Transocean Ltd. (RIG)

[eastunder]

Last week it was mentioned as well ...

Forget Tech, Energy Is Where 'The Puck Is Headed' And This Stock Is Popping After The 'Fast Money Halftime Report' Panel Talked It Up
by
Adam Eckert, Benzinga Staff Writer

August 10, 2023 4:55 PM | 3 min read

ZINGER KEY POINTS
Transocean shares are breaking out of a long-term downtrend.
The technicals are starting to look ripe for upside, while the fundamentals are strengthening, one RIG investor says
.
What Happened: Thursday on CNBC's "Fast Money Halftime Report," Ritholtz Wealth Management's Josh Brown made the case that Transocean shares are set to ride a wave of buying higher.

The rest of the Halftime Report panel broadly agreed with the call.

"When you look at the technicals here, this is a stock that has bottomed out and has been consolidating for quite some time. It is now snapping this very, very long-term downtrend," Brown said.

Most of Transocean's competition has gone bankrupt so there are very few pure-play deepwater drilling stocks left out there, he said, although he acknowledged that there are some other well-managed companies still left in the space.

RIG has the most to gain by day rates going higher and that's what he's betting on.

"The tailwind that they are going to have in the second half of the year, in my view, puts them in a position for the first time in a long time to fix the balance sheet and start producing upside surprises," Brown said.

Transocean shares were once trading around $130 per share before the great financial crisis hit in 2008. The stock has been stuck in a long-term downtrend since, sinking alongside declining oil prices.