Subsea 7 (OTCMKTS:SUBCY) Sees Strong Trading Volume - Still a Buy?

Key Points

• Subsea 7 experienced a significant increase in trading volume, with approximately 42,616 shares exchanged, marking a 487% rise from the previous day's volume.
• Analysts have mixed opinions on Subsea 7, with ratings ranging from "outperform" by UBS to a downgrade from "moderate buy" to "hold" by Royal Bank of Canada, but the stock holds an average rating of "Moderate Buy."
• The company reported earnings per share of $0.45 for the last quarter, exceeding the analysts' expectations of $0.34, and has recently increased its dividend significantly, yielding 529.0%.

Shares of Subsea 7 SA (OTCMKTS:SUBCY - Get Free Report) saw unusually-strong trading volume on Wednesday . Approximately 42,616 shares changed hands during trading, an increase of 487% from the previous session's volume of 7,259 shares.The stock last traded at $19.32 and had previously closed at $19.00.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on SUBCY shares. Royal Bank Of Canada cut Subsea 7 from a "moderate buy" rating to a "hold" rating in a research report on Friday, August 1st. UBS Group restated an "outperform" rating on shares of Subsea 7 in a research report on Thursday, May 1st. Finally, Wall Street Zen upgraded Subsea 7 from a "hold" rating to a "buy" rating in a research report on Tuesday, August 5th. Three research analysts have rated the stock with a hold rating, two have given a buy rating and one has given a strong buy rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy".

Subsea 7 Stock Performance

The company has a 50-day moving average of $18.99 and a 200 day moving average of $16.70. The company has a quick ratio of 1.02, a current ratio of 1.04 and a debt-to-equity ratio of 0.12. The firm has a market capitalization of $5.82 billion, a PE ratio of 21.65 and a beta of 1.43.

Subsea 7 (OTCMKTS:SUBCY - Get Free Report) last posted its earnings results on Thursday, July 31st. The energy company reported $0.45 EPS for the quarter, topping the consensus estimate of $0.34 by $0.11. Subsea 7 had a return on equity of 6.12% and a net margin of 3.80%. The business had revenue of $1.76 billion during the quarter, compared to analysts' expectations of $1.84 billion. Equities research analysts predict that Subsea 7 SA will post 0.86 EPS for the current year.

Subsea 7 Increases Dividend

The company also recently disclosed a dividend, which was paid on Thursday, May 22nd. Stockholders of record on Friday, May 16th were issued a $0.5822 dividend. This represents a dividend yield of 529.0%. The ex-dividend date was Thursday, May 15th. This is an increase from Subsea 7's previous dividend of $0.28. Subsea 7's dividend payout ratio (DPR) is currently 130.34%.

Subsea 7 Company Profile

Subsea 7 SA delivers offshore projects and services for the energy industry worldwide. It provides subsea field development products and services, including project management, design and engineering, procurement, fabrication, survey, installation, and commissioning of production facilities on the seabed and the tie-back of its facilities to fixed or floating platforms or to the shore.