This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Transocean Still in Deep Water

NEW YORK ( TheStreet) -- The total bill for the Macondo rig disaster in the Gulf of Mexico still has not been completed and both the professional and individual investor still can't make up their minds on Transocean (RIG - Get Report).

The stock hasn't even been able to keep up with the market as the analysts keep making revised projections the price has been up and down like a yo-yo.

The market as measured by the Value Line Index is up about 30% over the past 12 months while RIG is only up by 3%. A look at this graph provided by Barchart shows how the stock has been volatile compared to the market:

Transocean provides offshore contract drilling services for oil and gas wells worldwide. It offers deepwater and harsh environment drilling, oil and gas drilling management, and drilling engineering and drilling project management services.

As of Feb. 10, 2011, the company owned, had partial ownership interests in, and operated 138 mobile offshore drilling units, including 47 high-specification floaters, 25 midwater floaters, nine high-specification jackups, 54 standard jackups, and three other rigs, as well as one ultra-deepwater floater and three high-specification jackups under construction. Transocean was founded in 1953 and is based in Zug, Switzerland. (Yahoo Finance profile)

Factors to Consider:

Technical factors provided by Barchart show an 8% Barchart technical buy signals but a Trend Spotter sell signal. The stock is above its 20- and 100-day moving averages but below its 50-day moving average. The price has dropped 4.92% in the past month and the stock is still 22.42% off its one-year high. The Relative Strength Index is a weak 49.12%. The stock recently traded at $46.6,6 which is below its 50-day moving average but still above its technical support level of $44.22. A very mixed bag of technical signals.

Fundamental Factors:

Wall Street follows this stock with interest, and 31 firms have assigned 44 analysts to follow the issue. They project revenue will be up 10% this year and another 3.8% next year. Earnings estimates are robust with a 92.2% increase for this year, another 52.4% next year and an annual increase of 17.76% over the next five years.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
RIG $16.51 0.18%
AAPL $129.36 0.21%
FB $79.60 -0.19%
GOOG $573.64 0.40%
TSLA $199.56 1.13%

Markets

DOW 18,203.37 -85.26 -0.47%
S&P 500 2,107.78 -9.61 -0.45%
NASDAQ 4,979.9010 -28.1950 -0.56%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs