Transocean (NYSE:RIG) Raised to Strong-Buy at Fearnley Fonds

Key Points

• Fearnley Fonds upgraded Transocean to “strong buy” from “hold,” though broader analyst sentiment remains “Hold,” with a consensus price target of $6.82.
• Transocean’s shares opened at $5.26 and were up 2%; the stock has traded between $2.76 and $7.66 over the past year.
• The company beat quarterly expectations, reporting adjusted EPS of $0.03 versus estimates of $0.01 and revenue of $966 million, although revenue declined 2.2% year over year and net margin remained negative.

Transocean (NYSE:RIG - Get Free Report) was upgraded by equities research analysts at Fearnley Fonds from a "hold" rating to a "strong-buy" rating in a report issued on Friday,Zacks.com reports.

Several other equities research analysts also recently weighed in on the stock. TD Cowen raised their price target on shares of Transocean from $5.50 to $6.00 and gave the company a "hold" rating in a research report on Wednesday, May 6th. Morgan Stanley lifted their target price on Transocean from $5.00 to $7.00 and gave the stock an "equal weight" rating in a report on Wednesday, April 15th. Susquehanna decreased their price target on Transocean from $8.00 to $7.00 and set a "positive" rating for the company in a research note on Wednesday, July 8th. Barclays raised Transocean from an "equal weight" rating to an "overweight" rating and upped their price target for the company from $6.00 to $8.00 in a report on Thursday, May 7th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Transocean in a research report on Friday, July 17th. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, four have assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $6.82.

Transocean Stock Up 2.0%

Shares of NYSE:RIG opened at $5.26 on Friday. The stock has a fifty day simple moving average of $5.38 and a two-hundred day simple moving average of $5.90. The stock has a market capitalization of $5.88 billion, a price-to-earnings ratio of -2.80, a PEG ratio of 3.68 and a beta of 1.32. Transocean has a 12-month low of $2.76 and a 12-month high of $7.66. The company has a current ratio of 1.59, a quick ratio of 1.20 and a debt-to-equity ratio of 0.56.

Transocean (NYSE:RIG - Get Free Report) last released its earnings results on Wednesday, August 5th. The offshore drilling services provider reported $0.03 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 firm had revenue of $966.00 million for the quarter, compared to analysts' expectations of $956.64 million. During the same period in the prior year, the firm posted ($1.06) earnings per share. The company's quarterly revenue was down 2.2% on a year-over-year basis. On average, research analysts anticipate that Transocean will post 0.13 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, Director Chad C. Deaton purchased 35,000 shares of the stock in a transaction dated Thursday, July 2nd. The shares were purchased at an average cost of $4.95 per share, with a total value of $173,250.00. Following the acquisition, the director directly owned 237,421 shares of the company's stock, valued at $1,175,233.95. This represents a 17.29% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 9.70% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. TD Waterhouse Canada Inc. lifted its stake in shares of Transocean by 22,432.1% in the 4th quarter. TD Waterhouse Canada Inc. now owns 6,309 shares of the offshore drilling services provider's stock worth $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 second quarter valued at approximately $26,000. Flagship Harbor Advisors LLC bought a new stake in Transocean during the fourth quarter valued at approximately $27,000. Elevation Point Wealth Partners LLC purchased a new stake in Transocean during the third quarter valued at approximately $31,000. Finally, Larson Financial Group LLC raised its position in Transocean by 203.8% in the third quarter. Larson Financial Group LLC now owns 11,030 shares of the offshore drilling services provider's stock worth $34,000 after acquiring an additional 7,399 shares during the period. Institutional investors own 67.73% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source