Transocean (NYSE:RIG) Hits New 1-Year Low – Should You Sell?

Transocean Ltd. (NYSE:RIG) hit a new 52-week low on Monday . The stock traded as low as $2.92 and last traded at $2.93, with a volume of 3693944 shares. The stock had previously closed at $2.95.

Wall Street Analyst Weigh In

RIG has been the topic of a number of analyst reports. TD Cowen lowered their price objective on shares of Transocean from $6.50 to $5.50 and set a “hold” rating on the stock in a research report on Wednesday, January 8th. Evercore ISI downgraded Transocean from an “outperform” rating to an “in-line” rating and decreased their price target for the company from $6.00 to $5.00 in a research note on Wednesday, January 15th. Benchmark reaffirmed a “hold” rating on shares of Transocean in a report on Tuesday, December 3rd. Barclays reduced their target price on Transocean from $4.50 to $4.00 and set an “overweight” rating for the company in a report on Tuesday, February 25th. Finally, JPMorgan Chase & Co. raised shares of Transocean from an “underweight” rating to a “neutral” rating and set a $5.00 price target on the stock in a research note on Friday, December 6th. Two analysts have rated the stock with a sell rating, six have assigned a hold rating and three have given a buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $5.75.

Transocean Price Performance

The company has a debt-to-equity ratio of 0.60, a quick ratio of 1.34 and a current ratio of 1.47. The stock has a market capitalization of $2.40 billion, a PE ratio of -3.75, a P/E/G ratio of 0.86 and a beta of 2.70. The company’s fifty day simple moving average is $3.70 and its two-hundred day simple moving average is $4.09.

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

Insider Transactions at Transocean

In other news, EVP Roderick James Mackenzie sold 22,000 shares of Transocean stock in a transaction dated Tuesday, February 11th. The shares were sold at an average price of $3.85, for a total transaction of $84,700.00. Following the completion of the sale, the executive vice president now directly owns 313,072 shares in the company, valued at $1,205,327.20. The trade was a 6.57 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Insiders own 13.16% of the company’s stock.

Institutional Trading of Transocean

A number of hedge funds have recently bought and sold shares of RIG. International Assets Investment Management LLC lifted its stake in shares of Transocean by 335.3% during the 3rd quarter. International Assets Investment Management LLC now owns 196,699 shares of the offshore drilling services provider’s stock worth $836,000 after purchasing an additional 151,507 shares during the period. Harbor Capital Advisors Inc. lifted its position in Transocean by 19.0% during the third quarter. Harbor Capital Advisors Inc. now owns 33,442 shares of the offshore drilling services provider’s stock worth $142,000 after buying an additional 5,344 shares during the period. Atria Investments Inc acquired a new stake in Transocean in the 3rd quarter worth about $51,000. Kailix Advisors LLC grew its holdings in Transocean by 59.9% in the 3rd quarter. Kailix Advisors LLC now owns 6,620,451 shares of the offshore drilling services provider’s stock valued at $28,137,000 after buying an additional 2,481,059 shares during the period. Finally, State of New Jersey Common Pension Fund D increased its stake in shares of Transocean by 15.6% during the 3rd quarter. State of New Jersey Common Pension Fund D now owns 399,110 shares of the offshore drilling services provider’s stock valued at $1,696,000 after acquiring an additional 53,774 shares during the last quarter. Institutional investors and hedge funds own 67.73% of the company’s stock.

Transocean Company Profile

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.