Transocean (NYSE:RIG) Shares Up 7.2% - Should You Buy?

Shares of Transocean Ltd. (NYSE:RIG - Get Free Report) rose 7.2% during trading on Tuesday . The company traded as high as $2.91 and last traded at $2.91. Approximately 16,821,396 shares were traded during trading, a decline of 56% from the average daily volume of 37,941,168 shares. The stock had previously closed at $2.71.

Analyst Upgrades and Downgrades

RIG has been the topic of a number of research analyst reports. Citigroup decreased their price objective on shares of Transocean from $4.50 to $3.50 and set a "neutral" rating on the stock in a report on Wednesday, March 19th. BTIG Research set a $5.00 price objective on shares of Transocean and gave the stock a "buy" rating in a report on Monday, May 5th. Susquehanna decreased their price objective on shares of Transocean from $5.00 to $4.00 and set a "positive" rating on the stock in a report on Monday, April 14th. Barclays decreased their price objective on shares of Transocean from $4.00 to $3.50 and set an "overweight" rating on the stock in a report on Monday, April 7th. Finally, Morgan Stanley decreased their price objective on shares of Transocean from $4.00 to $3.50 and set an "equal weight" rating on the stock in a report on Friday, May 16th. One equities research analyst has rated the stock with a sell rating, six have given a hold rating and four have given a buy rating to the company. According to MarketBeat.com, Transocean has an average rating of "Hold" and a consensus price target of $4.58.

Transocean Trading Up 0.5%

The business's 50-day moving average price is $2.72 and its two-hundred day moving average price is $3.05. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.33 and a quick ratio of 1.06. The firm has a market cap of $2.54 billion, a price-to-earnings ratio of -3.03, a price-to-earnings-growth ratio of 1.89 and a beta of 2.50.

Transocean (NYSE:RIG - Get Free Report) last posted its quarterly earnings data on Monday, April 28th. The offshore drilling services provider reported ($0.10) earnings per share for the quarter, beating analysts' consensus estimates of ($0.12) by $0.02. The business had revenue of $906.00 million during the quarter, compared to analyst estimates of $884.92 million. Transocean had a negative net margin of 18.79% and a negative return on equity of 0.94%. The company's revenue was up 18.7% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.03) earnings per share. Equities analysts expect that Transocean Ltd. will post 0.14 earnings per share for the current year.

Insider Buying and Selling at Transocean

In other news, EVP Roderick James Mackenzie sold 22,000 shares of the business's stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $2.78, for a total value of $61,160.00. Following the completion of the transaction, the executive vice president owned 340,841 shares of the company's stock, valued at $947,537.98. The trade was a 6.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 12.27% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Transocean

Institutional investors and hedge funds have recently bought and sold shares of the stock. Twin Tree Management LP acquired a new position in Transocean during the fourth quarter worth approximately $27,000. Parallel Advisors LLC increased its position in Transocean by 154.8% during the first quarter. Parallel Advisors LLC now owns 8,810 shares of the offshore drilling services provider's stock worth $28,000 after purchasing an additional 5,353 shares during the last quarter. Optiver Holding B.V. increased its position in Transocean by 53.6% during the fourth quarter. Optiver Holding B.V. now owns 8,400 shares of the offshore drilling services provider's stock worth $32,000 after purchasing an additional 2,933 shares during the last quarter. Townsend & Associates Inc acquired a new position in Transocean during the first quarter worth approximately $32,000. Finally, Costello Asset Management INC acquired a new position in Transocean during the first quarter worth approximately $32,000. Institutional investors and hedge funds own 67.73% of the company's stock.

About Transocean

Transocean Ltd., together with its subsidiaries, provides offshore contract drilling services for oil and gas wells worldwide. It contracts mobile offshore drilling rigs, related equipment, and work crews to drill oil and gas wells. The company operates a fleet of mobile offshore drilling units, consisting of ultra-deepwater floaters and harsh environment floaters.