Transocean Past Earnings Performance
Past criteria checks 0/6
Transocean's earnings have been declining at an average annual rate of -40.9%, while the Energy Services industry saw earnings growing at 46.2% annually. Revenues have been growing at an average rate of 9.8% per year.
Key information
-40.89%
Earnings growth rate
-31.39%
EPS growth rate
| Energy Services Industry Growth | 23.71% |
| Revenue growth rate | 9.76% |
| Return on equity | -33.75% |
| Net Margin | -66.79% |
| Last Earnings Update | 31 Mar 2026 |
Recent past performance updates
Recent updates
Narrative Update • May 02
RIG: Rich Backlog And Free Cash Flow Will Face Execution Risk
Analysts have raised Transocean's average price target by about $1 to $2, citing updated models that reflect recent free cash flow strength, new multi well contracts, and higher assumed day rates, even as some firms reset ratings to more neutral stances. Analyst Commentary Recent research on Transocean presents a mixed picture, with several firms lifting price targets while others move to more neutral or cautious ratings.Seeking Alpha • Apr 29
Transocean: No Longer Distressed, No Longer Cheap
Summary Transocean has executed a successful turnaround, reducing debt and restoring cash flow, but its 194% rally leaves limited upside at current valuations. The pending Valaris merger adds scale, an $11B backlog, and $200M in targeted synergies but also introduces integration and leverage risks. RIG trades at a forward P/E of ~30x and EV/EBITDA of 9.5x, appearing fairly priced relative to peers after its recent run. I maintain a Hold, as further upside depends on sustained higher day rates, backlog quality, and accelerated deleveraging post-merger. Read the full article on Seeking AlphaNarrative Update • Apr 18
RIG: Offshore Backlog Strength And Cash Generation Will Face Crude Price Risks
Analyst price targets for Transocean have moved higher, with firms such as Morgan Stanley, Susquehanna, Barclays and BTIG lifting their targets by amounts ranging from $0.50 to $2, as analysts point to updated estimates following recent free cash flow, contract wins and sector wide day rate assumptions. Analyst Commentary Recent research shows a split in how analysts view Transocean, with some focusing on improving cash generation and contract activity, while others highlight valuation constraints and rating downgrades even as targets move higher.
Narrative Update • Apr 04
RIG: Backlog Wins And Free Cash Flow Will Support Future Earnings
Analysts trimmed their price targets for Transocean to a range of $5 to $7.50, reflecting mixed views, as several firms cited valuation concerns while others pointed to recent free cash flow and new contract wins as support for higher estimates. Analyst Commentary Recent Street research on Transocean shows a clear split between cautious and constructive views, with valuation concerns driving several downgrades while some bullish analysts point to execution, cash generation, and contract activity as reasons to stay positive.Narrative Update • Mar 20
RIG: Backlog Gains And Free Cash Flow Will Reshape Future Earnings Power
Analyst targets for Transocean have been adjusted upward, with the updated fair value estimate moving from $5.50 to about $9.18 as analysts weigh stronger recent free cash flow and contract wins against a more cautious view, reflected in several downgrades and higher assumed future P/E levels. Analyst Commentary Bullish analysts are highlighting a mix of improving execution, stronger cash generation and an expanding contract backlog as they reassess where Transocean should trade.
