Price as of close on Nov 3, 2026 · Financials updated Sep 30, 2026
Basics
Sector
Energy
Industry
Oil & Gas Drilling
Country
United States
Market cap
6.2B USD
Enterprise value
6.5B USD
Full-time employees
3,800
Overall health
Strength:more profitable than most peersmore profitable than peers
Drawback:its share price swings more than most peers’ (beta 0.94 vs a peer median of 0.57), though less than the overall marketbigger price swings (beta 0.94 vs peers 0.57)
About average:growth, valuation and risk (debt, liquidity and share-price swings)growth, valuation and risk
Profit looks boosted by one-off gains.Reported profit is 2.5× operating cash profit (EBITDA), lifted by income outside the core business.Reported profit is 2.5× operating cash profit, lifted by income outside the core business.
Valaris's reported profit is 2.5× its operating cash profit (EBITDA), which is unusual: normally it's the other way round. Income outside the core business, such as interest on a large cash pile, gains on investments or asset sales, or tax items, has lifted net income, so its earnings-based valuation may look cheaper than the business alone justifies.Valaris's reported profit is 2.5× its operating cash profit, which is unusual: normally it's the other way round. Income outside the core business, such as interest on a large cash pile, gains on investments or asset sales, or tax items, has lifted net income, so its earnings-based valuation may look cheaper than the business alone justifies.
Profitable, but burning cash. Reports a profit, but free cash flow is negative.
Valaris reports a profit but its free cash flow is negative: it spent more on investment and running the business than it brought in. That's common for companies building capacity, but it means the profit isn't yet turning into cash.
Paying shareholders without free cash flow. Paid out $425M over the 3 fiscal years to 2025 with -$326M of free cash flow.
Valaris returned $425M in buybacks and dividends over three fiscal years while its free cash flow totalled -$326M. The money came from its cash pile or from borrowing.
Valuation signals disagree. Cheaper than 90% of peers on earnings, but only 0% on free cash flow.
Relative to its earnings, Valaris looks cheaper than 90% of peers; relative to its free cash flow, cheaper than only 0%. The valuation score blends the two, so look at which measure fits this business best.
StockQuotient Score
53/ 100▲ 1 since Oct 27 closeOct 5 55 → Nov 4 53 (-2)
Since last quarter: No major changeValuation also moves with the share price every day.
Why it changed since the Oct 27, 2026 close: Score 41 → 48
Share price -8.4%+7
Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.
Sector-normalized EBITDA, earnings, and free cash flow yields.
Earnings yield15.0%
SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score 2.78Sector median: 0.0522 · MAD: 0.0351
EBITDA yield5.7%
SEC filings · 12 months to Jun 2026Reported value50% base weight · Z-score -1.23Sector median: 0.1209 · MAD: 0.0518
Free cash flow yield-0.4%
SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingNegative (a loss or cash outflow), so it counts as zero whatever the share price20% base weight · Z-score -1.26Sector median: 0.0618 · MAD: 0.0491
Free cash flow turned negative over the last 12 months
Why it changed since the Oct 27, 2026 close: Score 72 → 69
Peer companies moved-3
Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.
Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.
Questions investors ask about Valaris
Is Valaris getting weaker?
Its latest SEC filing (Aug 6, 2026) got weaker in some ways: operating margin fell 4.7 points to 11.3%; 12-month revenue fell 3.4%. Its overall score is 53/100, up 1 since Oct 28, 2026.
How is Valaris valued vs its peers?
Priced about in line with its peers. Valuation scores 48/100 against 404 energy peers.Earnings yield 15.0% vs a peer median of 5.2% (stronger than 90% of peers).Earnings yield 15.0% vs peers 5.2% (stronger than 90% of peers).Free cash flow yield -0.4% vs a peer median of 6.2% (weaker than 100% of peers).Free cash flow yield -0.4% vs peers 6.2% (weaker than 100% of peers).
Is Valaris growing?
