Dalal Street LLC Takes Position in Transocean Ltd. $RIG

Key Points

• Dalal Street LLC acquired 24,442,332 shares of Transocean (NYSE: RIG) in Q3 — about $76.3 million — making RIG ~22.6% of the fund’s portfolio and its third-largest holding, with the fund owning ~2.22% of the company.
• Company insiders have been net sellers recently (CEO Keelan Adamson sold 58,687 shares at $5.00; EVP Roderick Mackenzie sold 78,370 at $6.36), insiders offloaded 159,903 shares (~$906k) in the last 90 days, while analysts are mixed and MarketBeat shows a consensus "Reduce" rating with an average price target of $6.38 as the stock trades near $5.93 after a recent earnings miss.

Dalal Street LLC acquired a new position in shares of Transocean Ltd. (NYSE:RIG - Free Report) in the 3rd quarter, according to its most recent disclosure with the SEC. The fund acquired 24,442,332 shares of the offshore drilling services provider's stock, valued at approximately $76,260,000. Transocean comprises approximately 22.6% of Dalal Street LLC's investment portfolio, making the stock its 3rd largest position. Dalal Street LLC owned about 2.22% of Transocean at the end of the most recent reporting period.

Several other large investors have also recently bought and sold shares of RIG. Integrated Wealth Concepts LLC boosted its position in shares of Transocean by 12.1% during the 1st quarter. Integrated Wealth Concepts LLC now owns 69,637 shares of the offshore drilling services provider's stock worth $221,000 after acquiring an additional 7,520 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in shares of Transocean by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 434,031 shares of the offshore drilling services provider's stock worth $1,376,000 after acquiring an additional 18,957 shares in the last quarter. Goldman Sachs Group Inc. lifted its stake in Transocean by 88.9% during the first quarter. Goldman Sachs Group Inc. now owns 12,151,817 shares of the offshore drilling services provider's stock worth $38,521,000 after purchasing an additional 5,719,637 shares during the last quarter. Teacher Retirement System of Texas boosted its holdings in Transocean by 38.1% in the second quarter. Teacher Retirement System of Texas now owns 165,411 shares of the offshore drilling services provider's stock valued at $428,000 after purchasing an additional 45,610 shares in the last quarter. Finally, Bank of Montreal Can increased its stake in Transocean by 6.4% in the second quarter. Bank of Montreal Can now owns 159,347 shares of the offshore drilling services provider's stock valued at $413,000 after purchasing an additional 9,527 shares during the last quarter. Hedge funds and other institutional investors own 67.73% of the company's stock.

Insider Transactions at Transocean

In related news, CEO Keelan Adamson sold 58,687 shares of the business's stock in a transaction dated Tuesday, January 27th. The stock was sold at an average price of $5.00, for a total value of $293,435.00. Following 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 position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, EVP Roderick James Mackenzie sold 78,370 shares of the company's stock in a transaction that occurred on Wednesday, March 4th. The shares were sold at an average price of $6.36, for a total value of $498,433.20. Following the sale, the executive vice president directly owned 268,025 shares of the company's stock, valued at approximately $1,704,639. This represents a 22.62% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 159,903 shares of company stock valued at $906,098 over the last ninety days. Corporate insiders own 12.54% of the company's stock.

Transocean Stock Performance

Shares of RIG opened at $5.93 on Monday. The company's 50 day simple moving average is $5.21 and its 200-day simple moving average is $4.21. The firm has a market cap of $6.54 billion, a PE ratio of -1.88 and a beta of 1.40. Transocean Ltd. has a 12-month low of $1.97 and a 12-month high of $6.96. The company has a current ratio of 1.56, a quick ratio of 1.27 and a debt-to-equity ratio of 0.64.

Transocean (NYSE:RIG - Get Free Report) last issued its quarterly earnings results on Thursday, February 19th. The offshore drilling services provider reported $0.02 earnings per share for the quarter, missing analysts' consensus estimates of $0.09 by ($0.07). Transocean had a positive return on equity of 0.41% and a negative net margin of 73.52%.The business had revenue of $1.04 billion for the quarter, compared to analyst estimates of $1.03 billion. During the same quarter in the prior year, the company earned ($0.09) EPS. The firm's revenue for the quarter was up 9.6% on a year-over-year basis. As a group, equities analysts predict that Transocean Ltd. will post 0.14 EPS for the current year.

Analysts Set New Price Targets

RIG has been the subject of several recent analyst reports. JPMorgan Chase & Co. restated an "underweight" rating on shares of Transocean in a research report on Wednesday, December 10th. BTIG Research increased their target price on shares of Transocean from $6.00 to $10.00 and gave the company a "buy" rating in a research report on Monday, February 9th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Transocean in a research note on Thursday, January 22nd. Susquehanna upped their price objective on shares of Transocean from $6.50 to $7.50 and gave the company a "positive" rating in a research note on Monday, February 23rd. Finally, Barclays lowered Transocean from an "overweight" rating to an "equal weight" rating and raised their price objective for the stock from $4.50 to $6.00 in a report on Wednesday, February 18th. Two analysts have rated the stock with a Buy rating, four have issued a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat, Transocean has a consensus rating of "Reduce" and an average price target of $6.38.

Transocean 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.

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