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  • Now Is The Time To Buy Transocean [View article]
    trying to call a ground/bottom? Great! Fill us all in on what that is! Since you all have the answer, I'd like to know myself.

    The fact is no one, not even Buffett, can call a bottom on anything. I think what the author is saying is that you see a stock like RIG, trading at obscene numbers (like .7 book?!?!?! C'mon man), you need to put your big-boy pants on and call your own shots. I sleep very well at night buying right here, or even at $36 or so I am DCA'd at right now. This is stupid cheap and way oversold on ANY level.

    One can always take Buffett's advice "be brave when others are fearful, and be fearful when others are brave." I'd rather call what I think is a bottom on a stock than have this herd-mentality-driven market call it for me.
    Sep 25, 2014. 01:51 PM | 5 Likes Like |Link to Comment
  • How A Verdict In The Gulf Oil Spill Trial Will Actually Benefit BP And Transocean [View article]
    what's the risk? that the world is suddenly going to lose it's thirst for oil? Unlikely. China, India, Brazil and other emerging nations are burning oil like crazy. And trading that low to book, with a 7% divi, and a PE of mid single digits, I don't see risk, I see opportunity.
    Aug 14, 2014. 11:40 PM | 3 Likes Like |Link to Comment
  • Transocean: The Street Does Not Understand This Company [View article]
    The author addressed the debt, try reading it again. And "huge" debt? The company is trading at a book value of .92 at this level - 8% less than book! The author is trying to say that if the company were valued accurately, the debt would be much lower as a percentage of market cap - probably at around 33% - very reasonable for a deep-water driller. RIG doesn't get the credit it deserves by Wall Street;I agree with everything the author is saying here, and continue to hold on. We shall see how this all plays out.
    Jul 23, 2014. 04:12 PM | 6 Likes Like |Link to Comment
  • Will Seadrill Continue To Trade Over $40? [View article]
    If the Rosneft deal excites you, then you really should consider BP, as it owns 20% of Rosneft, not to mention it has its hands in just about every other pot where oil is seeping out of. It's really hard to think of a larger, more drill-able batch of oil than what Russia is offering right now. It's going to be a money-maker for sure.
    Jul 7, 2014. 12:43 PM | 2 Likes Like |Link to Comment
  • Is Seadrill A Better Investment Than Transocean? [View article]
    I own both companies, so this isn't to bash one over another, but I find it odd that you mentioned SDRL's backlog, but no where did I see RIG's. It happens to be about $28 Billion - a full $10 Billion more than SDRL. Transocean's fleet might be a bit older, but RIG has a lot going for it. All of this pessimism is way overblown, and when RIG is trading at 10% less than book with a 7% divi, there's something very wrong with this market. Rig is being priced as if the world has decided to stop using oil. I'll keep buying....
    Jun 4, 2014. 04:20 PM | 7 Likes Like |Link to Comment
  • Transocean Ltd.: What Really Went Wrong During The Conference Call On May 8? [View article]
    You bring up some valid points, omit some important information, and are not quite right on others.

    For one, Brazil was a big nothing. When the head of Chevron Brazil comes out and says point blank "this has nothing to do with Transocean." I am pretty sure you can write that off as a non-issue.

    A huge omission is the industry backlog. RIG has far and away the biggest backlog of any driller, period; even SDRL. And don't get me wrong, I own them all, so this isn't a "bash the other drillers to make RIG look better" kind of thing. RIG is a monster in the industry, without question. They have hundreds of patents that other drillers license for drilling activities, and despite Macondo, have a lot of respect in the world of off-shore drilling. So while PEs and P/S are good benchmarks, they are not the only ones.

