Transocean (RIG) Soars 19.6% on Energy Boom

We recently published 10 of Wall Street’s Outperformers. Transocean Ltd. (NYSE:RIG) is one of the top-performing stocks last week.

Transocean Ltd. jumped by 19.63 percent week-on-week, as investor sentiment was boosted by overall optimism for the energy sector amid the artificial intelligence frenzy and last week’s jump in oil prices.

Friday’s rally marked its 6th straight day of gains, as investors repositioned portfolios in AI and energy stocks, supported by a Oracle Corp.’s billion-dollar investment to expand its data center portfolio that is expected to further push energy demand higher, while digesting the impact of higher oil prices.

Last week, prices of crude oil jumped by more than $2 after President Donald Trump announced sanctions on Russia’s two major oil suppliers, namely Rosneft and Lukoil, over the Ukraine war. The sanctions sparked concerns on tighter supply, with Russia being one of the largest oil producers in the world.

Following the news, major Chinese and Indian buyers were forced to look elsewhere for alternatives.

Meanwhile, Trump’s moved sparked a rally across the broader energy sector, dribbling into oil drilling firms, including Transocean Ltd. (NYSE:RIG), on expectations that the supply shortage would further increase the prices of crude oil.

In other developments, investors repositioned portfolios ahead of the results of Transocean Ltd.’s (NYSE:RIG) third quarter earnings performance on Thursday, October 30. A conference call will be held to elaborate on the results.

While we acknowledge the risk and potential of RIG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than RIG and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.