Valaris Gets Target Bump from Citi as Offshore Execution Holds Steady

Valaris is one of the best oil drilling stocks according to hedge funds, backed by a recent rating adjustment from Wall Street. On July 11, Citigroup maintained a Neutral rating on the stock but raised its price target from $47 to $50. The move signals growing confidence in Valaris’s ability to navigate the offshore cycle, even as conditions remain mixed.

Analyst Scott Gruber pointed to Valaris’s modern fleet and a strong slate of recent contract wins as key reasons for the target bump. He noted that while macro softness is still weighing on day rates, Valaris’s utilization trends and operational execution offer a base for potential upside once pricing firms.

Valaris Gets Target Bump from Citi as Offshore Execution Holds Steady

Oil platform

Valaris (NYSE: VAL) is a pure-play offshore driller with a global fleet of high-spec drillships, semisubmersibles, and jackups. The company serves deepwater markets across the Gulf of Mexico, North Sea, West Africa, and the Middle East, with most of its revenue tied directly to drilling operations.

While we acknowledge the potential of VAL to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VAL and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None.