Start here if you're new
what it is
Borr rents offshore jack-up rigs to oil companies that need wells drilled in water up to 400 feet deep.
how it gets paid
Last year Borr Drilling made $1.0B in revenue. Development drilling was the main engine at $0.62B, or 62% of sales.
what just happened
Latest quarter revenue hit $484M, up 81% vs. prior year, while EPS came in at $0.08.
At a glance
C balance sheet — red flag territory — real financial stress
30/100 earnings predictability — expect surprises
16.1x trailing p/e — the market's not buying it — or you found a deal
6.3% return on capital — nothing to write home about
$0.32 fy2024 eps est
xvary composite: 31/100 — weak
What they do
Borr rents offshore jack-up rigs to oil companies that need wells drilled in water up to 400 feet deep.
When your well sits in up to 400 feet of water, you need a jack-up rig, not a cheaper workaround. Borr owns and operates that exact tool, and annual revenue is about $1.0 billion. The quiet part: oil companies do not call a startup when a shallow-water well needs drilling. They call the contractor with rigs, crews, and contracts already in motion.
How they make money
$1.0B
annual revenue
Development drilling
$0.62B
Exploration drilling
$0.10B
Middle East jack-up contracts
$0.16B
Southeast Asia jack-up contracts
$0.07B
Other regions and services
$0.05B
The products that matter
offshore drilling services
jack-up rig fleet
22 rigs · $1.02B trailing revenue
This is the whole story. Twenty-two rigs generated $1.02B in trailing revenue, and your outcome depends on how many days those rigs stay contracted and at what price.
the core asset
fixed-term customer contract
Odin rig contract
120 days · starts july 2026
This 120-day ExxonMobil contract matters because it fills part of a schedule that still looks thin. With only 48% of H2 2026 covered, every signed day does real work.
coverage support
regional operating exposure
Arabian Gulf operations
suspended in march 2026
This is the risk card in the middle of the deck. Suspended operations mean lost revenue days, and a company carrying $1.9B of debt does not get much grace for idle assets.
risk watch
Key numbers
37.0%
operating margin
Operating margin → money left after running the rigs → so what: Borr kept 37 cents from each revenue dollar before interest and taxes.
16.1x
trailing p/e
P/E → stock price compared with yearly profit → so what: you are paying $16.10 for each $1 of trailing earnings.
$1.9B
long-term debt
Debt → money the company owes → so what: the debt stack is almost as large as the roughly $2 billion market cap.
6.3%
return on capital
Return on capital → profit earned on the money tied up in the business → so what: 6.3% is decent, but not enough to make the debt disappear by magic.
Financial health
C
strength
- balance sheet grade C — very weak — significant financial distress
- risk rank 5 — safer than 5% of stocks
- price stability 5 / 100
- long-term debt $1.9B (56% of capital)
C — balance sheet grade and long-term debt are flagged. this stock carries more risk than average.
Total return vs. market
Return history isn't available for BORR right now.
source: institutional data · return history unavailable
What just happened
beat estimates
Latest quarter revenue hit $484M, up 81% vs. prior year, while EPS came in at $0.08.
Sales surged, but EPS still fell 43% vs. prior year. That is the whole Borr setup in one quarter: strong rig demand versus a capital-heavy business that can still leak profit.
$484M
revenue
$0.08
eps
37.0%
operating margin
the number that mattered
Revenue growth of 81% mattered most because it shows shallow-water demand is still strong enough to fill rigs even with a stretched balance sheet.
source: company earnings report, 2026
Get this snapshot in your inbox
This page, delivered free — plus weekly updates when the numbers change. plain english, no spam.
weekly updates
earnings alerts
plain english
no spam
What could go wrong
the main risk is simple and company-specific: Borr needs more contracted rig days while carrying $1.9B of debt and dealing with a real operating disruption in the Arabian Gulf.
high
Arabian Gulf shutdown lasts longer than expected
Operations were suspended in march 2026 due to hostilities, with personnel evacuated and a rig shut down. That turns utilization risk into a current event, not a spreadsheet assumption.
impact: idle days hit revenue right away, while fixed costs and debt stay very real.
high
refinancing gets more expensive after the B rating cut
Borr carries $1.9B in long-term debt, equal to 56% of capital. S&P downgraded the credit rating to B in december 2025. That's the market's polite way of saying the margin for error is thin.
impact: weaker financing terms can pressure equity value even if rigs stay busy.
med
contract coverage stays thin
Only 48% of H2 2026 rig days are contracted. The remaining 52% still needs customers, and those deals need to clear at day rates that justify the balance-sheet risk you are taking.
impact: if coverage does not move up, future cash flow gets harder to trust and the stock keeps trading like a stressed cyclical.
med
revenue growth keeps failing to turn into profit
Revenue reached $1.02B, but net margin was only 4.4% and return on capital was 6.3%. That is not much buffer for downtime, pricing pressure, or cost creep.
impact: a small hit to utilization or pricing can do outsized damage to earnings and to debt confidence.
The stock is exposed to operating risk and financing risk at the same time. That combination is the whole bear case.
source: institutional data · regulatory filings · risk analysis
Pay attention to
coverage
H2 2026 contract fill rate
48% coverage is the whole near-term argument. If that number does not move up, the market will keep treating backlog as fragile.
operations
Arabian Gulf restart
A restart would bring revenue days back. A prolonged shutdown would keep pressure on utilization, cash flow, and sentiment.
calendar
july 2026 Odin start date
That 120-day ExxonMobil contract is small relative to the fleet, but it is one of the few visible pieces of the second-half schedule you can actually point to today.
credit
any move below the current B rating
One more credit hit would matter. This story already depends on debt markets staying open enough for a small-cap driller with uneven visibility.
Analyst rankings
earnings predictability
30 / 100
in human-speak, analysts do not trust this company to deliver smooth, easy-to-model quarters.
risk rank
5
Safer than just 5% of stocks. The data is calling this what it is: a high-risk name.
street rating
2.0
Eight analysts average out to Outperform. The catch: that optimism needs more contracts to show up, not just cleaner models.
source: institutional data
Institutional activity
institutional ownership data for BORR is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$4
current price
n/a
target midpoint · n/a from current
Want the deeper analysis?
The full deep dive: dcf model, scenario analysis, competitive moat breakdown, and quarterly tracking — everything on this page, taken further.
see plans from $5/moThe deep dive