Transocean (NYSE:RIG) Trading Down 5.9% – Here’s What Happened

Transocean Ltd. (NYSE:RIG) shares dropped 5.9% during mid-day trading on Thursday . The company traded as low as $6.94 and last traded at $6.9050. Approximately 18,069,539 shares were traded during trading, a decline of 57% from the average daily volume of 41,869,531 shares. The stock had previously closed at $7.34.

Wall Street Analysts Forecast Growth

RIG has been the topic of a number of recent research reports. TD Cowen increased their price target on Transocean from $5.50 to $6.00 and gave the stock a “hold” rating in a research report on Wednesday, May 6th. Clarkson Capital downgraded Transocean from a “strong-buy” rating to a “hold” rating in a research report on Thursday, March 19th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Transocean in a research report on Tuesday, April 21st. BTIG Research raised their price objective on Transocean from $6.00 to $10.00 and gave the company a “buy” rating in a research report on Monday, February 9th. Finally, Barclays raised Transocean from an “equal weight” rating to an “overweight” rating and raised their price objective for the company from $6.00 to $8.00 in a research report on Thursday, May 7th. Three research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, Transocean presently has an average rating of “Hold” and a consensus price target of $6.96.

Transocean Stock Performance

The stock has a market capitalization of $7.60 billion, a PE ratio of -2.28 and a beta of 1.34. The company has a quick ratio of 1.20, a current ratio of 1.54 and a debt-to-equity ratio of 0.60. The firm has a 50 day moving average price of $6.54 and a 200-day moving average price of $5.39.

Transocean (NYSE:RIG) last announced its quarterly earnings data on Monday, May 4th. The offshore drilling services provider reported ($0.03) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.10). The firm had revenue of $1.08 billion during the quarter, compared to analysts’ expectations of $1.02 billion. Transocean had a positive return on equity of 0.88% and a negative net margin of 66.79%.The company’s revenue for the quarter was up 19.3% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.10) earnings per share. Research analysts expect that Transocean Ltd. will post 0.19 EPS for the current fiscal year.

Insider Activity at Transocean

In other news, EVP Roderick James Mackenzie sold 78,370 shares of the business’s stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $6.36, for a total value of $498,433.20. Following the completion of the sale, the executive vice president directly owned 268,025 shares in the company, valued at $1,704,639. The trade was a 22.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 9.70% of the stock is owned by company insiders.

Institutional Trading of Transocean

A number of institutional investors and hedge funds have recently made changes to their positions in RIG. EverSource Wealth Advisors LLC boosted its stake in shares of Transocean by 27.0% in the first quarter. EverSource Wealth Advisors LLC now owns 6,536 shares of the offshore drilling services provider’s stock worth $43,000 after acquiring an additional 1,391 shares during the last quarter. Fruth Investment Management lifted its stake in shares of Transocean by 2.8% in the 4th quarter. Fruth Investment Management now owns 90,378 shares of the offshore drilling services provider’s stock valued at $373,000 after purchasing an additional 2,500 shares during the last quarter. Annandale Capital LLC lifted its stake in shares of Transocean by 17.7% in the 4th quarter. Annandale Capital LLC now owns 16,600 shares of the offshore drilling services provider’s stock valued at $69,000 after purchasing an additional 2,500 shares during the last quarter. Jones Financial Companies Lllp lifted its stake in shares of Transocean by 9.0% in the 3rd quarter. Jones Financial Companies Lllp now owns 35,604 shares of the offshore drilling services provider’s stock valued at $114,000 after purchasing an additional 2,932 shares during the last quarter. Finally, J.W. Cole Advisors Inc. lifted its stake in shares of Transocean by 3.5% in the 3rd quarter. J.W. Cole Advisors Inc. now owns 100,634 shares of the offshore drilling services provider’s stock valued at $314,000 after purchasing an additional 3,367 shares during the last quarter. 67.73% of the stock is currently owned by hedge funds and other institutional investors.

About Transocean

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.