Market Overview - The market recovery that began in early April continued throughout the third quarter, with small and micro-cap value stocks posting their strongest quarterly returns since Q4 2023 [2] - Small caps resumed upward momentum after a four-year pause, reaching new highs and breaking the price level peak of 2021, indicating the early stages of a multi-year outperformance cycle for low valuation equities and smaller market caps [2] Technology Sector Insights - The Technology sector's weighting in the S&P 500 increased to 34.8%, significantly above its earnings contribution, indicating crowded ownership and market valuation expansion [3][6] - The Technology sector is nearing its all-time high weighting of 34.9% from March 2000, with forward price-to-earnings multiples above 30x, compared to the 20-year historical average of 18.3x [6][7] - The price-to-sales multiple for the Technology sector is approaching 10x revenue, with the "Magnificent 7" companies nearing 13x, highlighting elevated valuations [8] Valuation Discrepancies - There are significant valuation spreads between low valuation equities and longer duration/technology equities, with Deep Value Select strategy's valuation multiples at over a 70% discount to the S&P 500 Index [10][12] - The small cap sector is emerging from a multi-year earnings recession, with expected earnings growth in 2026 anticipated to outpace larger companies [12] Performance of Deep Value Strategy - The Deep Value Select strategy achieved a quarterly return of +26.50%, outperforming the S&P 1500 Value Index and S&P 600 Value Index [14] - Year-to-date, the Deep Value Select strategy net returns are +9.20%, slightly behind the S&P 1500 Value Index [14] - Ten of the twelve holdings in the strategy delivered positive double-digit returns, with Nabors Industries being the largest contributor, up 46% [16] Company-Specific Highlights - Nabors Industries is undergoing a multi-year transformation focused on technology, with over 450 patents and a strong balance sheet following the sale of its Quail Tools business for $600 million [16][19] - Bread Financial, despite a 2% decline in market share price, has improved its capital ratios and reduced debt significantly, positioning itself for long-term financial targets [20]

Accessibility StatementSkip Navigation HAMILTON, Bermuda, Oct. 15, 2025 /PRNewswire/ -- Borr Drilling Limited (NYSE: BORR) plans to release its financial results for the third quarter of 2025 after the close of the New York Stock Exchange on Wednesday, 5 November 2025. A conference call and webcast are scheduled for 10:00 AM New York time (16:00 CET) on Thursday, 6 November 2025 and participants are encouraged to dial in 10 minutes before the start of the call. Â Webcast Replay:After the live call, a replay ...

Company Overview - Borr Drilling Limited (NYSE:BORR) is an offshore shallow-water drilling contractor specializing in the ownership, operation, and contracting of modern jack-up drilling rigs for oil and gas exploration and production [3] Financial Performance - For the fiscal second quarter of 2025, Borr Drilling reported revenue of $267.70 million, which represents a year-over-year decrease of 1.54% but exceeded expectations by $5.46 million [2] - The earnings per share (EPS) for the same quarter was $0.14, surpassing estimates by $0.04 [2] Market Reaction and Analyst Ratings - Following the earnings release on August 13, the stock price increased by more than 9.5% [1] - Despite the positive earnings report, analysts have a cautious outlook; Truls Olsen from Fearnley Securities downgraded the stock to Hold with a price target of $2.5, and Scott Gruber from Citi initiated coverage with a Hold rating and a price target of $3.25 [2]

Company Overview - Precision Drilling Corporation is a leading provider of safe and environmentally responsible services to the energy industry, offering access to an extensive fleet of Super Series drilling rigs [4] - The company has commercialized an industry-leading digital technology portfolio known as Alpha™, which utilizes advanced automation software and analytics to deliver efficient, predictable, and repeatable results for energy customers [4] - Precision also provides well service rigs, camps, and rental equipment, supported by a comprehensive mix of technical support services and skilled personnel [4] Upcoming Financial Results - Precision intends to release its 2025 third quarter results after the market closes on October 22, 2025 [1] - A conference call is scheduled for October 23, 2025, at 11:00 a.m. MT (1:00 p.m. ET) to discuss the results [1] - Participants can register for the conference call to receive a dial-in number and unique PIN for questions [1][2] Webcast and Replay - The conference call will also be webcast, and a replay will be available on Precision's website for 12 months [2]

ADES Holding has announced revised terms for its proposed merger with Shelf Drilling, increasing the cash consideration by 28% to Nkr18.50 ($1.88) per share. This adjustment comes after discussions with Shelf Drilling's senior management and a review of market fundamentals. In a statement to Tadawul, ADES Holding announced that the revised offer has garnered binding commitments, including ADES' own share, which accounts for 53.4% of the votes in favour of the merger. This represents a substantial increa ...