Narrative Update • Mar 06
RIG: Offshore Backlog Wins Will Likely Struggle Against 2026 Activity Risks
Analysts have modestly raised their average price target for Transocean to reflect updated models after recent free cash flow of $321 million in Q4 and $626 million for the year, new multi well contracts with BP in Brazil and in Australia, and several target bumps in the $5 to $7.50 range, even as some firms shifted ratings to more neutral stances. Analyst Commentary Recent research on Transocean reflects a split view, with some firms updating models after Q4 free cash flow and new contracts, while others are signaling more caution on valuation and execution risk.Narrative Update • Feb 20
RIG: Offshore Backlog Gains Will Likely Face Late 2026 Activity Risks
Analysts have lifted their average price target on Transocean to $6, citing higher assumed offshore day rates and improved profit margins. At the same time, several ratings have shifted to more neutral stances as analysts view the shares as closer to fair value at current levels.Analysis Article • Feb 11
Transocean Ltd.'s (NYSE:RIG) 28% Price Boost Is Out Of Tune With Revenues
The Transocean Ltd. ( NYSE:RIG ) share price has done very well over the last month, posting an excellent gain of 28...Narrative Update • Feb 06
RIG: Offshore Contract Wins Will Likely Prove Vulnerable To Weak Crude Prices
Narrative Update The analyst price target for Transocean has been adjusted to roughly US$4.37 from about US$4.17, as analysts factor in recent target raises that reflect steadier U.S. drilling activity and more positive commentary around new offshore contract signings. They continue to recognize that crude prices could influence the timing and strength of any rate recovery.Narrative Update • Jan 22
RIG: Offshore Contract Wins Will Likely Face Persistent Weak Crude Headwinds
Analysts have nudged their average price target for Transocean higher, with recent moves such as Susquehanna lifting its target to $5 from $4.50 and Citi raising its view to $4.25 from $3.50. They cited steadier than expected U.S. drilling and completions activity alongside more positive commentary around new offshore contract signings, even as low crude prices remain a watch point.Narrative Update • Jan 08
RIG: Offshore Contract Wins Will Likely Struggle Against Prolonged Weak Crude Prices
Narrative Update Analysts have lifted their price targets on Transocean to a range of about $4.25 to $5.00, citing steady U.S. drilling and completions activity and increased optimism around new offshore contract signings, despite crude price headwinds that could still affect dayrate momentum. Analyst Commentary Recent research points to a cautiously constructive stance on Transocean, with price targets generally clustered in the mid single digit range.Narrative Update • Dec 25
RIG: Offshore Contract Momentum Will Likely Prove Vulnerable To Prolonged Weak Crude Prices
Analysts have raised their price target on Transocean from 2.50 dollars to 3.00 dollars, citing increasingly positive offshore drilling contract activity. However, they caution that lower crude prices could still delay a full recovery in dayrates.Narrative Update • Dec 11
RIG: New Offshore Contracts Will Support Future Revenue Amid Crude Price Uncertainty
Analysts have increased their price target on Transocean by $0.75 to $4.25 per share, citing a more positive offshore drilling outlook supported by new contract signings, even as they note that lower crude prices could still temper the pace of improvement. Analyst Commentary Bullish analysts point to a gradually improving backdrop for offshore drilling, arguing that recent contract signings validate Transocean's ability to secure work and support a higher valuation range.Narrative Update • Nov 26
RIG: Future Revenue Stability And Recent Contracts Will Balance Crude Price Risks
Analysts have raised their price target for Transocean from $3.50 to $4.25, citing increased optimism due to recent contract signings. However, low crude prices remain a cautionary factor.Analysis Article • Nov 18
Transocean Ltd. (NYSE:RIG) Stock Rockets 25% As Investors Are Less Pessimistic Than Expected
Despite an already strong run, Transocean Ltd. ( NYSE:RIG ) shares have been powering on, with a gain of 25% in the...Narrative Update • Nov 07
RIG: Future Profit Margins And Contract Revenues Will Offset Revenue Headwinds
Analysts have raised their price target for Transocean from $3.88 to $4.07 per share. They cite improved profit margins and a lower discount rate as key factors in the updated valuation.Analysis Article • May 15
Investors Still Aren't Entirely Convinced By Transocean Ltd.'s (NYSE:RIG) Revenues Despite 25% Price Jump
Those holding Transocean Ltd. ( NYSE:RIG ) shares would be relieved that the share price has rebounded 25% in the last...
New Narrative • Apr 23
Robotic Systems And US Gulf Assets Will Create Future Opportunities
Transocean's premium fleet and strategic regional expansions promise strong future revenue and earnings growth, with high demand predicted in key markets.Seeking Alpha • Feb 28
Transocean: The Inflection Point Has Not Been Reached Just Yet
Summary The offshore drilling market has faced challenges, but recent data shows potential improvement, warranting a 'Hold' rating due to continued backlog issues. Transocean's revenue rose 28.5% year-over-year in 2024, driven by increased rig utilization and higher daily revenue rates, indicating stronger market demand. Despite reducing net debt from $6.67 billion to $5.94 billion, RIG's backlog fell to $8.33 billion, highlighting ongoing industry challenges. Management's optimistic revenue forecast of $3.85–4 billion for 2025 suggests potential growth, but consistent backlog improvement is crucial for a stronger investment case. Read the full article on Seeking AlphaSeeking Alpha • Feb 21