At about the same pace as its peers. Growth scores 51/100 against 404 energy peers.3-year revenue growth 7.6% vs a peer median of -1.3% (stronger than 76% of peers).3-year revenue growth 7.6% vs peers -1.3% (stronger than 76% of peers).Revenue growth -13.2% vs a peer median of 0.5% (weaker than 81% of peers).Revenue growth -13.2% vs peers 0.5% (weaker than 81% of peers).
How profitable is Valaris?
More profitable than most of its peers. Profitability scores 69/100 against 404 energy peers.Return on assets 17.2% vs a peer median of 4.4% (stronger than 95% of peers).Return on assets 17.2% vs peers 4.4% (stronger than 95% of peers).Return on invested capital 5.1% vs a peer median of 9.3% (weaker than 71% of peers).Return on invested capital 5.1% vs peers 9.3% (weaker than 71% of peers).
How risky is Valaris?
Moderate risk relative to 404 energy peers, judged on debt, liquidity and share-price swings.Debt / equity 0.34× vs a peer median of 0.47× (stronger than 63% of peers).Debt / equity 0.34× vs peers 0.47× (stronger than 63% of peers).Beta 0.94 vs a peer median of 0.57 (weaker than 81% of peers).Beta 0.94 vs peers 0.57 (weaker than 81% of peers). A relative measure, not a bankruptcy probability.
Latest filing: what changed
Quarter ended Jun 30, 2026 · filed Aug 6, 2026 · compared with the quarter ended Mar 31, 2026
Got weaker
Operating margin fell 4.7 points to 11.3%
12-month revenue fell 3.4%
Free cash flow turned negative over the last 12 months
Previous quarter
Latest quarter
Change
Revenue (12 months)
2.2B USD
2.1B USD
−3.4%
Net income (12 months)
1.0B USD
935.9M USD
−6.5%
Operating margin
16.0%
11.3%
−4.7 pts
Free cash flow (12 months)
121.1M USD
−24.1M USD
turned negative
Debt
1.1B USD
1.1B USD
+0.1%
Cash
578.3M USD
541.2M USD
−6.4%
Shares outstanding
69.3M
69.4M
+0.3%
From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.
Industry valuation context
Sector: Energy · 117 companies
Valuations in Energy are above their usual range since 2016.
71% of months since 2016 were valued lower than now.
41% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values +37% and earnings +10% (medians): prices rose faster than earnings.
Median price-to-sales is −30% vs the whole market, against a usual −35%.
2016Shaded: most expensive fifth of its range2026
Shown for Energy: too few Oil & Gas Drilling companies have a long enough history of their own.
This is a cyclical group: after a downturn, trailing earnings and sales fall faster than prices, which can make valuations look high near a cycle's low.
Describes valuations since 2016; it does not predict prices. US companies worth $1B+, from SEC filings and month-end prices, as of Aug 2026. Today's companies and industry labels are used throughout. Measured on earnings, EBITDA, sales and free cash flow yields. How this works
Financials
Fiscal years from SEC annual filings · change vs the prior year
Key ratios
FY 2020
FY 2022
FY 2023
FY 2024
FY 2025
Change
Gross margin
—
13.7%
13.5%
25.5%
31.2%
▲ 5.7 pts
Operating margin
-303.7%
2.3%
3.0%
14.9%
20.1%
▲ 5.2 pts
Net margin
-340.2%
11.0%
48.5%
15.8%
41.5%
▲ 26 pts
Return on assets (ROA)
-37.7%
6.2%
20.0%
8.4%
18.5%
▲ 10 pts
Return on equity (ROE)
-111.0%
13.7%
43.5%
16.7%
31.0%
▲ 14 pts
Free cash flow margin
-24.2%
-5.0%
-24.0%
-4.2%
8.6%
▲ 13 pts
Current ratio
2.75×
2.67×
1.71×
1.59×
1.77×
▲ 12%
Quick ratio
2.09×
—
—
—
—
—
Debt to equity
0.00×
0.42×
0.54×
0.48×
0.34×
▼ 29%
Interest coverage
-14.92×
—
—
—
—
—
VAL price history
Price history is added with the daily price update and will appear after the next one.