Transocean Ltd (RIG) is slightly undervalued and Seadrill Ltd (SDRL) is overvalued.
Against our estimates of intrinsic value, RIG trades at the wider discount: a margin of safety of +7%, against -389% for SDRL.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.6% (average of 2 methods) values the shares at $5.92; the price of $5.49 is 7% below that value, and 77% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
Discounting its cash flows at 10.8% (average of 3 methods) values the shares at $9.58; the price of $46.85 is 389% above that value, and 70% of that value comes from beyond year five.
Leak Score 0/100 on 3 of 12 signals
| Metric | RIG | SDRL |
|---|---|---|
| Verdict | Slightly undervalued | Overvalued |
| Price | $5.49 | $46.85 |
| Intrinsic value | $5.92 | $9.58 |
| Margin of safety | +7% | -389% |
| Leak Score | 0/100 (2/12) | 0/100 (3/12) |
| Market cap | $6.1B | $2.9B |
| Revenue growth, 5 years | 4.7% | 6.3% |
| Operating margin | 22.6% | 9.3% |
| Net margin | -40.2% | 0.1% |
| Return on equity | -18.7% | 0.0% |
| Debt to equity | 0.61 | 0.26 |
| P/E | — | 2739.8x |
| Forward P/E | 19.8x | 13.3x |
| P/B | 0.7x | 1.0x |