    RIG once traded as high as $160/share, when oil was no where near what it is now in terms of price or global usage, nor was its divi this attractive. The market has gotten stupid and forgotten base fundamentals like earnings. I'm not saying it's going to happen any time soon, but the market will one day have no choice but to regard those things as important again one day.
    May 14, 2014. 09:28 AM | Likes Like |Link to Comment
  • Is Transocean A Good Investment? [View article]
    I am guessing you probably own SDRL, as do I, and as much as RIG gets bashed for its supposedly older fleet, it is still by far the largest driller, with the biggest backlog of all the drillers, including SDRL. They have numerous patents in off-shore drilling, and Macondo notwithstanding, they have a pretty good track record for getting the job done. They re getting a bad rap right now and I find it puzzling. But just the same, for my part, if the price action that happened today continues, I'll find a way to buy more, even on margin.
    May 9, 2014. 12:40 AM | Likes Like |Link to Comment
  • Is Transocean A Good Investment? [View article]
    I have been to Beijing, funny you should mention it. The first thing I remember when getting out of the jetway was that my lungs literally burned from all of the pollution - even right there in the airport. Horrible. Be that as it may, this year the IEA predicts that the world will consume a record 92.7 million barrels of oil ever day. An there is no end in sight for our thirst for oil. Agreed, to a certain extent, that coal is fading, especially since we have an over-supply of nat gas. But everything that moves with wings or wheels still runs on oil, regardless of your position on pollution. I think you, along with most other Americans, see oil as a USA-only commodity. In addition to many parts of China, I have been all over South America and most parts of Asia, as well as India, and I can tell you without question that oil use is exploding. The first time I was in Beijing there were peddled bicycles every where. Now? Cars and motorbikes, hardly a bicycle anywhere. Bottom line is oil is king, and your renewable energy thesis, I feel, has a very VERY long way to go. Certainly nothing meaningful in our lifetimes.
    May 9, 2014. 12:40 AM | Likes Like |Link to Comment
  • Is Transocean A Good Investment? [View article]
    What I mean is I am sitting on 2% cash - the other 98% is invested in SDRL, ESV,ATW,NE, and RIG. I know one should never put all of their eggs in one basket, pardon the cliche, but when I look at the overall market, I see so little value, and while social media fads come and go, one thing remains eternal and assured - the world is dependent on oil, it is absolutely finite, and as we deplete more and more of the "easy", land based oil we will need to continue to go off-shore into deeper and deeper water. I can't think of a more sure-thing than this sector. In the mean time, since most pay a healthy divi, I'll just sit back and wait for the rest of the market to realize what I already have.
    May 8, 2014. 12:46 PM | Likes Like |Link to Comment
  • Is Transocean A Good Investment? [View article]
    A very timely article, considering that RIG just posted incredible earnings about an hour ago. Their backlog increased by almost $1/2 billion dollars just in the past 3 weeks and first quarter 2014 adjusted earnings from continuing operations were $1.43 per diluted share. way more than the $1.00 looked for on the street. I own the entire sector and feel that the past few months have been a God-send of a buying op. I am all-in on the sector and look forward growing my money here. Just looking forward to hearing about the divi (something not mentioned in the earnings release).
    May 7, 2014. 05:14 PM | 2 Likes Like |Link to Comment
  • Seadrill: Is This The Bottom? [View article]
    I find the bashing of RIG in order to boost SDRL's reputation really unnecessary. I own both, and while RIG may have a slightly older fleet, they are still a monster company with a massive backlog ($28+ billion - certainly more than any other driller, including SDRL), an excellent reputation (Macondo not withstanding), hundreds of patents in drilling technology, and the ability to borrow to either build new floaters or upgrade their existing fleet.

    The bottom line is that they are both excellent companies, and to slam one to show favor in another is pointless. As NE and DO have shown in their reported earnings, the entire sector has been thrown out - baby and bathwater altogether - and it does no one any good to take pot shots here. Just my opinion of course.
    Apr 28, 2014. 12:12 PM | 1 Like Like |Link to Comment
  • A New Era For Diamond Offshore Drilling [View article]
    While I am not so sure that being aggressive, knowledgeable and confident can readily be seen as "skill sets", but rather personality traits (and good ones at that), I am long DO, and while it is true that technically DO does have an older fleet, they have chosen to upgrade their existing drill ships as opposed to cold-stacking and/or dismantling them, thereby saving tons of cash while modernizing and creating more value in what they already have. Well done in pointing out just a few of what I feel are many mistakes these short-sighted analysts have made.
    Apr 25, 2014. 09:53 AM | 1 Like Like |Link to Comment
  • Seadrill: A Better-Positioned Offshore Driller [View article]
    another thing about ATW is that it is most likely to be bought out, considering its small size but good stats. I own them all: ESV/DO/RIG/NE/ATW and a huge overweight in SDRL. What a sale it has been these last few months. Time to just sit back and let the divis role in and wait for the inevitable run up. Whether it is next month or next year, this sector will have its day. Let these chuckleheads buy NFLX and CMG and the like. I sleep quite well at night with all of my eggs in this basket.
    Apr 25, 2014. 12:04 AM | 2 Likes Like |Link to Comment
  • Ensco Plc: Is A 6% Yield Enough To Overcome The Risks Involved In Holding The Shares? [View article]
    Quite a few posters here have posted on each half of the puzzle without putting it together. World oil usage is at a record high of 92.7 million barrels of oil a day, while oil companies are scaling back capex for exploration and production. Logic states that when you have increased demand with falling supplies (due to said cutbacks in E&P, which essentially is inevitable, unless the oil pumps itself out of the ground - unlikely), we will have restriction in supply, which will send prices higher, which will require the oil companies to pump more oil. In addition, it's worth noting that more than 50% of the new oil deposits found around the world were underwater, and I can't help but believe that, being the globe is covered 75% in water, that percentage will only increase. I own shares of all the major drillers, and will see drops like we are seeing here as a gift to add to those positions.
    Apr 11, 2014. 01:53 PM | 4 Likes Like |Link to Comment
  • Is Transocean A Better Pick Over Ensco And Noble? [View article]
    actually it's not really that hard to figure out: you have increased demand and a shrinking supply.

    The IEA just 2 weeks ago upped their estimate on the use of oil per day by 1.4 million barrels globally to a record 92.7 million barrels.

    At the same time, all of the super-majors are scaling back E&P budgets. So how can oil prices fall when there will undoubtedly be a supply pinch? Unless ole Jed (or is it Jeb?) shoots another hole in the ground and finds a massive pool of Texas Tea in his back yard, I can't think of another scenario where oil prices won't remain high for some time to come.
    Mar 23, 2014. 08:11 AM | Likes Like |Link to Comment