Transocean (NYSE:RIG) Issues Earnings Results, Misses Expectations By $0.07 EPS

Transocean (NYSE:RIG) released its quarterly earnings data on Thursday. The offshore drilling services provider reported $0.02 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.09 by ($0.07), Zacks reports. The company had revenue of $1.04 billion during the quarter, compared to analysts’ expectations of $1.03 billion. Transocean had a negative net margin of 75.71% and a positive return on equity of 0.45%. Transocean’s quarterly revenue was up 9.6% on a year-over-year basis. During the same period last year, the firm earned ($0.09) earnings per share.

Transocean Stock Up 0.6%

RIG stock traded up $0.04 during trading on Friday, reaching $6.40. 24,057,020 shares of the company traded hands, compared to its average volume of 52,576,309. The company has a market capitalization of $7.04 billion, a price-to-earnings ratio of -1.95 and a beta of 1.46. The company has a debt-to-equity ratio of 0.60, a quick ratio of 0.91 and a current ratio of 1.08. The business has a 50 day simple moving average of $4.71 and a 200 day simple moving average of $3.93. Transocean has a 12 month low of $1.97 and a 12 month high of $6.57.

Insider Buying and Selling at Transocean

In other news, insider Jeremy D. Thigpen sold 500,000 shares of Transocean stock in a transaction that occurred on Wednesday, November 26th. The shares were sold at an average price of $4.32, for a total value of $2,160,000.00. Following the transaction, the insider owned 2,136,223 shares of the company’s stock, valued at $9,228,483.36. The trade was a 18.97% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Perestroika acquired 1,500,000 shares of Transocean stock in a transaction that occurred on Monday, November 24th. The shares were purchased at an average price of $4.02 per share, with a total value of $6,030,000.00. Following the purchase, the director owned 96,574,894 shares in the company, valued at $388,231,073.88. This represents a 1.58% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last quarter, insiders sold 712,970 shares of company stock valued at $3,152,132. 12.27% of the stock is currently owned by corporate insiders.

Institutional Trading of Transocean

Institutional investors have recently made changes to their positions in the business. Dimensional Fund Advisors LP increased its position in Transocean by 20.9% during the 4th quarter. Dimensional Fund Advisors LP now owns 43,470,312 shares of the offshore drilling services provider’s stock valued at $179,531,000 after buying an additional 7,516,589 shares in the last quarter. Morgan Stanley grew its stake in shares of Transocean by 9.4% during the fourth quarter. Morgan Stanley now owns 24,790,325 shares of the offshore drilling services provider’s stock worth $102,384,000 after acquiring an additional 2,135,964 shares during the last quarter. State Street Corp increased its holdings in shares of Transocean by 13.1% during the fourth quarter. State Street Corp now owns 24,725,897 shares of the offshore drilling services provider’s stock valued at $102,118,000 after acquiring an additional 2,856,372 shares in the last quarter. Two Sigma Investments LP raised its position in shares of Transocean by 0.3% in the 3rd quarter. Two Sigma Investments LP now owns 18,636,188 shares of the offshore drilling services provider’s stock valued at $58,145,000 after purchasing an additional 64,305 shares during the last quarter. Finally, Van ECK Associates Corp boosted its stake in Transocean by 14.5% in the 4th quarter. Van ECK Associates Corp now owns 16,824,069 shares of the offshore drilling services provider’s stock worth $69,483,000 after purchasing an additional 2,133,778 shares in the last quarter. Institutional investors and hedge funds own 67.73% of the company’s stock.

Trending Headlines about Transocean

Here are the key news stories impacting Transocean this week:

• Positive Sentiment: Fleet / contract wins: Transocean reported multiple new contracts and option exercises across Brazil, Australia, Norway and Romania, adding roughly $610M of incremental backlog and taking total backlog to about $6.1B — a clear boost to forward revenue visibility. Transocean Fleet Status Report
• Positive Sentiment: Momentum narrative: Zacks highlighted RIG as a long-term momentum candidate based on style scores, which can attract momentum-driven flows if sentiment and oil-market conditions remain supportive. Why Transocean (RIG) is a Top Momentum Stock for the Long-Term
• Neutral Sentiment: Guidance roughly in line: Management issued FY‑2026 and Q1 revenue ranges (~$3.8B–$4.0B FY; ~$1.0B–$1.1B Q1) that sit near consensus — this reduces surprise risk but doesn’t materially change near-term expectations. Company is hosting a webcast to discuss results and slides are posted. Transocean Reports Q4 and FY2025 Results
• Negative Sentiment: Q4 earnings miss and weak profitability: Adjusted EPS of $0.02 missed consensus (~$0.09) despite slight revenue upside; the company still shows a large negative net margin, which pressured the stock after the print. Transocean Q4 Earnings Details
• Negative Sentiment: Analyst downgrade and insider activity: Barclays downgraded RIG to Equal Weight (negative near-term sentiment), and filings/coverage flags recent insider sales and mixed institutional repositioning that can add selling pressure or volatility. Barclays Downgrades Transocean

Analysts Set New Price Targets

Several research firms have commented on RIG. Susquehanna raised their price objective on Transocean from $4.50 to $5.00 and gave the stock a “positive” rating in a report on Wednesday, January 7th. Morgan Stanley set a $4.50 target price on Transocean in a report on Monday, December 15th. JPMorgan Chase & Co. restated an “underweight” rating on shares of Transocean in a research note on Wednesday, December 10th. Citigroup upped their price objective on shares of Transocean from $4.25 to $4.50 and gave the stock a “neutral” rating in a research note on Thursday, December 11th. Finally, Barclays downgraded shares of Transocean from an “overweight” rating to an “equal weight” rating and raised their target price for the company from $4.50 to $6.00 in a research report on Wednesday. Two equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Reduce” and a consensus price target of $5.44.

Transocean Company Profile

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.