NEW YORK (TheStreet) -- Ensco (ESV) shares are down 0.88% to $20.28 in trading on Monday as falling oil prices take their toll on the sector and oil services companies suffer.

Oil prices are at their lowest point in six years in trading today as industry benchmark Brent crude for April delivery fell to 2.49% to $53.31 per barrel, while West Texas crude is also down 3.08% to $43.46.

The decline comes despite a report from OPEC today forecasting that U.S. oil output, which may be to blame for the glut of supply on the market and therefore responsible for the fall in oil prices, would begin to taper off later this year.

Instead, investors seem more concerned with negotiations between the U.S. and Iran concerning the latter's nuclear enrichment program, which could lead to the lifting of sanctions against Iran, leading to more Iranian oil in an already oversupplied market.

The decision on an agreement is expected to be reached by the end of the month, according to the Wall Street Journal.

Jim Cramer, Portfolio Manager of the Action Alerts PLUS charitable trust, believes that the offshore drilling segment may be the worst bet in the oil sector right now.

"Oil companies have been able to cut down the time it takes to drill a well and have driven the drillers to take much lower price on the current jobs, some of the fees being cut by one-third because of the collapse in drilling. The rig count in this country, as maintained by Baker Hughes, has declined for 14 straight weeks and has now fallen an astonishing 46% then the peak just last October.

Worse: offshore rates are collapsing, as you know, from the declines in Transocean  (RIG) - Get Report, Seadrill (SDRL) - Get Report, Diamond Offshore (DO) - Get Report... This one may be among the least desirable in the entire godforsaken industry," said Cramer.

TheStreet Ratings team rates ENSCO PLC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:

"We rate ENSCO PLC (ESV) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

• The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Energy Equipment & Services industry. The net income has significantly decreased by 1055.1% when compared to the same quarter one year ago, falling from $361.40 million to -$3,451.80 million.
• Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Energy Equipment & Services industry and the overall market, ENSCO PLC's return on equity significantly trails that of both the industry average and the S&P 500.
• Net operating cash flow has declined marginally to $530.80 million or 3.12% when compared to the same quarter last year. In conjunction, when comparing current results to the industry average, ENSCO PLC has marginally lower results.
• Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 56.48%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 877.64% compared to the year-earlier quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
• ENSCO PLC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, ENSCO PLC swung to a loss, reporting -$11.69 versus $6.08 in the prior year. This year, the market expects an improvement in earnings ($4.25 versus -$11.69).
• You can view the full analysis from the report here: ESV Ratings Report