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

Transocean Ltd. (NYSE:RIG)’s stock price hit a new 52-week low during mid-day trading on Wednesday . The company traded as low as $3.40 and last traded at $3.53, with a volume of 13408211 shares traded. The stock had previously closed at $3.47.

Analyst Ratings Changes

Several brokerages have recently weighed in on RIG. Citigroup lowered shares of Transocean from a “buy” rating to a “neutral” rating in a report on Thursday, September 12th. Morgan Stanley increased their price target on shares of Transocean from $5.00 to $6.00 and gave the stock an “equal weight” rating in a research note on Thursday, October 3rd. Barclays upgraded Transocean from an “equal weight” rating to an “overweight” rating and set a $4.50 price objective for the company in a report on Wednesday, December 18th. DNB Markets upgraded Transocean from a “hold” rating to a “buy” rating in a report on Tuesday, September 3rd. Finally, JPMorgan Chase & Co. upgraded Transocean from an “underweight” rating to a “neutral” rating and set a $5.00 price target for the company in a research note on Friday, December 6th. Two analysts have rated the stock with a sell rating, four have issued a hold rating and four have given a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $6.25.

Transocean Stock Up 1.7 %

The firm has a 50-day moving average of $4.15 and a 200 day moving average of $4.65. The company has a current ratio of 1.64, a quick ratio of 1.34 and a debt-to-equity ratio of 0.64. The stock has a market capitalization of $3.09 billion, a price-to-earnings ratio of -4.71 and a beta of 2.75.

Insider Buying and Selling

In other Transocean news, EVP Roderick James Mackenzie sold 20,000 shares of the firm’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $4.29, for a total transaction of $85,800.00. Following the completion of the sale, the executive vice president now owns 310,857 shares in the company, valued at $1,333,576.53. This trade represents a 6.04 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 12.54% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Transocean

A number of institutional investors have recently made changes to their positions in RIG. Pilgrim Global Advisors LLC bought a new stake in shares of Transocean in the third quarter worth $77,473,000. Dimensional Fund Advisors LP increased its position in shares of Transocean by 19.0% in the 2nd quarter. Dimensional Fund Advisors LP now owns 36,725,995 shares of the offshore drilling services provider’s stock worth $196,484,000 after purchasing an additional 5,856,414 shares during the last quarter. American Century Companies Inc. raised its stake in shares of Transocean by 24.3% in the 2nd quarter. American Century Companies Inc. now owns 13,437,572 shares of the offshore drilling services provider’s stock valued at $71,891,000 after purchasing an additional 2,623,615 shares in the last quarter. Bank of New York Mellon Corp lifted its position in shares of Transocean by 18.3% during the second quarter. Bank of New York Mellon Corp now owns 16,858,264 shares of the offshore drilling services provider’s stock worth $90,192,000 after purchasing an additional 2,606,017 shares during the last quarter. Finally, Kailix Advisors LLC grew its stake in Transocean by 59.9% in the third quarter. Kailix Advisors LLC now owns 6,620,451 shares of the offshore drilling services provider’s stock worth $28,137,000 after purchasing an additional 2,481,059 shares in the last quarter. 67.73% of the stock is owned by institutional investors and hedge funds.

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.