Transocean Ltd (RIG)vsValaris Ltd (VAL)
RIG
Transocean Ltd
$5.64
-0.35%
ENERGY · Cap: $6.25B
VAL
Valaris Ltd
$83.76
-0.35%
ENERGY · Cap: $6.02B
Smart Verdict
WallStSmart Research — data-driven comparison
Transocean Ltd generates 93% more annual revenue ($4.12B vs $2.14B). VAL leads profitability with a 44.0% profit margin vs -40.2%. VAL earns a higher WallStSmart Score of 52/100 (C-).
RIG
Buy51
out of 100
Grade: C-
VAL
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+18.0%
Fair Value
$6.90
Current Price
$5.64
$1.26 discount
Intrinsic value data unavailable for VAL.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Attractively priced relative to earnings
Every $100 of equity generates 32 in profit
Keeps 44 of every $100 in revenue as profit
Reasonable price relative to book value
Areas to Watch
0.0% earnings growth
ROE of -33.8% — below average capital efficiency
Revenue declined 2.2%
Distress zone — elevated risk
Revenue declined 12.4%
Earnings declined 55.3%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : RIG
The strongest argument for RIG centers on Price/Book. PEG of 1.17 suggests the stock is reasonably priced for its growth.
Bull Case : VAL
The strongest argument for VAL centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 44.0% and operating margin at 9.8%.
Bear Case : RIG
The primary concerns for RIG are EPS Growth, Return on Equity, Revenue Growth.
Bear Case : VAL
The primary concerns for VAL are Revenue Growth, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
RIG profiles as a turnaround stock while VAL is a declining play — different risk/reward profiles.
RIG carries more volatility with a beta of 1.33 — expect wider price swings.
RIG is growing revenue faster at -2.2% — sustainability is the question.
RIG generates stronger free cash flow (212M), providing more financial flexibility.
Bottom Line
VAL scores higher overall (52/100 vs 51/100), backed by strong 44.0% margins. RIG offers better value entry with a 18.0% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Transocean Ltd
ENERGY · OIL & GAS DRILLING · USA
Transocean Ltd., provides offshore contract drilling services for oil and gas wells globally. The company is headquartered in Steinhausen, Switzerland.
Valaris Ltd
ENERGY · OIL & GAS DRILLING · USA
Valaris Limited provides offshore contract drilling services in various water depths for the oil and gas industry globally. The company is headquartered in Hamilton, Bermuda.
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