NEW YORK (TheStreet) -- Shares of Diamond Offshore Drilling (DO) - Get Report  declined on heavy trading volume on Monday after reporting lower-than-expected revenue for the 2016 third quarter.

Before the market open, the Houston-based offshore driller said revenue fell 10% year-over-year to $349.2 million, missing analysts' estimates of $361.3 million.

Adjusted earnings of 10 cents per share beat the FactSet consensus of 7 cents per share. 

Wells Fargo sees the third-quarter results as a positive, as per-share earnings and EBITDA beat on costs despite lower revenue, Barron's reports.

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About 5.36 million shares of Diamond Offshore traded hands today, well above the company's average trading volume of roughly 4.18 million shares a day.

Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D.

Diamond Offshore's weaknesses include its deteriorating net income, disappointing return on equity, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.

You can view the full analysis from the report here: DO

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author. 

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