Transocean (NYSE:RIG) Stock Price Crosses Above 200 Day Moving Average – Should You Sell?

Transocean Ltd. (NYSE:RIG) crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $5.53 and traded as high as $6.36. Transocean shares last traded at $6.1850, with a volume of 36,965,370 shares changing hands.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on RIG. Clarkson Capital downgraded shares of Transocean from a “strong-buy” rating to a “hold” rating in a research note on Thursday, March 19th. Barclays raised shares of Transocean from an “equal weight” rating to an “overweight” rating and raised their target price for the company from $6.00 to $8.00 in a research note on Thursday, May 7th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Transocean in a research note on Tuesday, April 21st. TD Cowen raised their price target on Transocean from $5.50 to $6.00 and gave the company a “hold” rating in a report on Wednesday, May 6th. Finally, Pareto Securities downgraded Transocean from a “hold” rating to a “sell” rating and set a $5.25 price target for the company. in a report on Tuesday, February 10th. Three analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, Transocean has a consensus rating of “Hold” and an average price target of $6.96.

Transocean Stock Down 1.0%

The company has a market cap of $6.91 billion, a P/E ratio of -2.08 and a beta of 1.28. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.54 and a quick ratio of 1.20. The company’s 50-day moving average is $6.54 and its two-hundred day moving average is $5.53.

Transocean (NYSE:RIG) last announced its quarterly earnings results on Monday, May 4th. The offshore drilling services provider reported ($0.03) earnings per share for the quarter, missing the consensus estimate of $0.07 by ($0.10). The firm had revenue of $1.08 billion for 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%. Transocean’s revenue was up 19.3% on a year-over-year basis. During the same period last year, the business earned ($0.10) EPS. As a group, equities analysts predict that Transocean Ltd. will post 0.19 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Transocean

Several large investors have recently bought and sold shares of the business. Vanguard Group Inc. increased its holdings in Transocean by 2.6% in the 4th quarter. Vanguard Group Inc. now owns 97,006,263 shares of the offshore drilling services provider’s stock worth $400,636,000 after buying an additional 2,487,015 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in Transocean by 12.3% in the 1st quarter. Dimensional Fund Advisors LP now owns 48,819,576 shares of the offshore drilling services provider’s stock worth $323,682,000 after buying an additional 5,349,264 shares in the last quarter. Dalal Street LLC grew its position in Transocean by 10.6% in the 4th quarter. Dalal Street LLC now owns 27,040,133 shares of the offshore drilling services provider’s stock worth $111,676,000 after purchasing an additional 2,597,801 shares during the period. American Century Companies Inc. grew its position in Transocean by 12.8% in the 3rd quarter. American Century Companies Inc. now owns 26,456,554 shares of the offshore drilling services provider’s stock worth $82,544,000 after purchasing an additional 3,006,786 shares during the period. Finally, Morgan Stanley grew its position in Transocean by 9.4% in the 4th quarter. Morgan Stanley now owns 24,790,325 shares of the offshore drilling services provider’s stock worth $102,384,000 after purchasing an additional 2,135,964 shares during the period. 67.73% of the stock is currently owned by institutional investors.

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.