DOF Group (OB:DOFG) Could Be 8% Undervalued As Record EBITDA Lifts Backlog
DOF Group (OB:DOFG) has drawn fresh attention after reporting Q2 2026 earnings, with sales of US$678 million, net income of US$146 million and basic EPS from continuing operations of US$0.59.
See our latest analysis for DOF Group.
At a share price of NOK133.6, DOF Group has seen a 9.15% 1 month share price return and a 39.17% year to date share price return. The 1 year total shareholder return of 56.53% points to momentum building around its record EBITDA and recent subsea contract wins.
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Bulls see DOF Group's backlog, fleet upgrades and contract wins as justification for the recent share price strength. Bears point to execution risk and uncertainty around projects scheduled for 2027. Which side does the current valuation support?
Most Popular Narrative: 8.4% Undervalued
Against the last close of NOK133.6, the most followed narrative implies a fair value of NOK145.80 for DOF Group, built around long dated offshore contracts and integrated subsea services.
Recent multi-year contract wins with Petrobras and other clients, combined with significant increases in day rates (some up 30%) have boosted DOF Group's backlog above $4 billion, substantially de-risking near-term earnings and supporting revenue growth through at least 2030.
Want to see what sits behind that backlog number? The narrative focuses on steady revenue growth, firm margins and a future earnings multiple above today. It is worth examining which assumptions really carry the fair value.
Result: Fair Value of NOK145.80 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, DOF Group's heavy exposure to Brazil and ongoing high debt and capital needs could quickly challenge this undervalued narrative if conditions become less supportive.
Find out about the key risks to this DOF Group narrative.
Next Steps
The mix of optimism and concern around DOF Group is clear, so it makes sense to check the data directly and decide where you stand. To see both sides in one place, review the 3 key rewards and 2 important warning signs
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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