Transocean Ltd (RIG) is slightly undervalued and Valaris Ltd (VAL) is undervalued.
Against our estimates of intrinsic value, VAL trades at the wider discount: a margin of safety of +30%, against +7% for RIG.
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 9.3% (average of 3 methods) values the shares at $118.93; the price of $82.72 is 30% below that value, and 75% of that value comes from beyond year five.
Leak Score 100/100 on 3 of 12 signals
| Metric | RIG | VAL |
|---|---|---|
| Verdict | Slightly undervalued | Undervalued |
| Price | $5.49 | $82.72 |
| Intrinsic value | $5.92 | $118.93 |
| Margin of safety | +7% | +30% |
| Leak Score | 0/100 (2/12) | 100/100 (3/12) |
| Market cap | $6.1B | $5.7B |
| Revenue growth, 5 years | 4.7% | 10.7% |
| Operating margin | 22.6% | 12.1% |
| Net margin | -40.2% | 44.0% |
| Return on equity | -18.7% | 33.9% |
| Debt to equity | 0.61 | 0.36 |
| P/E | — | 6.2x |
| Forward P/E | 19.8x | 11.8x |
| P/B | 0.7x | 1.8x |