Why Transocean Ltd. (RIG) Is An Attractive Stock Today

Transocean Ltd. (NYSE:RIG) is a stock to watch today. At current price of $7.53, the shares have already added 0.12 points (1.69% higher) from its previous close of $7.41. The stock sets an active trading volume day with a reported 178257 contracts so far this session. RIG shares had a relatively better volume day versus average trading capacity of 13.56 million shares, but with a 0.58 billion float and a -2.37% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for RIG stock indicates that the average analyst price target is $12.78 per share. This means the stock has a potential increase of 69.72% from where the RIG share price has been trading recently which is between $7.23 and $7.52. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $7.

The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Transocean Ltd. Announces Pricing of U.S. $525 Million of Secured Notes Due 2023” and dated May 15, 2019.

During the recent trading session for Transocean Ltd. (NYSE:RIG), the company witnessed their stock drop by $-0.09 over a week and tumble down $-1.15 from the price 20 days ago. When compared to their established 52-week high of $14.47, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 09/10/18. The recent low of $6.19 stood for a -47.93% since 12/26/18, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.72 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.

Looking at the current readings for Transocean Ltd., the two-week RSI stands at 39.52. This figure suggests that RIG stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current RIG readings is similarly very revealing as it has a stochastic reading of 25.52% at this stage. This figure means that RIG share price today is being overbought.

Technical chart claims that Transocean Ltd. (RIG) would settle between $7.54/share to $7.68/share level. However, if the stock price goes below the $7.25 mark, then the market for Transocean Ltd. becomes much weaker. If that happens, the stock price might even plunge as low as $7.1 for its downside target.

Analysts at Goldman, assumed coverage of RIG assigning Buy rating, according to their opinion released on March 11. Credit Suisse, analysts launched coverage of Transocean Ltd. (NYSE:RIG) stock with a Outperform recommendation, according to their flash note issued to investors on December 13. Analysts at Johnson Rice released an upgrade from Sell to Hold for the stock, in a research note that dated back to October 17.

RIG equity has an average rating of 2.1, with the figure leaning towards a bullish end. 31 analysts who tracked the company were contacted by Reuters. Amongst them, 5 rated the stock as a hold while the remaining 26 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while others rated it as a sell. 23 analysts rated Transocean Ltd. (NYSE:RIG) as a buy or a strong buy while 3 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.

Moving on, RIG stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/S ratio is 1.18 while for the average stock in the same group, the multiple is 2.74.

Transocean Ltd. (RIG)’s current-quarter revenues are projected to climb by nearly -2.13% to hit $773190, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over 5.51% from $3.02 billion to a noteworthy $3.18 billion. At the other end of the current quarter income statement, Transocean Ltd. is expected to see its adjusted earnings surge by roughly -625% to hit $-0.29 per share. For the fiscal year, RIG’s earnings are projected to climb by roughly -12.66% to hit $-0.89 per share.