[The Street] Atwood OceanicsInc (NYSE:ATW) (TREND ANALYSIS) are slipping 4.10% to $19.86 in early morning trading on Thursday, after a rating downgrade to “underweight” from “equal weight” at Barclays.
Offshore spending will likely decrease again in 2016, and the number of floater retirements likely will not be enough to rebalance the market, according to Barclays analysts.
“With everyone pointing at each other to retire rigs, market attrition simply won’t take place fast enough for the market to rebalance given the 51 floater newbuilds under construction (~23% of currently contracted floater base of 224) that are expected to be delivered between now and end 2017 (not to mention rigs coming off contract),” the firm said in an analyst note.
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Atwood OceanicsInc (NYSE:ATW) stock is currently trading 61.79% below its 52-week-high, 1.5% above its 52-week-low. The 1-year stock price history is in the range of $18.64 – $49.52. Atwood OceanicsInc (ATW) has a price to earnings ratio of 3.13 versus Basic Materials sector average of 17.07. ATW stock price has underperformed the S&P 500 by 33.1%. The Oil & Gas Drilling company is currently valued at $1.22 billion and its share price closed the last trading session at $18.92. The stock has a 50-day moving average of $22.84 and a 200-day moving average of $28.73.
Atwood OceanicsInc (ATW) current short interest stands at 9.44 million shares. It has decreased by 4% from the same period of last month. Around 16% of the company’s shares, which are float, are short sold. With a 10-days average volume of 2.97 million shares, the number of days required to cover the short positions stand at 3.2 days.
ATW reported last quarter earnings on July 29. The Oil & Gas Drilling company announced earnings per share of $1.73 against a consensus Street estimate of $1.68, beating the average estimate by $0.05. This corresponds to an increase of $0.75 compared to the same quarter of the previous fiscal year.
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There are currently thirty analysts that cover Atwood OceanicsInc stock. Of those thirty, thirteen have a Buy rating, eleven have a Hold rating and six have a Sell rating. On a consensus basis this yields to a Hold rating. The consensus target price stands at $27.33.
A recent analyst activity consisted of Barclays downgrading their Equal-weight rating to Underweight on August 13. Barclays decreased price target from $27 to $18. This corresponds to a 4.86% downside from the last closing price. On the date of report, the stock closed at $18.92.
Another research firm was Jefferies who reiterated their Buy stance on June 26. Jefferies decreased price target from $38 to $33. This translates to a 74.42% upside from the last closing price. On the date of report, the stock closed at $27.3.
Atwood Oceanics, Inc. operates as a global offshore drilling contractor. The Company engages in the drilling and completion of exploratory and developmental oil and gas wells. Atwood Oceanics operates mobile offshore drilling units and is constructing ultra-deepwaterdrillships.