Why Is This Transocean Insider Selling Shares?
Key Points
Transocean is a leading offshore drilling contractor specializing in ultra-deepwater and harsh environment operations.
Mackenzie's Oct. 29 sale follows a series of dispositions since a large tranche of restricted stock units vested earlier this year.
The company recently announced a $130 million award for a drillship in Australia.
Roderick Mackenzie, Executive Vice President and Chief Commercial Officer at Transocean Ltd. (NYSE:RIG), executed an open-market sale of 53,769 shares on October 31, 2025, resulting in the complete divestiture of direct holdings. SEC Form 4 filing
Transaction summary
| Metric | Value |
|---|---|
| Shares sold | 53,769 |
| Transaction value | $207,548 |
| Post-transaction shares | 247,072 |
| Post-transaction value (direct ownership) | $953,898 |
Transaction value calculated using the SEC Form 4 reported price of $3.86 as of Oct. 31, 2025; Post-transaction value calculated using the market close price of $3.90 on Nov. 4, 2025.
Key questions
What proportion of Mackenzie Roderick James’s direct stake did this transaction represent?
This sale represented about 18% of direct holdings.
What is the context of the transaction relative to the company’s recent stock performance?
Shares closed at $3.90 on November 4, 2025, reflecting a one-year total return of -11.56% as of the transaction date.
Company overview
| Metric | Value |
|---|---|
| Price (as of market close 2025-11-04) | $3.90 |
| Market capitalization | $4.93 billion |
| Revenue (TTM) | $3.87 billion |
| 1-year price change | -11.6% |
* 1-year performance calculated using Nov. 4, 2025 as the reference date.
Company snapshot
Transocean Ltd. is a leading offshore drilling contractor with a global presence and a specialized fleet focused on ultra-deepwater and harsh environment operations. It serves integrated energy companies, national oil companies, and independent oil and gas producers worldwide.
The company provides offshore contract drilling services, operating a fleet of ultra-deepwater and harsh environment drilling rigs for oil and gas exploration. It generates revenue by contracting its drilling rigs, equipment, and crews to energy companies.
Foolish take
Mackenzie's late-October sale of 53,769 shares appears to be part of a longer-term management strategy. In March 2025, the Executive Vice President and Chief Commercial Officer held 468,204 shares after several tranches of restricted units were vested. In the months that followed, Mackenzie steadily sold shares in amounts ranging from 22,000 to 44,000. He sold another 35,000 shares in the beginning of December, bringing his current holdings to 212,072, worth $954,324.
His Oct. 31 sale took place following the release of Transocean's third-quarter financial results on Oct. 29. The company reported adjusted net income of $62 million and earnings per diluted share of $0.06. It also boasted improved sequential drilling revenue due to improved rig utilization and revenue efficiency. The company reduced operating and maintenance expenses and improved interest income.
Transocean has underperformed the S&P 1500 Energy Sector index with a -11% return, compared to the index's nearly flat performance for the year. However, investors interested in the energy sector may want to take a closer look at Transocean after the company announced the execution of a six-well contract in Australia worth $130 million in early December.
Glossary
Open-market sale: The sale of securities on a public exchange at prevailing market prices.
Divestiture: The process of selling off an asset or subsidiary.
Direct holdings: Shares owned and controlled directly by an individual, not through trusts or other entities.
SEC Form 4: A regulatory filing disclosing insider trades by company officers, directors, or significant shareholders.
Median historical sell size: The middle value in the range of previous share sale amounts by an insider.
Total return: The investment's price change plus all dividends and distributions, assuming those payouts are reinvested.
Equity exposure: The degree to which an individual or entity is affected by changes in a company's stock value.
Awards: Grants of company shares or stock options, often as part of executive compensation.
Options: Contracts giving the right, but not the obligation, to buy or sell shares at a set price.
Ultra-deepwater: Offshore drilling operations conducted at water depths greater than 7,500 feet.
Harsh environment drilling rigs: Rigs designed to operate in challenging conditions, such as extreme weather or icy waters.
TTM: The 12-month period ending with the most recent quarterly report.
Sarah Sidlow has no position in any of the stocks mentioned. The Motley Fool recommends Transocean. The Motley Fool has a disclosure policy.