Is Valaris Ltd. overvalued or undervalued?

As of 7 July 2025, Valaris Ltd. has moved from expensive to fair in its valuation grade, indicating a more favorable assessment of its market position. The company appears fairly valued based on its current metrics, with a P/E ratio of 9, an EV to EBITDA of 5.90, and a Price to Book Value of 1.34. In comparison to peers, Noble Corp. Plc has a P/E of 12.39 and an EV to EBITDA of 5.09, while Transocean Ltd. shows a P/E of 12.87 and an EV to EBITDA of 7.16, suggesting that Valaris is competitively priced within its industry.
Despite a recent one-year return of -5.16%, which underperformed the S&P 500's 17.14%, the year-to-date performance of 19.3% outpaces the index's 12.22%, reinforcing the notion that Valaris is positioned well in the short term. Overall, the valuation metrics and peer comparisons support the conclusion that Valaris Ltd. is fairly valued at this time.