Seadrill Limited (SDRL)vsValaris Ltd (VAL)
SDRL
Seadrill Limited
$47.49
-1.29%
ENERGY · Cap: $3.02B
VAL
Valaris Ltd
$83.76
-0.35%
ENERGY · Cap: $6.02B
Smart Verdict
WallStSmart Research — data-driven comparison
Valaris Ltd generates 45% more annual revenue ($2.14B vs $1.48B). VAL leads profitability with a 44.0% profit margin vs 0.1%. VAL trades at a lower P/E of 6.5x. SDRL earns a higher WallStSmart Score of 55/100 (C).
SDRL
Buy55
out of 100
Grade: C
VAL
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-81.9%
Fair Value
$23.64
Current Price
$47.49
$23.85 premium
Intrinsic value data unavailable for VAL.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Earnings expanding 63.1% YoY
Conservative balance sheet, low leverage
19.1% revenue growth
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
0.1% margin — thin
Premium valuation, high expectations priced in
ROE of -0.8% — below average capital efficiency
Negative free cash flow — burning cash
Revenue declined 12.4%
Earnings declined 55.3%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : SDRL
The strongest argument for SDRL centers on Price/Book, EPS Growth, Debt/Equity. Revenue growth of 19.1% demonstrates continued momentum.
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 : SDRL
The primary concerns for SDRL are Profit Margin, P/E Ratio, Return on Equity. A P/E of 1607.0x leaves little room for execution misses. Thin 0.1% margins leave little buffer for downturns.
Bear Case : VAL
The primary concerns for VAL are Revenue Growth, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
SDRL profiles as a growth stock while VAL is a declining play — different risk/reward profiles.
SDRL carries more volatility with a beta of 1.39 — expect wider price swings.
SDRL is growing revenue faster at 19.1% — sustainability is the question.
VAL generates stronger free cash flow (-92M), providing more financial flexibility.
Bottom Line
SDRL scores higher overall (55/100 vs 52/100) and 19.1% revenue growth. 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.
Seadrill Limited
ENERGY · OIL & GAS DRILLING · USA
Seadrill Limited, an offshore drilling contractor, provides offshore drilling services to the oil and gas industry globally. The company is headquartered in Hamilton, Bermuda.
Visit Website →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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