Clough Capital Partners L P Raises Position in Transocean Ltd. $RIG

Clough Capital Partners L P increased its holdings in Transocean Ltd. (NYSE:RIG) by 15.7% during the fourth quarter, Holdings Channel.com reports. The firm owned 4,577,619 shares of the offshore drilling services provider’s stock after acquiring an additional 619,566 shares during the quarter. Transocean accounts for 1.7% of Clough Capital Partners L P’s investment portfolio, making the stock its 21st largest holding. Clough Capital Partners L P’s holdings in Transocean were worth $18,906,000 as of its most recent SEC filing.

Other large investors also recently added to or reduced their stakes in the company. Monashee Investment Management LLC purchased a new position in shares of Transocean in the third quarter valued at about $936,000. Citigroup Inc. increased its position in shares of Transocean by 37.5% in the third quarter. Citigroup Inc. now owns 818,781 shares of the offshore drilling services provider’s stock valued at $2,555,000 after acquiring an additional 223,231 shares during the period. HighTower Advisors LLC increased its position in shares of Transocean by 2,662.3% in the third quarter. HighTower Advisors LLC now owns 1,562,314 shares of the offshore drilling services provider’s stock valued at $4,874,000 after acquiring an additional 1,505,755 shares during the period. Ninepoint Partners LP purchased a new position in shares of Transocean in the third quarter valued at about $18,720,000. Finally, Mirabella Financial Services LLP purchased a new position in shares of Transocean in the third quarter valued at about $2,609,000. Hedge funds and other institutional investors own 67.73% of the company’s stock.

Transocean Price Performance

Shares of NYSE RIG opened at $5.60 on Thursday. Transocean Ltd. has a 1 year low of $2.51 and a 1 year high of $7.66. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.54 and a quick ratio of 1.20. The company’s 50-day moving average is $6.39 and its 200 day moving average is $5.66. The stock has a market capitalization of $6.25 billion, a P/E ratio of -1.88 and a beta of 1.28.

Transocean (NYSE:RIG) last announced its quarterly earnings results on Monday, May 4th. The offshore drilling services provider reported ($0.03) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.10). Transocean had a negative net margin of 66.79% and a positive return on equity of 0.88%. The company had revenue of $1.08 billion for the quarter, compared to analysts’ expectations of $1.02 billion. During the same quarter in the prior year, the firm earned ($0.10) EPS. Transocean’s quarterly revenue was up 19.3% compared to the same quarter last year. On average, sell-side analysts expect that Transocean Ltd. will post 0.17 earnings per share for the current year.

Transocean News Summary

Here are the key news stories impacting Transocean this week:

• Positive Sentiment: Transocean won new contracts for two harsh-environment semisubmersibles, adding about $185 million in firm backlog and boosting longer-term revenue visibility. Transocean Ltd. Announces Contract Awards Totaling $185 Million
• Positive Sentiment: S&P Global Ratings upgraded Transocean from CCC+ to B-, citing improved leverage and liquidity after debt reduction and new contract wins, which can support investor confidence. Transocean (RIG): One of the Best Stocks Under $10 to Invest In
• Positive Sentiment: Barclays and other market watchers pointed to Petrobras contract extensions and backlog growth as signs of a healthier operating outlook for Transocean. Barclays and BofA Reassess Transocean (RIG) Following Petrobras Contract Extensions and Backlog Growth
• Neutral Sentiment: Some broker coverage continues to frame Transocean as a “Hold,” suggesting the recent gains in backlog and credit quality may already be partly reflected in the stock.
• Negative Sentiment: Broader weakness in oil-related shares has also pressured Transocean at times, which can offset the benefit of the new contract announcements. RIG stock slides with oil, but Transocean’s fresh offshore contracts add $185M in backlog

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on RIG. Susquehanna boosted their price objective on shares of Transocean from $7.50 to $8.00 and gave the company a “positive” rating in a research report on Tuesday, April 7th. Morgan Stanley boosted their price objective on shares of Transocean from $5.00 to $7.00 and gave the company an “equal weight” rating in a research report on Wednesday, April 15th. TD Cowen boosted their price objective on shares of Transocean from $5.50 to $6.00 and gave the company a “hold” rating in a research report on Wednesday, May 6th. Clarkson Capital cut shares of Transocean from a “strong-buy” rating to a “hold” rating in a research report on Thursday, March 19th. Finally, Barclays upgraded shares of Transocean from an “equal weight” rating to an “overweight” rating and boosted their price objective for the company from $6.00 to $8.00 in a research report on Thursday, May 7th. Three research analysts have rated the stock with a Buy rating, five have given a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $6.96.

About Transocean

Transocean Ltd. is a leading international provider of offshore contract drilling services for the oil and gas industry. The company specializes in the operation of mobile drilling units, including ultra-deepwater drillships, semisubmersible rigs and high-specification jackup rigs. Transocean’s fleet is designed to meet complex drilling requirements, from ultra-deepwater well construction to shelf exploration and development projects.

The company’s core services encompass the full spectrum of offshore drilling operations, including project and engineering management, marine operations, drilling supervision, and maintenance support.