TRANSOCEAN LTD (RIG)
CH0048265513 - Common Stock
Taking everything into account, RIG scores 2 out of 10 in our fundamental rating. RIG was compared to 59 industry peers in the Energy Equipment & Services industry. RIG may be in some trouble as it scores bad on both profitability and health. RIG is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year RIG has reported negative net income.
RIG had a positive operating cash flow in the past year.
In the past 5 years RIG always reported negative net income.
Each year in the past 5 years RIG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of RIG (-3.19%) is worse than 71.19% of its industry peers.
RIG has a worse Return On Equity (-6.09%) than 72.88% of its industry peers.
With a Return On Invested Capital value of 0.76%, RIG is not doing good in the industry: 84.75% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.19% | ||
| ROE | -6.09% | ||
| ROIC | 0.76% |
ROA(3y)-3.54%
ROA(5y)-3.68%
ROE(3y)-6.73%
ROE(5y)-7.15%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RIG has a Operating Margin of 5.22%. This is in the lower half of the industry: RIG underperforms 71.19% of its industry peers.
With a decent Gross Margin value of 33.93%, RIG is doing good in the industry, outperforming 66.10% of the companies in the same industry.
In the last couple of years the Gross Margin of RIG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.22% | ||
| PM (TTM) | N/A | ||
| GM | 33.93% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.5%
GM growth 5Y-5.85%
2. Health
2.1 Basic Checks
RIG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, RIG has more shares outstanding
RIG has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, RIG has a worse debt to assets ratio.
2.2 Solvency
RIG has an Altman-Z score of 0.13. This is a bad value and indicates that RIG is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of RIG (0.13) is worse than 86.44% of its industry peers.
RIG has a Debt/Equity ratio of 0.64. This is a neutral value indicating RIG is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.64, RIG is doing worse than 67.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.13 |
ROIC/WACC0.12
WACC6.07%
2.3 Liquidity
A Current Ratio of 1.64 indicates that RIG should not have too much problems paying its short term obligations.
RIG has a Current ratio (1.64) which is comparable to the rest of the industry.
A Quick Ratio of 1.34 indicates that RIG should not have too much problems paying its short term obligations.
The Quick ratio of RIG (1.34) is worse than 62.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 80.43% over the past year.
RIG shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.84%.
RIG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.26% yearly.
EPS 1Y (TTM)80.43%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)22.84%
Revenue growth 3Y-3.51%
Revenue growth 5Y-1.26%
Sales Q2Q%32.4%
3.2 Future
Based on estimates for the next years, RIG will show a very strong growth in Earnings Per Share. The EPS will grow by 31.67% on average per year.
The Revenue is expected to grow by 11.16% on average over the next years. This is quite good.
EPS Next Y83.85%
EPS Next 2Y47.39%
EPS Next 3Y31.67%
EPS Next 5YN/A
Revenue Next Year21.82%
Revenue Next 2Y15.67%
Revenue Next 3Y11.16%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
RIG reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
RIG is valuated rather expensively with a Price/Forward Earnings ratio of 20.89.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RIG indicates a slightly more expensive valuation: RIG is more expensive than 72.88% of the companies listed in the same industry.
RIG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 20.89 |
4.2 Price Multiples
79.66% of the companies in the same industry are cheaper than RIG, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.39 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as RIG's earnings are expected to grow with 31.67% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y47.39%
EPS Next 3Y31.67%
5. Dividend
5.1 Amount
RIG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TRANSOCEAN LTD
NYSE:RIG (12/20/2024, 8:04:00 PM)
After market: 3.55 +0.02 (+0.57%)3.53
-0.02 (-0.56%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners71.19%
Inst Owner Change0.29%
Ins Owners1.36%
Ins Owner Change1.84%
Market Cap3.09B
Analysts70.48
Price Target5.94 (68.27%)
Short Float %19.85%
Short Ratio7.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)25.93%
Min EPS beat(2)-48.14%
Max EPS beat(2)100%
EPS beat(4)3
Avg EPS beat(4)48.34%
Min EPS beat(4)-48.14%
Max EPS beat(4)100%
EPS beat(8)3
Avg EPS beat(8)-10.28%
EPS beat(12)5
Avg EPS beat(12)-5.95%
EPS beat(16)5
Avg EPS beat(16)-12.03%
Revenue beat(2)0
Avg Revenue beat(2)-1.03%
Min Revenue beat(2)-1.57%
Max Revenue beat(2)-0.49%
Revenue beat(4)0
Avg Revenue beat(4)-2.36%
Min Revenue beat(4)-4.01%
Max Revenue beat(4)-0.49%
Revenue beat(8)1
Avg Revenue beat(8)-1.88%
Revenue beat(12)2
Avg Revenue beat(12)-2.07%
Revenue beat(16)3
Avg Revenue beat(16)-2.26%
PT rev (1m)-8.03%
PT rev (3m)-17.63%
EPS NQ rev (1m)-44.22%
EPS NQ rev (3m)-90.28%
EPS NY rev (1m)-81.91%
EPS NY rev (3m)-14.06%
Revenue NQ rev (1m)-0.32%
Revenue NQ rev (3m)-3.78%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 20.89 | ||
| P/S | 0.93 | ||
| P/FCF | N/A | ||
| P/OCF | 9.12 | ||
| P/B | 0.3 | ||
| P/tB | 0.3 | ||
| EV/EBITDA | 10.39 |
EPS(TTM)-0.27
EYN/A
EPS(NY)0.17
Fwd EY4.79%
FCF(TTM)-0.12
FCFYN/A
OCF(TTM)0.39
OCFY10.97%
SpS3.78
BVpS11.68
TBVpS11.68
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.19% | ||
| ROE | -6.09% | ||
| ROCE | 0.96% | ||
| ROIC | 0.76% | ||
| ROICexc | 0.77% | ||
| ROICexgc | 0.77% | ||
| OM | 5.22% | ||
| PM (TTM) | N/A | ||
| GM | 33.93% | ||
| FCFM | N/A |
ROA(3y)-3.54%
ROA(5y)-3.68%
ROE(3y)-6.73%
ROE(5y)-7.15%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.5%
GM growth 5Y-5.85%
F-Score6
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.02 | ||
| Cap/Depr | 59.02% | ||
| Cap/Sales | 13.43% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 36.57% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 0.13 |
F-Score6
WACC6.07%
ROIC/WACC0.12
Cap/Depr(3y)53.14%
Cap/Depr(5y)44.63%
Cap/Sales(3y)17.02%
Cap/Sales(5y)14.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)80.43%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%100%
EPS Next Y83.85%
EPS Next 2Y47.39%
EPS Next 3Y31.67%
EPS Next 5YN/A
Revenue 1Y (TTM)22.84%
Revenue growth 3Y-3.51%
Revenue growth 5Y-1.26%
Sales Q2Q%32.4%
Revenue Next Year21.82%
Revenue Next 2Y15.67%
Revenue Next 3Y11.16%
Revenue Next 5YN/A
EBIT growth 1Y313.58%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year1640.51%
EBIT Next 3Y180.26%
EBIT Next 5YN/A
FCF growth 1Y-239.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-25.49%
OCF growth 3Y-25.59%
OCF growth 5Y-21.72%