Why Transocean Stock Is Sinking Today

Transocean RIG shares are trading lower on Wednesday after the company reported worse-than-expected Q4 sales results.

Transocean reported Q4 sales of $606 million which missed the analyst consensus estimate of $619.40 million. The company reported an EPS loss of $0.48, missing the analyst consensus estimate for a loss of $0.21.

"During the year, we continued to high-grade our fleet through the deployment of innovative technologies and the delivery of the industry's only two 8th generation drillships, Deepwater Atlas and Deepwater Titan. Perhaps most importantly, we secured approximately $4 billion in incremental backlog, our largest annual backlog addition since prior to the industry downturn in 2014," said Transocean CEO Jeremy Thigpen.

Transocean is an international provider of offshore contract drilling services for oil and gas wells.

RIG Price Action: Transocean has a 52-week high of $7.69 and a 52-week low of $2.32.

Transocean shares are down 12.2% at $6.01 at the time of writing, according to Benzinga Pro.

Photo: Kristina Kasputienė from Pixabay.