COPENHAGEN—APMH Invest A/S, a significant shareholder in Noble Corp plc (NYSE:NE), has increased its stake in the company through a series of transactions, purchasing shares worth approximately $46.1 million. The transactions, which occurred on November 6 and 7, involved the acquisition of A Ordinary Shares at prices ranging from $33.28 to $35.54 per share.
The purchases, detailed in a recent SEC filing, show APMH Invest acquiring a total of 1,261,000 shares. Following these transactions, APMH Invest's total holdings in Noble Corp increased to 30,350,703 shares. APMH Invest is a wholly owned subsidiary of A.P. Moller Holding A/S, which itself is controlled by the A.P. Moller Foundation, a Danish commercial foundation.
In other recent news, Noble Corporation has expressed optimism following the successful acquisition of Diamond Offshore, as reported in its Third Quarter 2024 Earnings Conference Call. The company highlighted the addition of 41 rigs and a $2 billion increase in backlog due to the acquisition, along with significant shareholder returns through dividends and share repurchases. Noble's adjusted EBITDA for Q3 stood at $291 million, with free cash flow at $165 million, and projected Q4 revenue between $850 million and $890 million.
Despite not providing guidance for the upcoming period, the company anticipates a strong contracting environment and a significant reduction in capital expenditures post-2024. The company has also identified growth opportunities in the Golden Triangle, South America, and West Africa.
In addition to the Diamond acquisition, Noble has completed $360 million in share repurchases, with a new $400 million buyback announced. The company has a strong backlog, with $500 million expected to convert to revenue in 2024 and $2.6 billion for 2025. These recent developments point towards a positive future outlook for Noble Corporation.
InvestingPro Insights
The recent share purchases by APMH Invest A/S align with several positive indicators for Noble Corp (NYSE:NE). According to InvestingPro data, Noble Corp's market capitalization stands at $5.51 billion, reflecting its significant presence in the offshore drilling industry. The company's financial health appears robust, with a price-to-earnings (P/E) ratio of 9.88, suggesting a potentially undervalued stock relative to its earnings.
Noble Corp's revenue growth is noteworthy, with a 13.79% increase in quarterly revenue as of Q3 2024. This growth is complemented by a strong EBITDA margin of 23.5% over the last twelve months, indicating efficient operations and cost management.
An InvestingPro Tip highlights that Noble Corp has been profitable over the last twelve months, which is particularly relevant given APMH Invest's increased stake. This profitability, coupled with the company's liquid assets exceeding short-term obligations, as noted in another InvestingPro Tip, suggests a solid financial foundation that may have influenced the investor's decision to increase its holdings.
The company's dividend yield of 5.67% and impressive dividend growth of 66.67% over the last twelve months could be additional factors attracting investor interest. However, it's worth noting that the stock has experienced a 21.44% price decline over the past year, which may have presented a buying opportunity for APMH Invest.
For investors seeking a more comprehensive analysis, InvestingPro offers 6 additional tips for Noble Corp, providing deeper insights into the company's financial health and market position.
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