The firm raised its price target on the marine transportation services company to $55 from $47.
Wunderlich said the ratings upgrade was due to its expectations the offshore support vessel market will improve as new rig deliveries drive demand in the Gulf of Mexico.
- The revenue growth came in higher than the industry average of 9.2%. Since the same quarter one year prior, revenues rose by 22.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
- HORNBECK OFFSHORE SVCS INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, HORNBECK OFFSHORE SVCS INC increased its bottom line by earning $1.76 versus $0.96 in the prior year. This year, the market expects an improvement in earnings ($3.23 versus $1.76).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Energy Equipment & Services industry. The net income increased by 96.9% when compared to the same quarter one year prior, rising from $11.30 million to $22.24 million.
- 49.32% is the gross profit margin for HORNBECK OFFSHORE SVCS INC which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 15.34% is above that of the industry average.
- Net operating cash flow has slightly increased to $38.50 million or 8.23% when compared to the same quarter last year. Despite an increase in cash flow, HORNBECK OFFSHORE SVCS INC's cash flow growth rate is still lower than the industry average growth rate of 49.45%.
- You can view the full analysis from the report here: HOS Ratings Report