The firm raised its price target on the Swiss offshore drilling contractor to a range of $10 to $13, from a range of $6 to $8.
Wells Fargo analysts expect there to be a marked improvement in oil service stocks both in the U.S. and internationally, TheFly reports.
Still, oil prices are slumping on Monday as crude oil (WTI) is falling by 1.17% to $2.12 per barrel and Brent Crude (BTI) is down by 1.81% to $46.75 per barrel.
Shares of Transocean dropped by 0.91% to $12.04 in late morning trading on Monday.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate TRANSOCEAN LTD as a Sell with a ratings score of D+. This is driven by some concerns, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. Among the areas we feel are negative, one of the most important has been a generally disappointing historical performance in the stock itself.
You can view the full analysis from the report here: RIGRIG data by YCharts