5-Star Stocks Poised to Pop: Transocean
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, offshore drilling giant Transocean (NYS: RIG) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Transocean's business and see what CAPS investors are saying about the stock right now.
Transocean facts
Headquarters (founded) | Zug, Switzerland (1953) |
Market Cap | $18.8 billion |
Industry | Oil and gas drilling |
Trailing-12-Month Revenue | $9.1 billion |
Management | CEO Steven Newman |
Return on Equity (average, past 3 years) | (3.3%) |
Cash/Debt | $4.0 billion / $13.5 billion |
Dividend Yield | 5.8% |
Competitors | Noble |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 98% of the 6,219 members who have rated Transocean believe the stock will outperform the S&P 500 going forward.
Late last year, one of those Fools, All-Star Munchies101, summed up the Transocean bull case for our community:
I don't really care where you see energy going in the next 30yrs. In the next 10 to 15yrs, you can bet your behind we will be using petroleum based products. And [Transocean] is in the best position to capitalize off the offshore extraction side. They currently have 138 rigs, dominating their competition in size and technology. ...
In the short run this stock may continue to fall, as there are valid concerns with its liabilities, which are huge. But I am buying all the way down, as this is as close to a homerun I can see in this sector. The downside risk is minuscule, while the upside is gigantic.
If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite its five-star rating, Transocean may not be your top choice.
We've found another energy play we are incredibly excited about -- excited enough to dub it "The Only Energy Stock You'll Ever Need." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.
Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.
At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of Transocean and Noble. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.