Transocean: A Solid Backlog Bridges The Gap To 2027
Summary Transocean's high-spec fleet and long-term contracts position it to outperform peers despite the cyclical downturn in offshore drilling. The company's significant debt burden necessitates strict cost controls to improve free cash flow and financial stability. A new cost-cutting initiative aims to enhance profitability and accelerate debt repayment, improving long-term performance. RIG's valuation is not compelling compared to peers, but I expect this gap to close in time. Competitors will likely face tougher financials in the next 18 months. I rate RIG stock a HOLD. Read the full article on Seeking AlphaSeeking Alpha • Jan 11
Transocean: Unparalleled Focus On The High-Specification Drillship Market
Summary Transocean owns the most technically capable fleet in the offshore drilling industry. The crown-jewel assets are the Deepwater Titan and the Deepwater Atlas, the only two 8th-generation drillships in the world today. Although the balance sheet is highly leveraged, there is some light at the end of the tunnel, as Transocean has strong contract coverage until the end of 2026. If we also consider the portfolio of eight cold-staked drillships, Transocean could deliver impressive returns if the offshore drilling industry were to continue its recovery. Read the full article on Seeking AlphaSeeking Alpha • Nov 23
Transocean's Management Is Highly Optimistic
Summary Transocean's CEO is optimistic about the company's future, with a fully contracted fleet for 2024-2026 and high day rates indicating strong market conditions. A potential merger with Seadrill could significantly boost Transocean's backlog and fleet, enhancing its competitive position among offshore drillers. Despite strong fundamentals, Transocean's stock remains undervalued due to market skepticism and low oil prices, presenting a potential investment opportunity. Deleveraging efforts and potential shareholder distributions by 2026, along with rising demand for deepwater drilling, support a positive outlook for Transocean. Read the full article on Seeking AlphaSeeking Alpha • Nov 13
Transocean: Improved Balance Sheet And Catalyst On The Horizon
Summary Transocean owns 26 ultra-deepwater floaters and eight harsh-environment floaters. RIG has a substantial $9.3 billion backlog, positioning it well for future profitability. The industry's big news is Seadrill's potential acquisition. I believe RIG and SDRL will benefit from the transaction. For 3Q24, RIG reported $948 million in revenue and $338 million in EBITDA. YoY revenue grew by 32.9% and EBITDA by 117%. The company has an adequate capital structure with 68% total debt to equity and 47.6% total assets to total liabilities. The next significant maturity is in 2027. I have opened a small position. I will add more size if the deal with Seadrill gets a green light. I give RIG a Buy rating. Read the full article on Seeking AlphaSeeking Alpha • Oct 27
Transocean: Management Is Keeping This Rig From Sinking
Summary Transocean's recent stability in fundamentals contrasts with its volatile share price, justifying a 'hold' rating despite a 24.9% drop since July. Revenue increased by 18.1% year-over-year, driven by higher daily revenue, improved rig utilization, and newbuild floaters, despite some negative impacts. The company's net loss improved from $165 million to $123 million, with EBITDA rising from $237 million to $284 million, indicating better profitability metrics. Despite positive trends, concerns about declining backlog and high debt levels persist, making a 'hold' rating more appropriate until further financial results are released. Read the full article on Seeking AlphaSeeking Alpha • Sep 15
Transocean: Record Low Stock Price And Record High Dayrates
Summary Transocean is announcing new contracts and reporting record high dayrates. RIG stock is near 52-week lows, and insiders are actively buying the shares. Much of the stock price plunge was due to the non-cash charge due to the sale of two drillships. Read the full article on Seeking AlphaSeeking Alpha • Sep 03
Transocean Stock: Selloff On Massive Impairment Charge Overdone -- Upgrading To Buy
Summary On Tuesday, shares of leading offshore driller Transocean Ltd. marked new 52-week lows, likely due to a combination of perceived negative company-specific news and a selloff in crude oil. The surprise sale of two warm-stacked 6th generation floaters will result in aggregate proceeds of $342 million but also require an up to $645 million non-cash impairment charge. Essentially, the sale can be viewed as an admission to rocky market conditions for lower-specification units, as already stated by several competitors recently. Please note also that even with the industry currently undergoing a period of lower contracting activity, 2025 should be a much better year in terms of profitability and cash generation. With net debt coming down by more than 5% and only minor estimate revisions, I consider the selloff as overdone. With almost 20% upside to my unchanged price target of $5, I am upgrading Transocean shares from “Hold” to “Buy.”. Read the full article on Seeking AlphaSeeking Alpha • Aug 02
Transocean Records Record High Dayrates, But More Is Yet To Come
Summary RIG stock surged by 10% after fleet status report, announcing $531 million contract with record high dayrates. Transocean reported a net loss but increasing revenues, positive cash flow, and high dayrates in fleet status report. Management is optimistic about the future, expects the fleet to be fully booked into 2026, improving balance sheet and liquidity projections. Read the full article on Seeking AlphaSeeking Alpha • Jul 25
Transocean Bags Record Dayrate For 8th Generation Drillship - Hold
