Is Borr Drilling Limited (BORR) A Risky Investment?


Borr Drilling Limited (NYSE:BORR) traded with an addition of $0.22 to close at $5.15 on Friday, an upside of 4.46 percent. An average of 668,342 shares of common stock have been traded in the last five days. There was a gain of $0.55 in the past week, and it reached a new high 19 times over the past 12 months. The last 20 days have seen an average of 885,045 shares traded, while the 50-day average volume stands at 1,133,882.

BORR stock has increased by 10.79% in the last month. The company shares reached their 1-month lowest point of $4.03 on 12/19/22. With the stock rallying to its 52-week high on 06/02/22, shares of the company touched a low of $1.75 and a high of $6.96 in 52 weeks. It has reached a new high 18 times so far this year and achieved 139.32% or $3.09 in price. In spite of this, the price is down -26.01% from the 52-week high.

Will You Miss Out On This Growth Stock Boom?

A new megatrend in the fintech market is well underway. Mobile payments are projected to boom into a massive $12 trillion market by 2028. According to Motley Fool this growth stock could "deliver huge returns." Not only in the immediate future but also over the next decade. Especially since the man behind this company is a serial entrepreneur who has been wildly successful over the years.

And this is just one of our 5 Best Growth Stocks To Own For 2023.


Financial Health

Borr Drilling Limited’s EBITDA margin for the year ending September 29 is 12.27%. Its gross profit as reported stood at -$88.3 million compared to revenue of $245.3 million.

Earnings Surprise

For the three-month period that ended September 29, Borr Drilling Limited had $1.92 billion in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of -$193.0 million in the quarter, while revenues were shrunk -64.56%. The analyst consensus anticipated Borr Drilling Limited’s latest quarter earnings to come in at -$0.23 per share, but it turned out to be -$0.3, a -30.40% surprise. For the quarter, EBITDA amounted to $48.5 million.

Technical Picture

From a technical analysis perspective, let’s take a brief look at Borr Drilling Limited (BORR) price momentum. RSI 9-day as of the close on 29 December was 65.45%, suggesting the stock is Neutral, with historical volatility in this time frame at 66.95%.

As of today, BORR’s price is $4.95 +11.96% or $0.55 from its 5-day moving average. BORR is currently trading +10.28% higher than its 20-day SMA and +36.60% higher than its 100-day SMA. However, the stock’s current price level is +41.10% above the SMA50 and +73.99% above the SMA200.

The stochastic %K and %D were 76.89% and 82.59%, respectively, and the average true range (ATR) was 0.32. With the 14-day stochastic at 74.26% and the average true range at 0.31, the RSI (14) stands at 61.06%. The stock has reached 0.21 on the 9-day MACD Oscillator while the 14-day reading was at 0.33.

Analyst Ratings

The consensus rating for Borr Drilling Limited (BORR) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell BORR, while 2 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 0 analysts, while 5 others rate it as a “buy”.

What is BORR’s price target for the next 12 months?

Analysts predict a range of price targets between $5.62 and $8.00, with a median target of $6.30. Taking a look at these predictions, the average price target given by analysts for Borr Drilling Limited (BORR) stock is $6.42.


Please enter your comment!
Please enter your name here