Ensco PLC (NYSE:ESV) Reaching An Inflection Point; KLR Group Initiates Shares At “Buy” with $20.00 target


Why Has KLR Group Given Ensco PLC (NYSE:ESV) a $20.00 Price Target

In recent note issued to clients and investors on Monday morning, KLR Group analyst has today have initiated coverage for Ensco PLC (NYSE:ESV) shares with a “Buy” rating. The price target is set to $20.00.

From a total of 30 analysts covering Ensco Plc (NYSE:ESV) stock, 6 rate it a ”Buy”, 8 a “Sell”, and 20 a ”Hold”. This means that 18% of the ratings are positive. The highest target price is $60 while the lowest target price is $11. The mean of all analyst targets is $19.92 with a 15.01% above today’s ($14.86) stock price. Ensco Plc was the topic of 16 analyst reports since August 3, 2015 according to the firm StockzIntelligence Inc. Guggenheim upgraded shares on November 30 to “Buy” rating. RBC Capital Markets maintained shares with “Sector Perform” rating and $23 target share price in a report from a July 31. Citigroup initiated ESV stock in a recent report from October 20 with “Buy” rating. Howard Weil maintained the rating on July 31. Howard Weil has a “Sector Outperform” rating and a $25 price target on shares. Finally, Deutsche Bank maintained the stock with “Sell” rating in a report issued on a September 28.

Approximately 1.71 million shares of stock traded hands. ENSCO PLC (NYSE:ESV) has declined 42.75% since May 11, 2015 and is downtrending. It has underperformed by 38.33% the S&P500.

The overall sentiment of institutions has increased to 1.08 in Q2 2015. Its up 0.30, from 0.78 in 2015Q2. The ratio improved, as 61 institutions have sold all the shares of ENSCO PLC that they owned while 129 funds have taken shares off the table. 63 funds have purchased shares for the first time while 142 added to their positions. These institutions now hold 220.16 million shares or 15.25% more than the 191.02 million shares they owned in 2015Q2.

The Fund Reservoir Operations L.P. currently is holding shares equating to 8.53% of its total portfolio in ENSCO PLC representing a total of 1.19 million shares. Another fund,Arosa Capital Management Lp, is holding a total of 2.10 million shares equating to 4.28% of their holdings. Additionally, Key Group Holdings (Cayman) Ltd. has a 3.50 million share stake in ENSCO PLC which represents 3.58% of their total portfolio. The Fund, Orbitronix Lp, based out of California, has also built up a stake in the stock, which represents a total of 2.35% of their total portfolio. Finally Huber Capital Management Llc, a fund which is based in the state of California reported a total holdings of 4.21 million shares.

Insider activity is a very important aspect to track on any stock. Going back to March 24, 2015, shareholders of ENSCO PLC have witnessed 0 insider buys, and a total of 1 insider sale equating to a net activity of approximately $1.14 million . Swent James W Iii sold 50,000 shares worth approximately $1.14M. Lowe Patrick Carey bought 608 shares worth approximately $12,823. Hensel David Ethan bought 322 shares worth approximately $6,791.

Ensco plc is a global offshore contract drilling company. The company has a market cap of $3.57 billion. The Firm provides offshore contract drilling services to the international gas and oil industry. It currently has negative earnings. The Firm operates in three divisions: Floaters, which includes its drill ships and semisubmersible rigs; Jackups and Other, which consists of management services on rigs owned by third-parties.

According to Zacks Investment Research, “Ensco International plc, formerly ENSCO International Incorporated, is a provider of offshore contract drilling services to the international oil and gas industry. The Company owns and operates drilling rigs including jackup, ultra-deepwater semisubmersible and barge rigs. Its drilling rigs are located throughout the world and concentrated in the major geographic regions of Asia Pacific (which includes Asia, the Middle East, Australia and New Zealand), Europe/Africa and North and South America. The Company provides drilling services on a day rate contract basis. Under day rate contracts, it provides the drilling rig and rig crews, and receives a fixed amount per day for drilling the well. Its customers bear substantially all of the ancillary costs of constructing the well and supporting drilling operations. The Company does not provide turnkey or other risk-based drilling services.”