Borr Drilling (NYSE:BORR) Shares Gap Down – Should You Sell?

Borr Drilling Limited (NYSE:BORR)’s stock price gapped down before the market opened on Monday. The stock had previously closed at $4.54, but opened at $4.37. Borr Drilling shares last traded at $4.3450, with a volume of 1,311,566 shares trading hands.

Wall Street Analysts Forecast Growth

BORR has been the topic of several analyst reports. Weiss Ratings raised shares of Borr Drilling from a “sell (d)” rating to a “sell (d+)” rating in a research note on Friday, October 9th. Zacks Research lowered shares of Borr Drilling from a “hold” rating to a “strong sell” rating in a report on Tuesday, September 15th. Capital One Financial set a $6.00 price target on shares of Borr Drilling and gave the company an “overweight” rating in a research report on Wednesday, July 1st. Wall Street Zen cut shares of Borr Drilling from a “sell” rating to a “strong sell” rating in a research report on Saturday, August 8th. Finally, SEB Equity Research set a $3.55 price target on shares of Borr Drilling in a report on Monday, August 17th. Two analysts have rated the stock with a Strong Buy rating, one has issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Borr Drilling presently has an average rating of “Hold” and a consensus price target of $5.27.

Borr Drilling Trading Down 5.1%

The firm has a market cap of $1.33 billion, a PE ratio of -5.40 and a beta of 1.08. The firm has a fifty day simple moving average of $4.39 and a two-hundred day simple moving average of $4.77. The company has a current ratio of 2.53, a quick ratio of 2.53 and a debt-to-equity ratio of 2.58.

Borr Drilling (NYSE:BORR) last posted its earnings results on Wednesday, August 12th. The company reported ($0.79) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.21) by ($0.58). Borr Drilling had a negative net margin of 23.98% and a negative return on equity of 5.95%. The business had revenue of $232.30 million for the quarter, compared to analysts’ expectations of $245.96 million. Equities analysts forecast that Borr Drilling Limited will post -0.48 EPS for the current year.

Insiders Place Their Bets

In related news, Director Jeffrey Currie acquired 125,000 shares of the firm’s stock in a transaction on Thursday, August 13th. The stock was acquired at an average cost of $4.01 per share, for a total transaction of $501,250.00. Following the acquisition, the director owned 479,423 shares of the company’s stock, valued at $1,922,486.23. This trade represents a 35.27% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available at this link. Also, COO Harvey Snowling acquired 300,000 shares of the firm’s stock in a transaction on Wednesday, October 14th. The stock was bought at an average price of $4.91 per share, with a total value of $1,473,000.00. Following the completion of the acquisition, the chief operating officer directly owned 445,944 shares in the company, valued at approximately $2,189,585.04. This represents a 205.56% increase in their position. The SEC filing for this purchase provides additional information. 7.90% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Borr Drilling

A number of large investors have recently modified their holdings of BORR. Optiver Holding B.V. lifted its holdings in Borr Drilling by 186.4% in the first quarter. Optiver Holding B.V. now owns 5,060 shares of the company’s stock worth $29,000 after buying an additional 3,293 shares during the period. Caitong International Asset Management Co. Ltd boosted its position in Borr Drilling by 2,435.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 8,467 shares of the company’s stock valued at $34,000 after acquiring an additional 8,133 shares in the last quarter. Fortitude Family Office LLC grew its holdings in shares of Borr Drilling by 11,940.8% during the 3rd quarter. Fortitude Family Office LLC now owns 8,549 shares of the company’s stock worth $33,000 after acquiring an additional 8,478 shares during the period. State of Alaska Department of Revenue purchased a new position in shares of Borr Drilling during the 3rd quarter worth approximately $41,000. Finally, Cetera Investment Advisers purchased a new position in shares of Borr Drilling during the 1st quarter worth approximately $66,000. Institutional investors own 83.12% of the company’s stock.

Borr Drilling Company Profile

Borr Drilling Limited (NYSE: BORR) is an offshore drilling contractor that provides drilling services to oil and gas companies. The company focuses primarily on jack-up rigs, which are mobile offshore drilling units used in relatively shallow waters for exploration, development and production drilling.

Borr Drilling owns and operates a fleet of modern jack-up rigs, including premium and high-specification units designed to work in a range of offshore environments. Its services support customers throughout the drilling life cycle, from exploratory wells to development and production activities.

Established in 2016 and headquartered in Hamilton, Bermuda, Borr Drilling expanded its fleet through the acquisition of jack-up rigs from Transocean in 2017.