Transocean (NYSE:RIG) Hits New 1-Year High – Here’s Why

Transocean Ltd. (NYSE:RIG) shares hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $4.55 and last traded at $4.5350, with a volume of 8808402 shares traded. The stock had previously closed at $4.44.

Analyst Ratings Changes

A number of analysts recently weighed in on the stock. Barclays raised their target price on shares of Transocean from $4.00 to $4.50 and gave the stock an “overweight” rating in a report on Wednesday, November 5th. Weiss Ratings restated a “sell (d-)” rating on shares of Transocean in a report on Wednesday, October 8th. Finally, Citigroup raised their target price on shares of Transocean from $3.50 to $4.25 and gave the stock a “neutral” rating in a report on Friday, November 14th. Three research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Transocean presently has an average rating of “Hold” and a consensus target price of $4.32.

Transocean Trading Up 1.2%

The company has a debt-to-equity ratio of 0.60, a current ratio of 1.08 and a quick ratio of 0.91. The company has a fifty day moving average of $3.81 and a 200-day moving average of $3.25. The firm has a market capitalization of $4.95 billion, a PE ratio of -1.37 and a beta of 1.39.

Transocean (NYSE:RIG) last announced its quarterly earnings results on Wednesday, October 29th. The offshore drilling services provider reported $0.06 EPS for the quarter, beating the consensus estimate of $0.04 by $0.02. Transocean had a positive return on equity of 0.45% and a negative net margin of 75.71%.The business had revenue of ($1,894.00) million during the quarter, compared to analysts’ expectations of $1.01 billion. The company’s revenue was up 8.4% on a year-over-year basis. On average, sell-side analysts anticipate that Transocean Ltd. will post 0.14 earnings per share for the current fiscal year.

Insider Activity at Transocean

In other news, CEO Keelan Adamson sold 57,968 shares of the business’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $4.50, for a total value of $260,856.00. Following the completion of the sale, the chief executive officer directly owned 1,303,715 shares in the company, valued at approximately $5,866,717.50. The trade was a 4.26% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Frederik Wilhelm Mohn purchased 4,000,000 shares of the stock in a transaction dated Friday, September 26th. The stock was acquired at an average cost of $3.05 per share, for a total transaction of $12,200,000.00. Following the completion of the transaction, the director owned 95,074,894 shares of the company’s stock, valued at $289,978,426.70. The trade was a 4.39% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Over the last 90 days, insiders have acquired 11,000,000 shares of company stock valued at $36,460,000 and have sold 726,148 shares valued at $3,115,783. 12.27% of the stock is currently owned by company insiders.

Institutional Trading of Transocean

A number of hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. raised its position in shares of Transocean by 19.3% during the third quarter. Vanguard Group Inc. now owns 94,519,248 shares of the offshore drilling services provider’s stock valued at $294,900,000 after buying an additional 15,315,289 shares during the last quarter. Dimensional Fund Advisors LP raised its holdings in shares of Transocean by 1.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 40,660,439 shares of the offshore drilling services provider’s stock worth $128,894,000 after buying an additional 651,843 shares in the last quarter. American Century Companies Inc. lifted its position in shares of Transocean by 12.8% during the 3rd quarter. American Century Companies Inc. now owns 26,456,554 shares of the offshore drilling services provider’s stock worth $82,544,000 after buying an additional 3,006,786 shares during the period. Dalal Street LLC bought a new stake in Transocean in the third quarter valued at $76,260,000. Finally, Two Sigma Investments LP grew its holdings in shares of Transocean by 0.3% in the 3rd quarter. Two Sigma Investments LP now owns 18,636,188 shares of the offshore drilling services provider’s stock worth $58,145,000 after purchasing an additional 64,305 shares during the last quarter. 67.73% of the stock is owned by institutional investors.

Transocean Company Profile

Transocean Ltd., together with its subsidiaries, provides offshore contract drilling services for oil and gas wells worldwide. It contracts mobile offshore drilling rigs, related equipment, and work crews to drill oil and gas wells. The company operates a fleet of mobile offshore drilling units, consisting of ultra-deepwater floaters and harsh environment floaters.