Zacks Research Brokers Cut Earnings Estimates for Transocean

Key Points

• Zacks Research cut Transocean’s Q3 2026 EPS estimate to $0.03 from $0.04; full-year consensus EPS is $0.13, with FY2028 EPS estimated at $0.06.
• Transocean’s latest quarter showed a $0.03 per-share loss, missing the $0.07 consensus estimate, although revenue of $1.08 billion exceeded expectations and rose 19.3% year over year.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and a $6.82 price target; shares recently opened at $5.32, while institutional investors own 67.73% of the stock.

Transocean Ltd. (NYSE:RIG - Free Report) - Stock analysts at Zacks Research reduced their Q3 2026 earnings per share estimates for shares of Transocean in a report issued on Thursday, July 30th. Zacks Research analyst Team now anticipates that the offshore drilling services provider will post earnings per share of $0.03 for the quarter, down from their prior estimate of $0.04. The consensus estimate for Transocean's current full-year earnings is $0.13 per share. Zacks Research also issued estimates for Transocean's FY2028 earnings at $0.06 EPS.

Transocean (NYSE:RIG - Get Free Report) last announced its quarterly earnings data on Monday, May 4th. The offshore drilling services provider reported ($0.03) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.10). The business had revenue of $1.08 billion during the quarter, compared to the consensus estimate of $1.02 billion. Transocean had a negative net margin of 66.79% and a positive return on equity of 0.88%. The business's revenue was up 19.3% compared to the same quarter last year. During the same period last year, the company earned ($0.10) EPS.

A number of other equities analysts also recently issued reports on the company. Susquehanna dropped their price target on Transocean from $8.00 to $7.00 and set a "positive" rating on the stock in a research report on Wednesday, July 8th. TD Cowen increased their price objective on Transocean from $5.50 to $6.00 and gave the company a "hold" rating in a report on Wednesday, May 6th. Weiss Ratings restated a "sell (d-)" rating on shares of Transocean in a research note on Friday, July 17th. Barclays raised Transocean from an "equal weight" rating to an "overweight" rating and lifted their target price for the stock from $6.00 to $8.00 in a report on Thursday, May 7th. Finally, Morgan Stanley increased their price target on Transocean from $5.00 to $7.00 and gave the stock an "equal weight" rating in a research report on Wednesday, April 15th. Three investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $6.82.

Transocean Price Performance

Transocean stock opened at $5.32 on Monday. Transocean has a 1 year low of $2.72 and a 1 year high of $7.66. The stock has a market cap of $5.93 billion, a price-to-earnings ratio of -1.78, a price-to-earnings-growth ratio of 3.79 and a beta of 1.32. The firm has a 50-day moving average of $5.50 and a two-hundred day moving average of $5.88. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.54 and a quick ratio of 1.20.

Institutional Trading of Transocean

A number of hedge funds and other institutional investors have recently modified their holdings of RIG. Wealthcare Advisory Partners LLC purchased a new stake in shares of Transocean during the 2nd quarter valued at approximately $52,000. Assenagon Asset Management S.A. acquired a new stake in Transocean during the 2nd quarter worth approximately $37,477,000. Hardin Capital Partners LLC acquired a new stake in shares of Transocean in the second quarter valued at $54,000. NewEdge Advisors LLC boosted its stake in shares of Transocean by 64.9% in the 1st quarter. NewEdge Advisors LLC now owns 276,083 shares of the offshore drilling services provider's stock valued at $1,830,000 after buying an additional 108,631 shares during the period. Finally, Kentucky Retirement Systems acquired a new position in Transocean during the 1st quarter worth approximately $186,000. 67.73% of the stock is owned by institutional investors and hedge funds.

Insider Activity

In other news, Director Chad C. Deaton purchased 35,000 shares of the company's stock in a transaction that occurred on Thursday, July 2nd. The stock was purchased at an average cost of $4.95 per share, for a total transaction of $173,250.00. Following the completion of the transaction, the director owned 237,421 shares of the company's stock, valued at $1,175,233.95. This trade represents a 17.29% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. 9.70% of the stock is owned by corporate insiders.

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.

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