Group 1 - Borr Drilling Limited's CEO, Bruno Morand, will present at the Pareto Securities' 32nd annual Energy Conference on September 10, 2025, in Oslo, Norway [1] - A copy of the presentation is available on the company's website [1] - The company has announced new contract commitments for two of its premium jack-up rigs [3]

Shares of Nabors, one of the world’s biggest suppliers of land drilling rigs, jumped by the most in more than five months after announcing it was selling its drill pipe rental business Quail Tools to Superior https://t.co/D7pudyMG2X ...

Core Insights - The article emphasizes the importance of value investing, highlighting the strategy of identifying undervalued companies in the market [2] - Zacks has developed a Style Scores system to categorize stocks, with a focus on the "Value" category for value investors [3] Company Analysis: Precision Drilling (PDS) - Precision Drilling currently holds a Zacks Rank of 1 (Strong Buy) and a Value grade of A, indicating strong potential for value investors [4] - The Forward P/E ratio for PDS is 10.46, significantly lower than the industry average of 24.89, suggesting it may be undervalued [4] - Over the past year, PDS's Forward P/E has fluctuated between 4.90 and 12.48, with a median of 6.84, indicating volatility in valuation [4] - The P/B ratio for PDS is 0.6, which is lower than the industry average of 0.87, further supporting the notion of undervaluation [5] - PDS's P/S ratio stands at 0.53, compared to the industry's average of 0.71, reinforcing its attractiveness as a value stock [6] - Overall, the combination of these metrics suggests that Precision Drilling is likely undervalued and presents a strong investment opportunity for value investors [7]

The drilling industry, especially in the U.S., is facing a tough near-term outlook. Rig counts have continued to drop since the April tariff panic, and the market expects things to get even worse in 2026. That's exactly when contrarian investors should pay Analyst's Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Short position through short-selling of the stock, or purchase of put options or similar derivatives in NBR ove ...

Core Insights - The energy sector is highlighted as a key area for investment, particularly due to recent oil inventory data indicating significant supply-demand dynamics [1][2][3] Oil Inventory and Market Dynamics - The U.S. oil inventory has seen its largest decline since December 2024, suggesting reduced need for oil storage amid economic slowdowns [3] - This decline in inventory could lead to price spikes if new demand emerges, indicating potential bottlenecks in the market [3] Company-Specific Insights Transocean Ltd. - Transocean's stock is currently priced at $2.76, with a 12-month price forecast of $4.58, representing a 66.24% upside [5] - The stock is trading at only 44% of its 52-week high, indicating that it has absorbed negative news, positioning it well for recovery as oil prices rise [6] - Analysts project a potential earnings per share (EPS) increase from a current net loss of $0.10 to $0.06, supporting the bullish outlook [8] Helmerich & Payne Inc. - Helmerich & Payne's stock is currently at $16.69, with a 12-month price forecast of $27.73, also indicating a 66.18% upside [10] - Institutional investment has increased significantly, with Vanguard Group acquiring a stake worth $286.2 million, representing 11% of the company [10] - Analysts forecast an EPS increase from $0.02 to $0.76 for the second quarter of 2025, reflecting confidence in the drilling sector [13] Occidental Petroleum Co. - Occidental Petroleum's stock is currently priced at $42.57, with a 12-month price forecast of $53.14, indicating a 24.82% upside [14] - There has been a 4.5% decline in short interest, suggesting a shift in investor sentiment towards bullishness [15] - Institutional buying has surged, with $1.1 billion in the most recent quarter and $1.7 billion in the previous quarter, indicating strong confidence in the stock and the energy sector [16]