. >> a good example is one of my texas companies that's been in the news lately, transocean. >> transocean owned the drilling rig involved in the giant bp oil spill. they moved to zug. >> i'm not sure they even moved that much. they have about 1,300 employees still in the houston area. they have 12 or 13 in switzerland. >> and yet they claim that they're headquartered over there. >> they claim they're swiss, and they claim they're swiss for tax purposes, and by doing that, by renouncing their american citizenship, they've saved about $2 billion in taxes. >> so here we are in zug. we went to find their operations here. and we came to see your international headquarters. >> um, at the moment, my boss is not here, so... >> she said her boss wasn't there and we should call someone halfway around the world. in houston? >> yeah. >> not here? >> no. >> but this is the headquarters. >> i know. >> and is the ceo here? >> no. >> i mean, normally here? >> no. >> another texas company that moved here is weatherford, a $10 billion oil field services firm. it still has 2,800 workers in houston, but acco

transocean experienced a sickening slide from $140 down to $40.ough this dlient company kept receiving giant contract win after giant contract win. in the end the huge contracts didn't matter because the price of oil kept falling. when the price of crude drops dramatically you have to presume that the drilling projects will ultimately get canceled or at the very least a company like transocean will have to give its customers major on discounts if it wants to keep doing business. that's why with all of these wins, transocean's stock ended up being a gigantic loser. we saw it it with flr whose stock sank from $95 to $50 during the greatest streak of contract wins during the company's history. when all things energy were getting crushed and the company had huge losses from older contracts that went over budget. nullifying the new business that i mistakenly thought was so important and you know what? the exact same thing happens in tech all of the time. you will see an enterprise software company like sap and get a huge contract win from oracle or sal

>> caller: i'm doing fine, i need to ask you about tra transocean.d to know if i need to -- >> i understand, i think there is -- then transocean, and then esv. all of that said, i don't trust the group, the analysts hate it so much there is only one left. when jp morgan downgrades and then pulls the trigger -- frank in new york, frank? >> big booyah to you, jim. i just wanted to see what you and your staff thinks. i have a stock iamgold. >> i'm not gold, gold stocks have been called a buy, i default to rand gold. dr. mark bristol says he has one more big find and gold is my play. that is the conclusion of the lightning round. >> the lightning round sponsors by t.d. futures move first. amer. and trade with paper money to test-drive the market. all on thinkorswim from td ameritrade. >>> welcome back to "mad money." all week we're looking at every part of the oil patch. i think this whole group has been put on sail. right now i want to introduce you to an independent oil and gas producer. this company is dead set on giving growth and income. i'm talking

transocean. you like the story here this morning?g short story on transocean, and if you are shorting it, you have to pie the big dividend. there's so many drill ships coming online, you can't own them for near term earnings. if mexico drills, most importantly, they show up because of brazil, then they put it on hold. you see the brazil government change in the fall and see drilling, you wish you bought this stock and own it to 48. they have old drill ships, though, a concern for me. >> wind stream holdings, of course, we talked about them awhile ago, fiscal revenue down 2.5, up one. it's not key. >> no, it's reality investment. yesterday, fron teen communications got ahead. the companies are not doing well, but they are creative. creativity, financial engineering, a big theme here. >> yes. >> and that real estate investment trusts, drove up to 52 at one moment, the high water mark of things you can do with your financials. >> yeah. >> in order to make up for it, not to mask, but make up for earnings short falls. >> some of these big

it is the acknowledged best of the three major oil companies, including transocean and seadrill.ess, i have to tell you something, i'm actually worried. you know what makes me so nervous why i'm fretting other than the fact that it seems to the slip by nickels and dimes, including today where it fell 22 cents? i'm worried about jpmorgan. why? that firm has the one lone analyst to recommend in the stock. i keep thinking to myself, i'm not safe in ensco. it won't find the bottom until the darn jpmorgan sur renders and takes it off its buy list. >> sell, sell, sell. >> as long as they keep holding out hope, ensco can keep falling. capitulate already. make me a downgrade, please what makes me confident that they could be okay, first, it's really only going down for one reason. a fear of new ships online. we have a lull in drilling for both the u.s. and mexico and we have seen a stunning lack of drilling out of brazil. that could change with the new election in brazil and the new regime in mexico. just yesterday mexico made it clear that 2015 will allow for dramatic expansion in inter

