Seadrill Ltd (SDRL) is overvalued 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 -389% for SDRL.
Values as of the 22 Sept 2026 close.
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
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 | SDRL | VAL |
|---|---|---|
| Verdict | Overvalued | Undervalued |
| Price | $46.85 | $82.72 |
| Intrinsic value | $9.58 | $118.93 |
| Margin of safety | -389% | +30% |
| Leak Score | 0/100 (3/12) | 100/100 (3/12) |
| Market cap | $2.9B | $5.7B |
| Revenue growth, 5 years | 6.3% | 10.7% |
| Operating margin | 9.3% | 12.1% |
| Net margin | 0.1% | 44.0% |
| Return on equity | 0.0% | 33.9% |
| Debt to equity | 0.26 | 0.36 |
| P/E | 2739.8x | 6.2x |
| Forward P/E | 13.3x | 11.8x |
| P/B | 1.0x | 1.8x |