Zacks: Analysts Expect Transocean LTD (NYSE:RIG) to Announce -$0.32 EPS

Brokerages predict that Transocean LTD (NYSE:RIG) will post earnings of ($0.32) per share for the current quarter, according to Zacks Investment Research. Five analysts have made estimates for Transocean’s earnings. The highest EPS estimate is ($0.03) and the lowest is ($0.47). Transocean posted earnings of ($0.04) per share in the same quarter last year, which suggests a negative year over year growth rate of 700%. The business is scheduled to report its next quarterly earnings results after the market closes on Monday, July 29th.

On average, analysts expect that Transocean will report full year earnings of ($0.95) per share for the current fiscal year, with EPS estimates ranging from ($1.40) to ($0.10). For the next financial year, analysts expect that the firm will post earnings of ($0.49) per share, with EPS estimates ranging from ($1.16) to $0.60. Zacks Investment Research’s earnings per share averages are a mean average based on a survey of sell-side analysts that that provide coverage for Transocean.

Transocean (NYSE:RIG) last released its quarterly earnings results on Monday, April 29th. The offshore drilling services provider reported ($0.30) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.29) by ($0.01). The firm had revenue of $754.00 million during the quarter, compared to the consensus estimate of $745.43 million. Transocean had a negative net margin of 62.97% and a negative return on equity of 2.70%. The firm’s quarterly revenue was up 13.6% on a year-over-year basis. During the same quarter in the prior year, the business posted ($0.48) earnings per share.

A number of equities research analysts have recently commented on RIG shares. ValuEngine cut shares of Welbilt from a “hold” rating to a “sell” rating in a research note on Wednesday, June 12th. Bank of America set a $77.00 target price on shares of Citigroup and gave the stock a “buy” rating in a research note on Monday, June 10th. Finally, Citigroup lowered their target price on shares of Broadcom from $320.00 to $300.00 and set a “buy” rating on the stock in a research note on Friday, June 14th. Five analysts have rated the stock with a sell rating, six have assigned a hold rating and nine have assigned a buy rating to the company. The stock presently has a consensus rating of “Hold” and an average price target of $12.61.

RIG traded down $0.27 during trading on Thursday, reaching $6.06. 20,707,297 shares of the company’s stock were exchanged, compared to its average volume of 14,364,872. Transocean has a 1 year low of $5.28 and a 1 year high of $14.47. The company has a debt-to-equity ratio of 0.70, a current ratio of 2.72 and a quick ratio of 2.37. The stock has a market capitalization of $3.85 billion, a PE ratio of -7.65 and a beta of 1.78. The stock has a fifty day moving average of $6.18.

In related news, SVP David A. Tonnel sold 16,561 shares of the company’s stock in a transaction that occurred on Monday, April 22nd. The stock was sold at an average price of $9.25, for a total value of $153,189.25. Following the completion of the transaction, the senior vice president now directly owns 111,936 shares of the company’s stock, valued at $1,035,408. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Howard E. Davis purchased 98,049 shares of the stock in a transaction that occurred on Friday, June 28th. The stock was acquired at an average cost of $6.35 per share, with a total value of $622,611.15. The disclosure for this purchase can be found here. Insiders purchased 112,349 shares of company stock valued at $721,567 over the last ninety days. 11.05% of the stock is currently owned by corporate insiders.

Institutional investors and hedge funds have recently made changes to their positions in the stock. CenturyLink Investment Management Co purchased a new position in Transocean in the second quarter worth $907,000. Oregon Public Employees Retirement Fund raised its position in Transocean by 1.4% in the second quarter. Oregon Public Employees Retirement Fund now owns 205,516 shares of the offshore drilling services provider’s stock worth $1,317,000 after acquiring an additional 2,899 shares in the last quarter. Stonebridge Capital Management Inc. raised its position in Transocean by 43.5% in the second quarter. Stonebridge Capital Management Inc. now owns 16,074 shares of the offshore drilling services provider’s stock worth $103,000 after acquiring an additional 4,870 shares in the last quarter. Nisa Investment Advisors LLC raised its position in Transocean by 1,638.0% in the second quarter. Nisa Investment Advisors LLC now owns 86,900 shares of the offshore drilling services provider’s stock worth $557,000 after acquiring an additional 81,900 shares in the last quarter. Finally, Foundation Resource Management Inc. raised its position in Transocean by 227.3% in the second quarter. Foundation Resource Management Inc. now owns 549,211 shares of the offshore drilling services provider’s stock worth $3,520,000 after acquiring an additional 381,428 shares in the last quarter. 70.14% of the stock is owned by hedge funds and other institutional investors.

About Transocean

Transocean Ltd., together with its subsidiaries, provides offshore contract drilling services for oil and gas wells worldwide. The company primarily offers drilling rigs, related equipment, and work crews; and ultra-deepwater and harsh environment drilling services. As of February 18, 2019, it owned or had partial ownership interests in, and operated 48 mobile offshore drilling units that consist of 31 ultra-deepwater floaters, 13 harsh environment floaters, and 4 midwater floaters.

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Earnings History and Estimates for Transocean (NYSE:RIG)

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