Transocean (NYSE:RIG) Shares Gap Up – Should You Buy?

Transocean Ltd. (NYSE:RIG)’s stock price gapped up before the market opened on Wednesday . The stock had previously closed at $3.67, but opened at $3.78. Transocean shares last traded at $3.80, with a volume of 3,825,413 shares traded.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on RIG shares. Barclays raised Transocean from an “equal weight” rating to an “overweight” rating and set a $4.50 price target for the company in a report on Wednesday. Susquehanna dropped their target price on shares of Transocean from $7.00 to $6.50 and set a “positive” rating for the company in a research report on Friday, November 1st. DNB Markets raised Transocean from a “hold” rating to a “buy” rating in a research report on Tuesday, September 3rd. Benchmark reissued a “hold” rating on shares of Transocean in a report on Tuesday, December 3rd. Finally, StockNews.com upgraded Transocean to a “sell” rating in a research note on Tuesday, November 12th. Two equities research analysts have rated the stock with a sell rating, four have issued a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $6.25.

Transocean Stock Performance

The company has a debt-to-equity ratio of 0.64, a current ratio of 1.64 and a quick ratio of 1.34. The firm has a market cap of $3.40 billion, a price-to-earnings ratio of -4.91 and a beta of 2.75. The firm’s 50 day moving average price is $4.22 and its 200-day moving average price is $4.72.

Insider Buying and Selling

In other Transocean news, EVP Roderick James Mackenzie sold 20,000 shares of the business’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $4.29, for a total value of $85,800.00. Following the completion of the transaction, the executive vice president now directly owns 310,857 shares of the company’s stock, valued at approximately $1,333,576.53. The trade was a 6.04 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. 13.16% of the stock is owned by company insiders.

Institutional Investors Weigh In On Transocean

A number of institutional investors and hedge funds have recently modified their holdings of RIG. Oppenheimer Asset Management Inc. raised its stake in shares of Transocean by 10.9% in the 3rd quarter. Oppenheimer Asset Management Inc. now owns 25,170 shares of the offshore drilling services provider’s stock valued at $107,000 after purchasing an additional 2,469 shares during the period. Northwestern Mutual Wealth Management Co. lifted its position in Transocean by 138.8% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 4,633 shares of the offshore drilling services provider’s stock worth $25,000 after buying an additional 2,693 shares in the last quarter. Kovitz Investment Group Partners LLC boosted its position in Transocean by 34.0% during the third quarter. Kovitz Investment Group Partners LLC now owns 15,877 shares of the offshore drilling services provider’s stock valued at $62,000 after purchasing an additional 4,027 shares during the last quarter. CWM LLC grew its stake in Transocean by 36.1% in the third quarter. CWM LLC now owns 17,065 shares of the offshore drilling services provider’s stock valued at $73,000 after purchasing an additional 4,529 shares in the last quarter. Finally, Verdence Capital Advisors LLC increased its holdings in Transocean by 19.8% during the second quarter. Verdence Capital Advisors LLC now owns 30,235 shares of the offshore drilling services provider’s stock worth $162,000 after buying an additional 5,000 shares during the last quarter. 67.73% of the stock is owned by institutional investors.

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.