Transocean (NYSE:RIG) Sets New 12-Month Low – Time to Sell?

Transocean Ltd. (NYSE:RIG)’s stock price reached a new 52-week low during mid-day trading on Friday . The company traded as low as $2.27 and last traded at $2.34, with a volume of 13815386 shares. The stock had previously closed at $2.72.

Wall Street Analyst Weigh In

A number of research firms recently commented on RIG. Evercore ISI downgraded shares of Transocean from an “outperform” rating to an “in-line” rating and dropped their target price for the stock from $6.00 to $5.00 in a report on Wednesday, January 15th. Morgan Stanley cut their target price on shares of Transocean from $5.00 to $4.00 and set an “equal weight” rating on the stock in a research note on Thursday, March 27th. Citigroup dropped their price target on Transocean from $4.50 to $3.50 and set a “neutral” rating on the stock in a research report on Wednesday, March 19th. TD Cowen decreased their price objective on Transocean from $6.50 to $5.50 and set a “hold” rating for the company in a research report on Wednesday, January 8th. Finally, Barclays dropped their target price on Transocean from $4.50 to $4.00 and set an “overweight” rating on the stock in a report on Tuesday, February 25th. Two research analysts have rated the stock with a sell rating, six have given a hold rating and three have assigned a buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $5.03.

Transocean Price Performance

The company has a current ratio of 1.47, a quick ratio of 1.34 and a debt-to-equity ratio of 0.60. The stock has a market cap of $1.89 billion, a P/E ratio of -2.94, a price-to-earnings-growth ratio of 0.86 and a beta of 2.72. The company’s fifty day simple moving average is $3.30 and its 200-day simple moving average is $3.85.

Transocean (NYSE:RIG) last announced its quarterly earnings results on Monday, February 17th. The offshore drilling services provider reported ($0.09) EPS for the quarter, missing the consensus estimate of $0.02 by ($0.11). The company had revenue of $952.00 million during the quarter, compared to analyst estimates of $962.28 million. Transocean had a negative net margin of 14.53% and a negative return on equity of 0.52%. As a group, sell-side analysts forecast that Transocean Ltd. will post 0.14 EPS for the current year.

Insider Buying and Selling at Transocean

In other Transocean news, EVP Roderick James Mackenzie sold 22,000 shares of the business’s stock in a transaction dated Tuesday, February 11th. The shares were sold at an average price of $3.85, for a total value of $84,700.00. Following the completion of the transaction, the executive vice president now directly owns 313,072 shares of the company’s stock, valued at approximately $1,205,327.20. The trade was a 6.57 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 12.54% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of RIG. Twin Tree Management LP acquired a new stake in shares of Transocean in the 4th quarter valued at $27,000. Optiver Holding B.V. increased its position in Transocean by 53.6% in 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 period. Blue Trust Inc. raised its holdings in Transocean by 96.2% during the 4th quarter. Blue Trust Inc. now owns 9,841 shares of the offshore drilling services provider’s stock worth $37,000 after purchasing an additional 4,826 shares during the last quarter. Adero Partners LLC bought a new position in shares of Transocean in the 4th quarter valued at about $38,000. Finally, Stratos Wealth Partners LTD. bought a new stake in shares of Transocean during the fourth quarter worth approximately $40,000. Institutional investors 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.