Summary Transocean discloses new 20k PSI work for the 8th generation drillship "Deepwater Atlas" at record-high rates. However, additional contract commencement delays are likely to negatively impact second quarter results. Over the past three months, the company added $656 million in backlog. However, with a quarterly revenue run rate of well above $800 million, total backlog was down again. Valuation-wise, the company remains expensive relative to peers. With the stock trading close to my $5.50 price target, I am reiterating my "Hold" rating on the shares. Read the full article on Seeking AlphaSeeking Alpha • Jul 16
Transocean: Things Are Looking Up
Summary Transocean's financial performance has improved, with revenue up 17.6% and its net loss turning into a gain of $98 million. Backlog has declined slightly, but recent contract wins and high spot rates for offshore rigs bode well for the company. Management has made moves to improve the debt picture, including buying back high-interest notes and issuing new debt at lower rates. But until backlog starts to rise again, it's too early to turn bullish. Read the full article on Seeking AlphaSeeking Alpha • Jun 05
Transocean: Disappointing Contracting Activity And More Dilution Ahead - Hold
Summary News of OPEC+ phasing out voluntary production cuts later this year caused crude oil prices to tumble to new four-month lows. Not surprisingly, offshore drilling stocks have sold off alongside the commodity, with highly leveraged market leader Transocean underperforming peers. The company announced an aggregate $161 million in contract extensions and option exercises for a number of harsh environment floaters, but overall contracting activity remains disappointing. Transocean also disclosed its intent to acquire the remaining 67% in the 6th generation harsh environment rig Transocean Norge against a combination of new common shares and senior notes. Valuation-wise , the company remains expensive relative to peers. With the stock price close to my $5.50 price target, I am reiterating my "Hold" rating on the shares. Read the full article on Seeking AlphaSeeking Alpha • May 10
Transocean Stock - The Good News Is Ignored
Summary Transocean's quarterly earnings announcement caused the stock to drop by over 10%, but the market's reaction was exaggerated. The company's results have improved compared to previous quarters, with increased demand for harsh-environment floaters. Transocean's management is optimistic about improving day rates, longer contracts, and potential reactivation of cold-stacked rigs. In April, the company also did a very successful debt exchange, and the company's credit rating improved. Read the full article on Seeking AlphaSeeking Alpha • May 01
Transocean: Stock Sells Off On Underwhelming Results And Guidance - Hold
Summary Leading offshore driller Transocean reported underwhelming Q1/2024 results with contract drilling revenues coming in below expectations and bottom line outperformance mostly the result of a large non-cash tax benefit. The company attributed the underperformance to delayed contract commencements, adverse weather conditions and operational issues. On the conference call, management issued Q2/2024 guidance below consensus expectations and reduced full-year projections for the second time within just two months. However, not all is bad as leading drillship rates have reached new recovery highs above $500,000 per day. With more rigs about to commence new high-margin contracts, the company's financial performance should improve materially going forward. While I still expect 2025 to be the year of earnings inflection for Transocean and the industry as a whole, the company's premium valuation is keeping me sidelined even after Tuesday's 10% selloff. Reiterating "Hold" while reducing my price target to $5.50. Read the full article on Seeking AlphaSeeking Alpha • Apr 08
Transocean: Raising Estimates After Encouraging Drillship Contract Extension - Hold
Summary Increased oil prices have caused a swing in sentiment for most offshore drillers over the past month with market leader Transocean outperforming peers by a wide margin. Last week, the company announced a 12-month contract extension for the 7th generation drillship Deepwater Asgard in the U.S. Gulf of Mexico at highly encouraging terms. With the recent lull in deepwater contracting activity apparently not impacting dayrates for high-specification assets, I am raising my profitability expectations for 2025. However, Transocean remains overvalued relative to peers based on a number of key metrics. Reiterating "Hold" rating with an increased price target of $6. Read the full article on Seeking AlphaSeeking Alpha • Mar 26
Transocean: The Picture Is Looking Up, But It's Too Early To Get Excited
Summary Transocean's revenue and backlog are growing, and debt is under control, but it's too early to be bullish on the company. The average daily revenue per rig has been increasing, and the backlog has seen meaningful improvements. Cash flows have taken a hit, and the utilization rate of the fleet is not inspiring confidence. Read the full article on Seeking AlphaSeeking Alpha • Mar 11
Transocean: 2024 Not Off To A Good Start
Summary Transocean's Q4 results showed an increase in average day rates and revenue, but also higher operating & maintenance costs and negative FCF. Lowered guidance for 2024 was not the right way for the highly leveraged company to kick off the year. Transocean's debt remains a major concern, and its ability to generate free cash flow and reduce debt will be crucial for its future prospects. Read the full article on Seeking AlphaRevenue & Expenses Breakdown
Revenue & Expenses Breakdown
How Transocean makes and spends money. Based on latest reported earnings, on an LTM basis.
