Mackenzie Financial Corp Steps into the World of Offshore Drilling

[By: MarketBeat] – In a striking financial move, Mackenzie Financial Corp has recently expanded its investment portfolio by acquiring a significant stake in Transocean Ltd. (NYSE:RIG). This new investment, made during the third quarter, is a testament to Mackenzie’s strategic market moves. The acquisition of 500,960 shares in the offshore drilling service provider is valued at an impressive $3.88 million. This purchase has given Mackenzie Financial Corp a notable 0.07% ownership in Transocean, as per their latest filing with the Securities and Exchange Commission (SEC).

A Wave of Investments in Transocean

Mackenzie Financial Corp isn’t the only one showing interest in Transocean. The investment landscape has seen various institutional investors and hedge funds making moves on Transocean’s shares. For instance, OLD Point Trust & Financial Services N A and VisionPoint Advisory Group LLC have both started new positions in Transocean’s shares during the second quarter, with investments valued at $28,000 and $31,000, respectively.

Moreover, Miller Wealth Advisors LLC made a significant increase in its stake by 9,900.0%, now owning 5,000 shares worth $35,000. Similarly, the National Bank of Canada FI boosted its stake by 3,800.0% during the third quarter, owning 5,850 shares valued at around $46,000. Another notable new position was taken by Meitav Investment House Ltd., with an investment of $49,000. These moves indicate a growing institutional interest in Transocean, which currently has 66.70% of its stock owned by institutional investors and hedge funds.

Transocean’s Financial Performance and Market Position

Transocean’s stock opened at $5.57 on a recent Friday, demonstrating a steady performance in the market. The company maintains a current ratio of 1.67, a quick ratio of 1.32, and a debt-to-equity ratio of 0.68. It has experienced a 52-week low of $5.40 and a high of $8.88, with a 50-day simple moving average of $6.24 and a 200-day average of $7.29.

However, Transocean faced some challenges as per its last quarterly earnings data released on October 30th. The company reported a loss of $0.36 earnings per share (EPS), which was below the analysts’ consensus estimate of a $0.22 loss. The firm earned revenue of $713 million for the quarter, slightly lower than the expected $738.22 million. Despite these challenges, Transocean’s future prospects remain a topic of interest among analysts.

Wall Street’s Take on Transocean’s Future

Transocean has been the focus of several research reports from notable financial analysts. Benchmark, for example, has maintained a “buy” rating with a price target of $12.00. Capital One Financial began covering Transocean, giving it an “equal weight” rating and an $8.00 target price. Morgan Stanley raised its target price from $8.00 to $9.00, maintaining an “equal weight” rating. On the other hand, StockNews.com shifted its rating to “sell”, while Susquehanna adjusted its target price from $9.00 to $7.50, holding a “neutral” stance.

Overall, Transocean’s stock has received mixed reviews, with an average rating of “Hold” and a consensus target price of $8.80. This varied analysis reflects the dynamic nature of the offshore drilling sector and the cautious optimism of investors looking at Transocean’s future prospects.

Source: https://www.marketbeat.com/instant-alerts/nyse-rig-sec-filing-2024-01-13/