Transocean (NYSE:RIG) Stock Price Up 5.3% – Here’s Why

Transocean Ltd. (NYSE:RIG) shares rose 5.3% during mid-day trading on Friday. The company traded as high as $6.29 and last traded at $6.4050. 3,168,961 shares changed hands during mid-day trading, a decline of 92% from the average session volume of 40,577,801 shares. The stock had previously closed at $6.08.

Wall Street Analyst Weigh In

Several brokerages have recently commented on RIG. Zacks Research upgraded Transocean from a “hold” rating to a “strong-buy” rating in a research note on Monday, October 5th. Barclays dropped their price target on Transocean from $8.00 to $7.00 and set an “overweight” rating on the stock in a research note on Wednesday, August 12th. Susquehanna cut their price target on Transocean from $8.00 to $7.00 and set a “positive” rating for the company in a report on Wednesday, July 8th. Fearnley Fonds raised Transocean from a “hold” rating to a “strong-buy” rating in a report on Friday, August 7th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Transocean in a research report on Thursday, October 15th. Two investment analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating, four have assigned a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, Transocean currently has an average rating of “Hold” and an average target price of $6.68.

Transocean Stock Performance

The company’s fifty day simple moving average is $5.67 and its two-hundred day simple moving average is $5.80. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.27 and a current ratio of 1.59. The stock has a market capitalization of $7.27 billion, a P/E ratio of -3.46, a PEG ratio of 4.47 and a beta of 1.41.

Transocean (NYSE:RIG) last issued its quarterly earnings data on Wednesday, August 5th. The offshore drilling services provider reported $0.03 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.01 by $0.02. Transocean had a positive return on equity of 2.60% and a negative net margin of 40.24%. The company had revenue of $966.00 million during the quarter, compared to analysts’ expectations of $956.64 million. During the same quarter in the previous year, the company posted ($1.06) earnings per share. The business’s revenue was down 2.2% on a year-over-year basis. As a group, equities analysts forecast that Transocean Ltd. will post 0.18 EPS for the current year.

Institutional Trading of Transocean

Several hedge funds have recently added to or reduced their stakes in RIG. Wedbush Securities Inc. bought a new stake in Transocean in the 3rd quarter valued at $54,000. Sterling Capital Management LLC acquired a new position in Transocean in the 3rd quarter valued at $101,000. Root Financial Partners LLC acquired a new position in Transocean in the 3rd quarter valued at $48,000. Hartford Financial Management Inc. bought a new position in Transocean during the 3rd quarter worth $31,000. Finally, Hosking Partners LLP bought a new position in Transocean during the 3rd quarter worth $5,505,000. 67.73% of the stock is owned by institutional investors and hedge funds.

Transocean Company Profile

Transocean Ltd. is an offshore drilling contractor that provides drilling services to international oil and gas companies. The company specializes in ultra-deepwater and harsh-environment drilling, helping customers explore for and develop offshore energy resources.

Transocean owns and operates a fleet of mobile offshore drilling units, including ultra-deepwater drillships and semisubmersible rigs. Its services generally include contract drilling, rig operations, well-construction support, and related offshore drilling management.

With roots tracing back to the 1920s, Transocean serves customers in major offshore energy regions around the world.