The stock of Transocean Ltd. (NYSE:RIG) is now priced at $1.22 and the shares are -0.13 points down or -9.63% lower compared to its previous closing price of $1.35. The stock had 14.762 million contracts set over the past session. RIG shares’ daily volume is compared to its average trading volume at 28.97 million shares. However, it has a float of 579 million and although its performance was -8.96% over the week, it’s one to watch. It means the stock’s downside potential is -100% with the RIG share price recently placing at $1.22 to $1.33. However, some brokerage firms have priced the stock below the average, including one that has called $0.1.
The shorts are running away from the Transocean Ltd. stock, with the latest data on short interest released on July 31, 2020, showing that short interest numbers in the RIG shares have declined. Short interest in the stock represents just 15.43% of its float, but the volume has dropped by 0.
In the last trading session, Transocean Ltd. (NYSE:RIG) dropped by -$0.12 over the week and lost -$0.91 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $7.28. The stock recorded its established 52-week high on 01/03/20.
Since 04/27/20, the stock has traded to a low of $0.7618 at 60.15%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 2.38. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Transocean Ltd.’s two-week RSI is 33.34. This suggests that the stock is neutral at the moment and that RIG shares’ price movement remains stable. The stochastic readings are equally revealing at 12.88% meaning the RIG share price is currently in overbought territory.
The technical chart shows that the RIG stock will likely settle at between $1.2933 and $1.3667 per share. However, if the stock dips below $1.1833, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $1.1467.
Currently, the stock is trading in the red of MACD, with a reading of -0.0956. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Maxim Group assigned RIG a rating of In-line in their resuming review released on August 06. Morgan Stanley analysts downgraded their recommendation of the stock from Overweight to Equal-Weight in a flash note released to investors on July 08. Clarksons Platou seeing the stock struggling downgraded it from Buy to Neutral on June 15.
The average rating for the RIG equity is 3.38 and is currently gathering a bearish momentum. Of 23 analysts tracking Transocean Ltd. polled by Reuters, 12 rated RIG as a hold. The remaining 11 analysts were split evenly. However, the split wasn’t equal as a majority (3) rated it as a buy or strong buy. 8 analyst advised investors against buying the stock or to sell if they own any of the stock.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Transocean Ltd. (NYSE:RIG) will decrease by about -99.92%, which will see them reach $772 million. The company’s full-year revenues are, however, expected to increase by about 0.65%, up from $3090 million to $3110 million. RIG’s expected adjusted earnings should drop almost -50% to end up at -$0.19 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -40.69% to record -$0.86/share.