WallStSmart

Shell PLC ADR (SHEL)vsValaris Ltd (VAL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shell PLC ADR generates 11166% more annual revenue ($266.89B vs $2.37B). VAL leads profitability with a 41.5% profit margin vs 6.7%. VAL trades at a lower P/E of 7.4x. VAL earns a higher WallStSmart Score of 62/100 (C+).

SHEL

Buy

61

out of 100

Grade: C+

Growth: 4.7Profit: 5.5Value: 6.7Quality: 6.0
Piotroski: 4/9Altman Z: 2.34

VAL

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 8.0Value: 5.7Quality: 5.8
Piotroski: 3/9Altman Z: 2.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SHELUndervalued (+4.3%)

Margin of Safety

+4.3%

Fair Value

$84.45

Current Price

$88.98

$4.53 discount

UndervaluedFair: $84.45Overvalued
VALSignificantly Overvalued (-51.7%)

Margin of Safety

-51.7%

Fair Value

$58.30

Current Price

$92.80

$34.50 premium

UndervaluedFair: $58.30Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SHEL5 strengths · Avg: 9.2/10
Market CapQuality
$252.85B10/10

Mega-cap, among the largest globally

Price/BookValuation
1.5x10/10

Reasonable price relative to book value

EPS GrowthGrowth
376.2%10/10

Earnings expanding 376.2% YoY

P/E RatioValuation
15.1x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$3.45B8/10

Generating 3.4B in free cash flow

VAL5 strengths · Avg: 9.6/10
P/E RatioValuation
7.4x10/10

Attractively priced relative to earnings

Return on EquityProfitability
36.2%10/10

Every $100 of equity generates 36 in profit

Profit MarginProfitability
41.5%10/10

Keeps 42 of every $100 in revenue as profit

EPS GrowthGrowth
446.6%10/10

Earnings expanding 446.6% YoY

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Areas to Watch

SHEL2 concerns · Avg: 2.5/10
Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

VAL3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-8.0%2/10

Revenue declined 8.0%

Free Cash FlowQuality
$-25.90M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : SHEL

The strongest argument for SHEL centers on Market Cap, Price/Book, EPS Growth. PEG of 1.31 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 41.5% and operating margin at 10.5%.

Bear Case : SHEL

The primary concerns for SHEL are Profit Margin, Revenue Growth.

Bear Case : VAL

The primary concerns for VAL are Piotroski F-Score, Revenue Growth, Free Cash Flow.

Key Dynamics to Monitor

SHEL profiles as a value stock while VAL is a declining play — different risk/reward profiles.

VAL carries more volatility with a beta of 1.04 — expect wider price swings.

SHEL is growing revenue faster at -3.3% — sustainability is the question.

SHEL generates stronger free cash flow (3.4B), providing more financial flexibility.

Bottom Line

VAL scores higher overall (62/100 vs 61/100), backed by strong 41.5% margins. 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.

Shell PLC ADR

ENERGY · OIL & GAS INTEGRATED · USA

Shell plc is a global petrochemical and energy company. The company is headquartered in The Hague, the Netherlands.

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.

Want to dig deeper into these stocks?