Transocean Ltd. (NYSE:RIG) to Post Q2 2024 Earnings of ($0.04) Per Share, Capital One Financial Forecasts

Transocean Ltd. (NYSE:RIG) – Capital One Financial reduced their Q2 2024 earnings per share estimates for Transocean in a research note issued on Tuesday, April 30th. Capital One Financial analyst D. Becker now expects that the offshore drilling services provider will post earnings of ($0.04) per share for the quarter, down from their prior forecast of ($0.02). The consensus estimate for Transocean’s current full-year earnings is $0.05 per share. Capital One Financial also issued estimates for Transocean’s Q1 2025 earnings at $0.02 EPS, Q2 2025 earnings at $0.03 EPS and Q4 2025 earnings at $0.07 EPS.

Transocean (NYSE:RIG) last released its quarterly earnings data on Monday, April 29th. The offshore drilling services provider reported ($0.03) EPS for the quarter, beating the consensus estimate of ($0.13) by $0.10. Transocean had a negative net margin of 13.27% and a negative return on equity of 4.67%. The business had revenue of $767.00 million for the quarter, compared to the consensus estimate of $781.86 million. During the same period in the prior year, the firm earned ($0.38) EPS. The business’s revenue for the quarter was up 18.2% on a year-over-year basis.

A number of other analysts also recently commented on RIG. Citigroup lowered their target price on Transocean from $9.00 to $7.00 and set a “buy” rating on the stock in a research note on Wednesday, February 21st. Benchmark restated a “buy” rating and issued a $8.00 price objective on shares of Transocean in a research report on Tuesday, April 30th. StockNews.com raised shares of Transocean to a “sell” rating in a report on Tuesday, February 20th. Morgan Stanley lowered their price target on shares of Transocean from $8.00 to $7.00 and set an “equal weight” rating on the stock in a report on Monday, February 26th. Finally, Evercore ISI cut their price objective on shares of Transocean from $9.00 to $7.00 and set an “outperform” rating for the company in a report on Wednesday. Two research analysts have rated the stock with a sell rating, four have given a hold rating and five have given a buy rating to the company. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $7.70.

Transocean Price Performance

NYSE:RIG opened at $5.57 on Friday. The firm’s fifty day moving average is $5.77 and its two-hundred day moving average is $5.94. The firm has a market cap of $4.57 billion, a price-to-earnings ratio of -10.71 and a beta of 2.83. The company has a debt-to-equity ratio of 0.65, a quick ratio of 1.22 and a current ratio of 1.35. Transocean has a one year low of $4.45 and a one year high of $8.88.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its stake in Transocean by 6.4% in the 4th quarter. Vanguard Group Inc. now owns 68,552,192 shares of the offshore drilling services provider’s stock worth $435,306,000 after purchasing an additional 4,107,956 shares in the last quarter. Primecap Management Co. CA lifted its position in Transocean by 11.4% during the fourth quarter. Primecap Management Co. CA now owns 50,699,389 shares of the offshore drilling services provider’s stock worth $321,941,000 after buying an additional 5,168,000 shares in the last quarter. Capital World Investors lifted its position in Transocean by 34.7% during the fourth quarter. Capital World Investors now owns 39,014,318 shares of the offshore drilling services provider’s stock worth $247,741,000 after buying an additional 10,049,077 shares in the last quarter. Dimensional Fund Advisors LP boosted its stake in Transocean by 23.2% during the fourth quarter. Dimensional Fund Advisors LP now owns 35,690,620 shares of the offshore drilling services provider’s stock worth $226,641,000 after buying an additional 6,719,483 shares during the last quarter. Finally, Van ECK Associates Corp grew its holdings in Transocean by 7.0% in the 1st quarter. Van ECK Associates Corp now owns 17,013,964 shares of the offshore drilling services provider’s stock valued at $106,848,000 after buying an additional 1,105,747 shares in the last quarter. Hedge funds and other institutional investors own 67.73% of the company’s stock.

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.