Transocean (NYSE:RIG) Hits New 12-Month High – Should You Buy?

Shares of Transocean Ltd. (NYSE:RIG) reached a new 52-week high on Tuesday . The company traded as high as $5.01 and last traded at $4.90, with a volume of 35950661 shares trading hands. The stock had previously closed at $4.83.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the company. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Transocean in a research report on Thursday, January 22nd. Morgan Stanley set a $4.50 target price on shares of Transocean in a report on Monday, December 15th. Susquehanna increased their price target on shares of Transocean from $4.50 to $5.00 and gave the company a “positive” rating in a report on Wednesday, January 7th. Barclays raised their price target on shares of Transocean from $4.00 to $4.50 and gave the company an “overweight” rating in a research report on Wednesday, November 5th. Finally, Citigroup upped their price objective on Transocean from $4.25 to $4.50 and gave the company a “neutral” rating in a research report on Thursday, December 11th. Three analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $4.38.

Transocean Trading Down 1.9%

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 stock’s 50-day moving average is $4.27 and its two-hundred day moving average is $3.63. The company has a market cap of $5.36 billion, a P/E ratio of -1.48 and a beta of 1.36.

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

Insider Buying and Selling

In other Transocean news, Director Perestroika bought 1,500,000 shares of the business’s stock in a transaction that occurred on Monday, November 24th. The stock was bought at an average cost of $4.02 per share, for a total transaction of $6,030,000.00. Following the completion of the transaction, the director owned 96,574,894 shares of the company’s stock, valued at $388,231,073.88. This represents a 1.58% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Keelan Adamson sold 58,687 shares of the stock in a transaction that occurred on Tuesday, January 27th. The stock was sold at an average price of $5.00, for a total transaction of $293,435.00. Following the completion of the transaction, the chief executive officer owned 1,222,182 shares in the company, valued at $6,110,910. The trade was a 4.58% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 766,739 shares of company stock valued at $3,359,680 in the last 90 days. Insiders own 12.54% of the company’s stock.

Hedge Funds Weigh In On Transocean

A number of institutional investors have recently bought and sold shares of the stock. TD Waterhouse Canada Inc. grew its holdings in Transocean by 22,432.1% during the fourth quarter. TD Waterhouse Canada Inc. now owns 6,309 shares of the offshore drilling services provider’s stock valued at $26,000 after purchasing an additional 6,281 shares during the period. Josh Arnold Investment Consultant LLC bought a new stake in Transocean during the 2nd quarter worth approximately $26,000. Blume Capital Management Inc. boosted its position in shares of Transocean by 125.9% in the second quarter. Blume Capital Management Inc. now owns 10,560 shares of the offshore drilling services provider’s stock worth $27,000 after purchasing an additional 5,885 shares during the period. Blueshift Asset Management LLC purchased a new stake in shares of Transocean in the second quarter worth $27,000. Finally, Flagship Harbor Advisors LLC bought a new stake in shares of Transocean during the 4th quarter valued at $27,000. 67.73% of the stock is owned by institutional investors.

Transocean Company Profile

Transocean Ltd. is a leading international provider of offshore contract drilling services for the oil and gas industry. The company specializes in the operation of mobile drilling units, including ultra-deepwater drillships, semisubmersible rigs and high-specification jackup rigs. Transocean’s fleet is designed to meet complex drilling requirements, from ultra-deepwater well construction to shelf exploration and development projects.

The company’s core services encompass the full spectrum of offshore drilling operations, including project and engineering management, marine operations, drilling supervision, and maintenance support.