Why are Institutional Investors Interested in Buying Transocean Ltd. (RIG)?

Transocean Ltd. (NYSE: RIG) is -80.38% lower on its value in year-to-date trading and has touched a low of $0.76 and a high of $7.28 in the current 52-week trading range. The RIG stock was last observed hovering at around $1.25 in the last trading session, with the day’s gains setting it 0.1% off its average median price target of $1.88 for the next 12 months. It is also 73.0% off the consensus price target high of $5.00 offered by 22 analysts, but current levels are -1250.0% lower than the price target low of $0.10 for the same period.

Currently trading at $1.35, the stock is -30.03% and -31.33% below its SMA20 and SMA50 respectively. However, with a daily trading volume of 32.04 million and changing 8.00% at the moment leaves the stock -55.59% off its SMA200. RIG registered -70.52% loss for a year compared to 6-month loss of -61.97%. The firm has a 50-day simple moving average (SMA 50) of $14.54% and a 200-day simple moving average (SMA200) of $90.76M.

The stock witnessed a -35.10% gain in the last 1 month and extending the period to 3 months gives it a -2.88%, and is 18.42% up over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 11.60% over the week and 11.64% over the month.

Transocean Ltd. (RIG) has around 6600 employees, a market worth around $768.30M and $3.27B in sales. Profit margin for the company is -54.10%. Distance from 52-week low is 77.21% and -81.46% from its 52-week high. The company has generated returns on investments over the last 12 months (-3.80%).

Transocean Ltd. (RIG) Analyst Forecasts

Analyst recommendations provided by FactSet shows that the consensus forecast for Transocean Ltd. (RIG) is a “Underweight”. 22 analysts offering their recommendations for the stock have an average rating of 3.40, where 11 rate it as a Hold and 0 think it is a “Overweight”. 2 of the analysts rate the stock as a “Buy”. 7 analysts have rated the stock as a Sell or Underperform.

Transocean Ltd. is expected to release its quarterly report on 10/28/2020 and quarterly earnings per share for the current quarter are estimated at -$0.19 with sales reaching $771.64M over the same period.The EPS is expected to grow by 49.70% this year, but quarterly earnings will post 0.60% year-over-year. Quarterly sales are estimated to shrink -0.60% in year-over-year returns.

Transocean Ltd. (RIG) Top Institutional Holders

509 institutions hold shares in Transocean Ltd. (RIG), with 35.36M shares held by insiders accounting for 5.75% while institutional investors hold 78.40% of the company’s shares. The shares outstanding are 615.00M, and float is at 579.26M with Short Float at 15.43%. Institutions hold 73.89% of the Float.

The top institutional shareholder in the company is Blackrock Inc. with over 69.61 million shares valued at $127.39 million. The investor’s holdings represent 11.33% of the RIG Shares outstanding. As of Jun 29, 2020, the second largest holder is Vanguard Group, Inc. (The) with 59.26 million shares valued at $108.45 million to account for 9.64% of the shares outstanding. The other top investors are Primecap Management Company which holds 49.9 million shares representing 8.12% and valued at over $91.31 million, while State Street Corporation holds 3.55% of the shares totaling 21.81 million with a market value of $39.91 million.

Transocean Ltd. (RIG) Insider Activity

A total of 27 insider transactions have happened at Transocean Ltd. (RIG) in the last six months, with sales accounting for 6 and purchases happening 21 times. The most recent transaction is an insider purchase by CHANG VANESSA C L, the company’s Director. SEC filings show that CHANG VANESSA C L bought 5,000 shares of the company’s common stock on Mar 11 at a price of $1.45 per share for a total of $7250.0. Following the purchase, the insider now owns 36900.0 shares.

Transocean Ltd. disclosed in a document filed with the SEC on Mar 09 that MULLER EDWARD R (Director) bought a total of 6,000 shares of the company’s common stock. The trade occurred on Mar 09 and was made at $1.71 per share for $10289.0. Following the transaction, the insider now directly holds 12647.0 shares of the RIG stock.

Still, SEC filings show that on Mar 06, CHANG VANESSA C L (Director) acquired 5,000 shares at an average price of $2.83 for $14150.0. The insider now directly holds 31,900 shares of Transocean Ltd. (RIG).

Transocean Ltd. (RIG): Who are the competitors?

The company’s main competitors (and peers) include Nabors Industries Ltd. (NBR) that is trading -55.59% down over the past 12 months.