** Citigroup starts coverage on oilfield services provider Borr Drilling BORR.N with "neutral" rating, PT $3.25

** New price target represents a ~6% upside to the stock's last close

** "Following ~18 months of moderation, we see stability ahead, but a stronger crude price backdrop is likely needed for rate inflation" - Citigroup

** Brokerage says that M&A could accelerate deleveraging, but adds "that path isn’t clear at the moment"

** 4 of 8 brokerages rate the stock "buy" or higher, 4 "hold"; their median PT is $2.8 - data compiled by LSEG

** As of last close, stock down 21% YTD

(Reporting by Dharna Bafna in Bengaluru)

((Dharna.bafna@thomsonreuters.com))