Transocean Ltd (NYSE:RIG) shares are up on Friday, hitting a new 52-week high, following the announcement of new contracts worth approximately $184 million. Here’s what investors need to know.
- Transocean stock is approaching key resistance levels. What’s behind RIG new highs?
Norway Contracts Boost Backlog
Transocean secured contract fixtures for two of its harsh environment semisubmersibles in Norway, which are expected to significantly enhance its backlog.
The Transocean Encourage was awarded a seven-well contract extension, estimated to provide around $152 million in backlog, while the Transocean Enabler has two one-well options exercised, contributing an additional $32 million.
These contracts are set to commence in the first quarter of 2027, ensuring continuity for the rigs’ current programs and extending their operational commitments through December 2027.
This strategic move underscores Transocean’s position as a leading provider of offshore drilling services, particularly in ultra-deepwater and harsh environments.
Momentum Remains Technically Strong
The stock is currently trading 29.9% above its 20-day simple moving average (SMA) and 58.7% above its 100-day SMA, indicating strong short-term and longer-term strength. Over the past 12 months, shares have increased by 79.48%, and they are currently positioned closer to their 52-week highs than lows.
The RSI stands at 71.66, suggesting that the stock is in overbought territory, while the MACD is above its signal line, indicating bullish momentum.
The combination of an overbought RSI and bullish MACD suggests mixed momentum, as the stock may be due for a pullback.
- Key Resistance: $7.00
- Key Support: $6.00
Benzinga Edge Rankings
Benzinga Edge data show RIG carries a standout Momentum score of 94.57, while its Growth score lags at just 3.28, underscoring strong price action despite weak fundamental expansion.
RIG Stock Surges Friday Afternoon
RIG Price Action: Transocean shares were up 7.96% at $6.51 at the time of publication on Friday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
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