NEW YORK (TheStreet) -- Transocean (RIG) shares are experiencing volatility in trading on Monday, down 0.54% to $29.55, after the owner of the world's largest deep-water oil drilling rig fleet released its third quarter earnings results Sunday night.
The company, which was previously scheduled to release its results on Thursday, reported third quarter earnings of 96 cents per diluted share, excluding one-time write downs and fees, well ahead of analysts 82 cents per diluted share expectations.
The company announced more than $2 billion in write downs during the period due to an oversupply of its deep water rigs combined with a slowdown in oil explorations.
Transocean did narrow its full year 2014 guidance for operating and maintenance costs to between $5.1 billion and $5.2 billion from its previous $5.3 billion expectations, while saying that it expects next year's guidance to be even lower.
TheStreet Ratings team rates TRANSOCEAN LTD as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate TRANSOCEAN LTD (RIG) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, compelling growth in net income and attractive valuation levels. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- You can view the full analysis from the report here: RIG Ratings Report