Morgan Stanley Forecasts Strong Price Appreciation for Transocean (NYSE:RIG) Stock

by · The Markets Daily

Transocean (NYSE:RIG – Get Free Report) had its price target raised by equities researchers at Morgan Stanley from $4.50 to $5.00 in a research report issued to clients and investors on Monday,Benzinga reports. The brokerage presently has an “equal weight” rating on the offshore drilling services provider’s stock. Morgan Stanley’s price target points to a potential downside of 23.14% from the stock’s current price.

Other research analysts also recently issued reports about the company. Susquehanna upped their price objective on Transocean from $6.50 to $7.50 and gave the stock a “positive” rating in a research note on Monday. Pareto Securities downgraded shares of Transocean from a “hold” rating to a “sell” rating and set a $5.25 price objective on the stock. in a research report on Tuesday, February 10th. Fearnley Fonds cut shares of Transocean from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, February 10th. JPMorgan Chase & Co. restated an “underweight” rating on shares of Transocean in a research note on Wednesday, December 10th. Finally, BTIG Research boosted their price objective on Transocean from $6.00 to $10.00 and gave the stock a “buy” rating in a research report on Monday, February 9th. Two investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus price target of $5.86.

Get Our Latest Stock Analysis on RIG

Transocean Stock Performance

Shares of NYSE RIG traded down $0.02 during midday trading on Monday, hitting $6.51. The company’s stock had a trading volume of 27,084,320 shares, compared to its average volume of 52,687,227. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.27 and a current ratio of 1.56. Transocean has a 1-year low of $1.97 and a 1-year high of $6.96. The firm’s fifty day moving average price is $4.75 and its 200-day moving average price is $3.97. The firm has a market cap of $7.16 billion, a P/E ratio of -2.07 and a beta of 1.45.

Transocean (NYSE:RIG – Get Free Report) last issued its earnings results on Thursday, February 19th. The offshore drilling services provider reported $0.02 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.07). The business had revenue of $1.04 billion during the quarter, compared to the consensus estimate of $1.03 billion. Transocean had a positive return on equity of 0.41% and a negative net margin of 73.52%.The business’s revenue was up 9.6% on a year-over-year basis. During the same period in the prior year, the business earned ($0.09) EPS. On average, sell-side analysts forecast that Transocean will post 0.14 EPS for the current fiscal year.

Insider Transactions at Transocean

In other Transocean news, CEO Keelan Adamson sold 58,687 shares of the business’s stock in a transaction dated Tuesday, January 27th. The shares were sold at an average price of $5.00, for a total value of $293,435.00. Following the sale, the chief executive officer directly owned 1,222,182 shares in the company, valued at approximately $6,110,910. The trade was a 4.58% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Roderick James Mackenzie sold 35,000 shares of the firm’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $4.48, for a total transaction of $156,800.00. Following the transaction, the executive vice president owned 212,072 shares of the company’s stock, valued at approximately $950,082.56. This trade represents a 14.17% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 712,970 shares of company stock valued at $3,152,132. Company insiders own 12.54% of the company’s stock.

Institutional Trading of Transocean

Large investors have recently added to or reduced their stakes in the business. Fruth Investment Management lifted its position in shares of Transocean by 2.8% during the 4th quarter. Fruth Investment Management now owns 90,378 shares of the offshore drilling services provider’s stock valued at $373,000 after acquiring an additional 2,500 shares during the last quarter. Annandale Capital LLC increased its stake in Transocean by 17.7% in the 4th quarter. Annandale Capital LLC now owns 16,600 shares of the offshore drilling services provider’s stock worth $69,000 after purchasing an additional 2,500 shares in the last quarter. Jones Financial Companies Lllp raised its holdings in Transocean by 9.0% during the 3rd quarter. Jones Financial Companies Lllp now owns 35,604 shares of the offshore drilling services provider’s stock worth $114,000 after buying an additional 2,932 shares during the period. J.W. Cole Advisors Inc. lifted its stake in Transocean by 3.5% during the third quarter. J.W. Cole Advisors Inc. now owns 100,634 shares of the offshore drilling services provider’s stock valued at $314,000 after buying an additional 3,367 shares in the last quarter. Finally, Moors & Cabot Inc. boosted its holdings in shares of Transocean by 14.7% in the second quarter. Moors & Cabot Inc. now owns 27,350 shares of the offshore drilling services provider’s stock worth $71,000 after buying an additional 3,500 shares during the period. 67.73% of the stock is currently owned by institutional investors.

Transocean Company Profile

(Get Free Report)

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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