Transocean (NYSE:RIG) Reaches New 52-Week Low - Should You Sell?

Transocean Ltd. (NYSE:RIG - Get Free Report) hit a new 52-week low during trading on Friday . The stock traded as low as $2.27 and last traded at $2.34, with a volume of 13815386 shares trading hands. The stock had previously closed at $2.72.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on RIG. SEB Equity Research set a $2.80 price target on Transocean in a research note on Wednesday, March 5th. Citigroup cut their price target on shares of Transocean from $4.50 to $3.50 and set a "neutral" rating on the stock in a report on Wednesday, March 19th. Evercore ISI lowered shares of Transocean from an "outperform" rating to an "in-line" rating and decreased their price objective for the stock from $6.00 to $5.00 in a research note on Wednesday, January 15th. Morgan Stanley reduced their target price on Transocean from $5.00 to $4.00 and set an "equal weight" rating for the company in a report on Thursday, March 27th. Finally, Barclays lowered their price target on Transocean from $4.00 to $3.50 and set an "overweight" rating on the stock in a report on Monday. Two equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and three have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average target price of $4.98.

Transocean Stock Performance

The company has a quick ratio of 1.34, a current ratio of 1.47 and a debt-to-equity ratio of 0.60. The stock has a market cap of $2.12 billion, a P/E ratio of -3.29, a price-to-earnings-growth ratio of 0.86 and a beta of 2.29. The firm's 50-day moving average is $3.14 and its two-hundred day moving average is $3.78.

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

Insider Activity at Transocean

In related news, EVP Roderick James Mackenzie sold 22,000 shares of Transocean stock in a transaction on Tuesday, February 11th. The shares were sold at an average price of $3.85, for a total value of $84,700.00. Following the transaction, the executive vice president now owns 313,072 shares in the company, valued at $1,205,327.20. This trade represents a 6.57 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. 13.16% of the stock is owned by company insiders.

Hedge Funds Weigh In On Transocean

Several large investors have recently made changes to their positions in the business. 180 Wealth Advisors LLC lifted its holdings in shares of Transocean by 40.1% during the first quarter. 180 Wealth Advisors LLC now owns 163,531 shares of the offshore drilling services provider's stock worth $518,000 after buying an additional 46,795 shares during the last quarter. Parallel Advisors LLC boosted its holdings in Transocean by 154.8% in the 1st quarter. Parallel Advisors LLC now owns 8,810 shares of the offshore drilling services provider's stock valued at $28,000 after purchasing an additional 5,353 shares during the period. 111 Capital acquired a new stake in Transocean in the 4th quarter worth $272,000. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in shares of Transocean during the fourth quarter valued at about $627,000. Finally, B. Riley Wealth Advisors Inc. bought a new position in Transocean during the fourth quarter valued at about $117,000. 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.