Earnings and Revenue History
| Date | Revenue | Earnings | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 31 Mar 26 | 4,140 | -2,765 | 193 | 0 |
| 31 Dec 25 | 3,965 | -2,915 | 194 | 0 |
| 30 Sep 25 | 3,874 | -2,933 | 203 | 0 |
| 30 Jun 25 | 3,794 | -1,504 | 204 | 0 |
| 31 Mar 25 | 3,667 | -689 | 214 | 0 |
| 31 Dec 24 | 3,524 | -512 | 216 | 0 |
| 30 Sep 24 | 3,313 | -623 | 213 | 0 |
| 30 Jun 24 | 3,078 | -349 | 210 | 0 |
| 31 Mar 24 | 2,946 | -391 | 199 | 0 |
| 31 Dec 23 | 2,832 | -954 | 192 | 0 |
| 30 Sep 23 | 2,697 | -1,200 | 190 | 0 |
| 30 Jun 23 | 2,675 | -1,008 | 188 | 0 |
| 31 Mar 23 | 2,638 | -911 | 183 | 0 |
| 31 Dec 22 | 2,575 | -621 | 180 | 0 |
| 30 Sep 22 | 2,590 | -531 | 170 | 0 |
| 30 Jun 22 | 2,525 | -633 | 168 | 0 |
| 31 Mar 22 | 2,489 | -668 | 164 | 0 |
| 31 Dec 21 | 2,556 | -592 | 161 | 0 |
| 30 Sep 21 | 2,625 | -369 | 194 | 0 |
| 30 Jun 21 | 2,772 | 120 | 199 | 0 |
| 31 Mar 21 | 3,046 | -274 | 205 | 0 |
| 31 Dec 20 | 3,152 | -567 | 209 | 0 |
| 30 Sep 20 | 3,254 | -581 | 191 | 0 |
| 30 Jun 20 | 3,265 | -1,765 | 191 | 0 |
| 31 Mar 20 | 3,093 | -1,476 | 192 | 0 |
| 31 Dec 19 | 3,088 | -1,255 | 192 | 0 |
| 30 Sep 19 | 3,044 | -1,446 | 175 | 0 |
| 30 Jun 19 | 3,076 | -1,030 | 161 | 0 |
| 31 Mar 19 | 3,108 | -1,957 | 167 | 0 |
| 31 Dec 18 | 3,018 | -1,996 | 147 | 0 |
| 30 Sep 18 | 2,874 | -1,865 | 166 | 0 |
| 30 Jun 18 | 2,767 | -2,873 | 171 | 0 |
| 31 Mar 18 | 2,688 | -3,428 | 154 | 0 |
| 31 Dec 17 | 2,731 | -3,127 | 152 | 0 |
| 30 Sep 17 | 2,671 | -2,779 | 157 | 0 |
| 30 Jun 17 | 2,868 | -1,147 | 162 | 0 |
| 31 Mar 17 | 3,327 | 621 | 168 | 0 |
| 31 Dec 16 | 4,161 | 764 | 152 | 0 |
| 30 Sep 16 | 4,605 | 1,206 | 182 | 0 |
| 30 Jun 16 | 5,307 | 1,307 | 186 | 0 |
| 31 Mar 16 | 6,021 | 1,567 | 189 | 0 |
| 31 Dec 15 | 7,386 | 855 | 192 | 0 |
| 30 Sep 15 | 7,772 | -559 | 197 | 0 |
| 30 Jun 15 | 8,434 | -3,091 | 204 | 0 |
Quality Earnings: RIG is currently unprofitable.
Growing Profit Margin: RIG is currently unprofitable.
Free Cash Flow vs Earnings Analysis
Past Earnings Growth Analysis
Earnings Trend: RIG is unprofitable, and losses have increased over the past 5 years at a rate of 40.9% per year.
Accelerating Growth: Unable to compare RIG's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: RIG is unprofitable, making it difficult to compare its past year earnings growth to the Energy Services industry (-26.6%).
Return on Equity
High ROE: RIG has a negative Return on Equity (-33.75%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
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Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/05/06 10:35 |
| End of Day Share Price | 2026/05/06 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
| |
| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Transocean Ltd. is covered by 47 analysts. 9 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| null null | ABG Sundal Collier |
| null null | Argus Research Company |
| James West | Barclays |