a couple drillings names, transocean, 35% of analysts that cover this have a sell rating on the stocket price is about 4% below current trading levels. diamond dwrof shore, 35% as well of analysts who cover this stock have a sell rating. the target price is 4% below. guys, the one key i want to put here, the stocks that analysts love the most. there's only one that every single analyst that covers it has a buy rating on. that's delta air lines, of course we've been talking about these airlines flying high for the best pardon of two years. all analysts say buy. the target price is 27% above, so scott, gang, the real question is whether or not these type of consensus types moving is a contrarian -- >> i have a strong buy rating on those pants. are those vermilion? what shade of red is that? >> makes me want to buy clorox. >> you know, i love -- i just got to say, i had to travel early today. this is the travel outfit i had on. i had to throw a tie in. >> you must be beaticed ladies off with a stick today. >> i love the pants. >> thanks, guy. >>>. >> coming in straight from nantucket. >>

. >> deutsche bank downgrading transocean and diamond offsore saying both names will likely to have cut dividends. ansco also a sell rating. zboot problem is it's offshore oil which right now is not the energy play. it's a little late. a sell in rig, come on. but i still wouldn't buy it here. and if i am going to go offshore, i want to first go hornback offshore, hos. >>> coming up, "guardians of the galaxy" breaking box office records this weekend. so how can you profit? that's next. >>> then ever wondered what the "halftime" team does when they're not trading? i have every day. we're launching a new series that takes you off the desk and into the real world for a special "tradeoff." josh brown is going to be up first. >>> small caps taking a hard hit. while some investors are trying to scoop up bargains, bank of america's small cap strategist is warning against the sector. that and much more ahead on "the halftime report." stay tuned. but what if you could see more of what you wanted to know? with fidelity's new active trader pro investing platform, the information that's important to

this after deutsche bank downgraded noble corp, transocean and diamond offshore citing deterioration how all three are trading. you see to the down side, a noble selloff is a bit misleading. it just completed the spinoff of its offshore unit today. the shares are only down about 2% if you look at the overall -- the transaction, if you will. again, not 14%. just 2%, kayla, because it spun off one of its bigger operations, paragone offshore as a separate company. >> we'll keep an eye on the sector. >>> when we come back, "the new york times'" support of marijuana is growing into the world of advertising. we'll explain how that works in a moment. >>> first, rick santelli in chicago, what are you watching today? >> reporter: well, we're going to, of course, be watching ten-year rates. we're going to be watching a bit on the foreign exchange side. and maybe most of all we're going to try to garner exactly what's up with the dollar. the big number for today, 57.6. you want to know what it is? you have to come back after the break. what if there was a credit card where the reward was that n

there are a few names, newfield, diamond, transocean. a number of factors hitting energy right now.coming back online in terms of supply. that could be putting pressure on the price of oil. the dollar is stronger after yellen, moving in the opposite direction. that that are move -- >> what is the move on the dollar? come on. >> the dollar is stronger. it's back to 11-month highs. i wrote about it on cnbc.com yesterday. that's all. >> hence the reason we mention it, i guess. thank you very much. have a great weekend, everybody. let's hand it over now to "squawk alley" and kayla tausche. >> thank you so much. we'll look at the that are again this hour as it is moving l keep your spirit alive, sarah. >>> it is 8:00 a.m. in san francisco, california. it's 11:00 a.m. hear on wall street and "squawk alley" is live. ♪ another one bites the dust and another one gone ♪ ♪ another one bites the dust hey, i'm going to get you, too ♪ ♪ another one bites the dust ♪ >>> welcome to "squawk alley" on this summer friday. joining us today kara swisher and with us here for the full hour quite a treat,