Analysts Estimate Transocean (RIG) to Report a Decline in Earnings: What to Look Out for

Core Viewpoint - Transocean is anticipated to report a year-over-year decline in earnings despite an increase in revenues, with the upcoming earnings report being crucial for stock price movement [1][2]. Financial Expectations - The earnings report is expected on April 28, 2025, with a consensus estimate of a quarterly loss of $0.12 per share, reflecting a year-over-year change of -300$885.84 million, which is a 15.5% increase from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 40% over the last 30 days, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4][10]. - Transocean's Earnings ESP is currently at -8.70%, suggesting that the Most Accurate Estimate is lower than the Zacks Consensus Estimate [11]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the likelihood of actual earnings deviating from consensus estimates, with a strong predictive power for positive readings [7][8]. - Transocean's combination of a negative Earnings ESP and a Zacks Rank of 3 makes it challenging to predict an earnings beat [11][16]. Historical Performance - In the last reported quarter, Transocean was expected to post earnings of $0.01 per share but instead reported a loss of$0.09, resulting in a surprise of -1,000% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates twice [13]. Industry Comparison - Patterson-UTI, another player in the oil and gas drilling sector, is expected to report earnings of $0.04 per share, reflecting a year-over-year change of -126.7$1.19 billion [17]. - Patterson-UTI's consensus EPS estimate has been revised down by 18.8% in the last 30 days, but it currently has an Earnings ESP of 25.00%, indicating a likelihood of beating the consensus EPS estimate [18].