Noble (NYSE:NE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Monday.
According to Zacks, “In this depressed pricing market, Noble Corporation faces uncertainty over its new contract flows and the dayrates. Oversupply of rigs is another major concern at a time when all contractors are cutting on their expenses. Additionally, the currently challenged offshore drilling space limits any potential upside. The recent early termination of rig contracts as well as cold stacking of rigs is likely to impact the company’s contract drilling revenues and costs going forward. The company’s high level of debt is a concern. Noble is also facing pressure on top line as its total revenues declined at a CAGR of 15.6% over the past three years (2014–2016).”
NE has been the topic of a number of other reports. Susquehanna Bancshares set a $5.00 price target on shares of Noble and gave the stock a “hold” rating in a research report on Friday, January 12th. Royal Bank of Canada set a $5.00 target price on shares of Noble and gave the stock a “hold” rating in a research note on Sunday, November 12th. Deutsche Bank initiated coverage on shares of Noble in a research note on Tuesday, October 10th. They set a “hold” rating and a $4.00 target price on the stock. Cowen set a $3.00 target price on shares of Noble and gave the stock a “hold” rating in a research note on Wednesday, October 18th. Finally, Barclays set a $4.00 target price on shares of Noble and gave the stock a “hold” rating in a research note on Tuesday, January 23rd. Eight research analysts have rated the stock with a sell rating, fifteen have assigned a hold rating and four have assigned a buy rating to the company’s stock. The company currently has a consensus rating of “Hold” and a consensus target price of $5.24.
Noble (NYSE:NE) last posted its quarterly earnings results on Thursday, November 2nd. The oil and gas company reported ($0.36) earnings per share for the quarter, hitting analysts’ consensus estimates of ($0.36). The firm had revenue of $266.20 million for the quarter, compared to analyst estimates of $269.61 million. Noble had a negative net margin of 136.22% and a negative return on equity of 3.94%. Noble’s quarterly revenue was down 30.9% on a year-over-year basis. During the same period in the previous year, the business posted ($0.23) earnings per share. equities analysts expect that Noble will post -1.18 EPS for the current fiscal year.
Several institutional investors have recently added to or reduced their stakes in the company. ProShare Advisors LLC increased its stake in Noble by 9.1% during the 2nd quarter. ProShare Advisors LLC now owns 48,685 shares of the oil and gas company’s stock worth $176,000 after buying an additional 4,047 shares during the period. California Public Employees Retirement System grew its holdings in Noble by 0.8% during the 2nd quarter. California Public Employees Retirement System now owns 1,470,919 shares of the oil and gas company’s stock worth $5,325,000 after acquiring an additional 11,000 shares in the last quarter. California State Teachers Retirement System grew its holdings in Noble by 2.8% during the 3rd quarter. California State Teachers Retirement System now owns 444,840 shares of the oil and gas company’s stock worth $2,046,000 after acquiring an additional 12,067 shares in the last quarter. Teachers Retirement System of The State of Kentucky grew its holdings in Noble by 26.5% during the 2nd quarter. Teachers Retirement System of The State of Kentucky now owns 69,700 shares of the oil and gas company’s stock worth $252,000 after acquiring an additional 14,590 shares in the last quarter. Finally, Rhumbline Advisers grew its holdings in Noble by 3.6% during the 3rd quarter. Rhumbline Advisers now owns 489,841 shares of the oil and gas company’s stock worth $2,253,000 after acquiring an additional 17,231 shares in the last quarter. 85.67% of the stock is currently owned by institutional investors and hedge funds.
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Noble Company Profile
Noble Corporation is an offshore drilling contractor for the oil and gas industry. The Company performs contract drilling services with its fleet of 79 mobile offshore drilling units and one floating production storage and offloading unit (NYSE:NE) located globally.
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