Archer (STU:8SW) Forward Rate of Return (Yacktman) %: 9.93% (As of Mar. 2026) — 98% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

STU:8SW Archer Ltd STU:8SW
44 GF Score
Price €2.26
GF Value €1.30
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is Archer Forward Rate of Return (Yacktman) %?

Archer STU:8SW +0.22% 44 Forward Rate of Return (Yacktman) % is 9.93% as of Mar. 2026, which is 98% below its 10-year median of 400.34. GuruFocus rates STU:8SW with a GF Score™ of 44/100 and a GF Value™ of €1.30 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 608 Oil & Gas companies, Archer ranks worse than 51.15% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Archer's forward rate of return for was 9.93%.

The historical rank and industry rank for Archer's Forward Rate of Return (Yacktman) % or its related term are showing as below:

STU:8SW' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 13.07   Med: 400.34   Max: 603.93
Current: 13.07

During the past 13 years, Archer's highest Forward Rate of Return was 603.93. The lowest was 13.07. And the median was 400.34.

STU:8SW's Forward Rate of Return (Yacktman) % is ranked worse than
51.15% of 608 companies
in the Oil & Gas industry
Industry Median: 13.235 vs STU:8SW: 13.07

Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Archer  (STU:8SW) Forward Rate of Return (Yacktman) % Explanation

Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.

For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.


Be Aware

In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.


Archer Forward Rate of Return (Yacktman) % Related Terms


Archer Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Archer's Forward Rate of Return (Yacktman) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Archer Forward Rate of Return (Yacktman) % Chart

Archer Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Forward Rate of Return (Yacktman) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 17.90

Archer Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Forward Rate of Return (Yacktman) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 41.78 20.97 17.90 9.93

STU:8SW vs NE, RIG, VAL: Forward Rate of Return (Yacktman) % Comparison

For the Oil & Gas Drilling subindustry, Archer's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Archer Forward Rate of Return (Yacktman) % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Archer's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Archer's Forward Rate of Return (Yacktman) % falls into.


STU:8SW
44GF Score
Archer Ltd STU:8SW
Forward Rate of Return (Yacktman) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Archer Forward Rate of Return (Yacktman) % Calculation

Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):

If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.

The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).

Archer's Forward Rate of Return of Mar. 2026 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0.91619048/2.42+-0.299
=7.96 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Forward Rate of Return (Yacktman) % of 9.93% mean?
Archer (STU:8SW) has a Forward Rate of Return (Yacktman) % of 9.93% as of Mar. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Archer and its competitors. This is 98% below median its historical median of 400.34. Over the past decade, Archer's Forward Rate of Return (Yacktman) % has ranged from 13.07 to 603.93. According to the industry distribution chart, Archer ranks #311 out of 608 companies in the Oil & Gas industry, placing it in the top 51.2%.
Is Archer's Forward Rate of Return (Yacktman) % too high?
Archer's current Forward Rate of Return (Yacktman) % of 9.93% is 98% below median its 10-year median of 400.34. Over the past 10 years, this metric has ranged from a low of 13.07 to a high of 603.93. The Oil & Gas industry median Forward Rate of Return (Yacktman) % is 13.24. Archer's value of 9.93% is 25% below this industry median. Based on the distribution chart, Archer ranks #311 out of 608 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, Archer has a GF Score™ of 44/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Archer's Forward Rate of Return (Yacktman) % compare to NE and RIG?
According to the Oil & Gas industry distribution chart, Archer ranks #311 out of 608 companies for Forward Rate of Return (Yacktman) %. This places Archer in the lower half of its industry. The industry median Forward Rate of Return (Yacktman) % is 13.24. Archer's value of 9.93% is 25% below this benchmark. Historically, Archer's own Forward Rate of Return (Yacktman) % has ranged from 13.07 to 603.93 over the past decade. While the company's 10-year median is 400.34 vs. the industry median of 13.24, Archer has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward Rate of Return (Yacktman) % for an Oil & Gas company?
The median Forward Rate of Return (Yacktman) % among Oil & Gas companies is 13.24, based on 608 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Archer's current Forward Rate of Return (Yacktman) % of 9.93% is 25% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Archer and its competitors. For the Oil & Gas industry, the median Forward Rate of Return (Yacktman) % is 13.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Archer's current Forward Rate of Return (Yacktman) % is 9.93%, which is 98% below median its own 10-year median of 400.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Archer stock overvalued right now?
Based on GuruFocus' analysis, Archer (STU:8SW) is currently considered Significantly Overvalued. The stock's GF Value™ is €1.30, compared to a current price of €2.26 — trading 73.8% above its estimated fair value. The current Forward Rate of Return (Yacktman) % is 9.93%, which is 98% below median its 10-year median of 400.34 and 25% below the Oil & Gas industry median of 13.24. Archer's overall GF Score™ is 44/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For Archer (STU:8SW), the current Forward Rate of Return (Yacktman) % is 9.93% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Archer (STU:8SW) Overvalued in 2026?

Based on GuruFocus' analysis, Archer stock appears to be overvalued. The current stock price of €2.26 is trading 73.8% above its estimated GF Value™ of €1.30. GuruFocus considers Archer to be Significantly Overvalued.

Key valuation signals for STU:8SW:

  • Forward Rate of Return (Yacktman) %: 9.93% (98% below median its 10-year median of 400.34)
  • GF Value™: €1.30 vs. price of €2.26 (73.8% above fair value)
  • GF Score™: 44/100 with 2 warning signs
  • Industry Position: 25% below the Oil & Gas median (#311 of 608)

No single metric tells the full story. See the STU:8SW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Archer Business Description

Industry EnergyOil & Gas
Address Sandnesveien 358, Sandnes, NOR, 4312
Archer Ltd is an international oilfield service company providing various oilfield products and services through its area organizations. Its services include platform drilling, land drilling, directional drilling, underbalanced drilling, modular rigs, engineering services, equipment rentals, wireline services, pressure control, pressure pumping, production monitoring, well imaging, and integrity management tools. The reporting segments of the company are Platform Operations, Well Services, Renewables, and Land Drilling. The majority of revenue is derived from the Platform Operations segment. The Platform Operations segment includes Platform Drilling, Modular rig, and Engineering services.
44GF Score

Get the complete analysis for STU:8SW

Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€2.26
Price
€1.30
GF Value