash flow to debt ratio is standing at -0.03. The debt to equity ratio resting at 1.73. The interest coverage ratio of the stock is 1.61.
Currently, EBITDA for the company is 381.06 million with net debt to EBITDA at 4.43. When we switch over and look at the enterprise to sales, we see a ratio of 4.02. The receivables turnover for the company is 3.14for trailing twelve months and the total asset turnover is 0.26. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.03.
Conclusion
In summary, Borr Drilling Ltd (BORR) has had a bad performance as of late. Analysts have mixed opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
