Transocean Ltd. (NYSE:RIG) Receives $5.22 Consensus Price Target from Analysts

Transocean Ltd. (NYSE:RIG) has earned an average rating of “Hold” from the nine brokerages that are presently covering the firm, Marketbeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, three have issued a hold recommendation and three have assigned a buy recommendation to the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $5.2214.

Several analysts recently issued reports on RIG shares. Morgan Stanley set a $4.50 price objective on Transocean in a report on Monday, December 15th. JPMorgan Chase & Co. reaffirmed an “underweight” rating on shares of Transocean in a research note on Wednesday, December 10th. Pareto Securities lowered Transocean from a “hold” rating to a “sell” rating and set a $5.25 price target for the company. in a report on Tuesday. Susquehanna raised their price objective on shares of Transocean from $4.50 to $5.00 and gave the company a “positive” rating in a research report on Wednesday, January 7th. Finally, Citigroup lifted their target price on shares of Transocean from $4.25 to $4.50 and gave the company a “neutral” rating in a research note on Thursday, December 11th.

Insiders Place Their Bets

In other Transocean news, EVP Robert Thaddeus Vayda sold 30,000 shares of the business’s stock in a transaction on Wednesday, November 26th. The shares were sold at an average price of $4.29, for a total value of $128,700.00. Following the sale, the executive vice president owned 235,154 shares of the company’s stock, valued at $1,008,810.66. The trade was a 11.31% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Perestroika purchased 1,500,000 shares of the business’s stock in a transaction that occurred on Monday, November 24th. The shares were purchased at an average cost of $4.02 per share, with a total value of $6,030,000.00. Following the completion of the acquisition, the director directly owned 96,574,894 shares in the company, valued at $388,231,073.88. The trade was a 1.58% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold 712,970 shares of company stock valued at $3,152,132 in the last quarter. 12.27% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Transocean

Institutional investors and hedge funds have recently modified their holdings of the business. Vanguard Group Inc. raised its holdings in shares of Transocean by 2.6% in the fourth quarter. Vanguard Group Inc. now owns 97,006,263 shares of the offshore drilling services provider’s stock valued at $400,636,000 after purchasing an additional 2,487,015 shares during the last quarter. Dimensional Fund Advisors LP grew its position in Transocean by 20.9% in the fourth 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 purchasing an additional 7,516,589 shares in the last quarter. Dalal Street LLC increased its stake in Transocean by 10.6% in the 4th quarter. Dalal Street LLC now owns 27,040,133 shares of the offshore drilling services provider’s stock valued at $111,676,000 after buying an additional 2,597,801 shares during the last quarter. American Century Companies Inc. lifted its position in Transocean by 12.8% during the 3rd quarter. American Century Companies Inc. now owns 26,456,554 shares of the offshore drilling services provider’s stock worth $82,544,000 after buying an additional 3,006,786 shares in the last quarter. Finally, Morgan Stanley boosted its stake in shares of Transocean by 9.4% during the 4th quarter. Morgan Stanley now owns 24,790,325 shares of the offshore drilling services provider’s stock worth $102,384,000 after buying an additional 2,135,964 shares during the last quarter. 67.73% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Transocean

Here are the key news stories impacting Transocean this week:

• Positive Sentiment: Transocean agreed to acquire Valaris in an all‑stock transaction valued at about $5.8B, creating a much larger combined offshore-drilling leader with roughly $10B of revenue backlog, estimated annual cost synergies (~$200M) and a target to cut leverage post-close. The deal is being cited as the primary catalyst for the rally. Offshore Titans: Transocean Buys Valaris for $5.8B
• Positive Sentiment: Transocean reported fresh contract awards — fixtures for two harsh‑environment semisubmersibles in Norway and separate contracts totaling ~$184M for two rigs — which increase near‑term booked revenue and support higher utilization and dayrate leverage. These wins are underpinning investor optimism on backlog growth. Transocean Stock Hits 52-Week High Transocean secures contracts worth $184m for two rigs
• Neutral Sentiment: Market coverage notes sharp share‑price momentum but mixed fair‑value signals — some models now show meaningful upside while others warn the combined company’s valuation depends heavily on successful integration and sustained dayrate recovery. Investors should watch pro‑forma leverage and synergy delivery. Assessing Transocean (RIG) Valuation
• Neutral Sentiment: Analysts and commentators emphasize backlog as the key value driver — a large, visible backlog supports earnings visibility but also raises questions about contract mix, timing and margin recovery. Close monitoring of booked backlog conversion is warranted. Transocean: Backlog Is Still Critical
• Neutral Sentiment: Consensus expectations point to earnings growth in the upcoming report, which could further validate the rally if results beat, but the event is a short‑term catalyst rather than a structural cure for leverage concerns. Transocean (RIG) Earnings Expected to Grow
• Negative Sentiment: Fearnley Fonds cut its rating to Hold, signaling some analyst caution on valuation, integration risk and leverage — a reminder that downgrades and skepticism could pressure the stock if the market re‑rates deal execution prospects. Transocean (NYSE:RIG) Cut to Hold at Fearnley Fonds

Transocean Stock Performance

Shares of RIG stock opened at $6.53 on Thursday. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.08 and a quick ratio of 0.91. The company’s fifty day moving average price is $4.55 and its two-hundred day moving average price is $3.85. The firm has a market capitalization of $7.19 billion, a P/E ratio of -1.99 and a beta of 1.46. Transocean has a 12 month low of $1.97 and a 12 month high of $6.57.

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.