A Smooth Transition for Transocean
By DIMITRA DEFOTIS | MORE ARTICLES BY AUTHOR
With the oil field service company’s stock near a 52-week low after CFO Ricardo Rosa suddenly resigned, we see deep value.
After losing almost half its value last year, Transocean lost its chief financial officer, Ricardo Rosa, who resigned abruptly Thursday after just two years on the job.
However, with the oilfield services company’s stock hovering near a 52-week low of $38.21, we think it’s time to give it a second look.
Shares of Switzerland-based Transocean (ticker: RIG), which fell 1.5% Friday to $39.08, were one of the worst-performing energy names of 2011. But the price has fallen 10% since Barrons.com pointed out late last year (see Barron’s Take, “Oil’s Not Well at Transocean,” Nov. 30, 2011) that Transocean’s need for cash threatened its delectable 7.8% dividend yield.
via Transocean Stock Appears to Have Bottomed – Barrons.com.