Brent crude oil for February delivery fell below $56 a barrel early Wednesday, according to Reuters, and was falling 3.1% to $56.12 a barrel later in the morning. WTI crude oil for February delivery was falling 2.7% to $52.68 a barrel Wednesday morning.
Oil prices came under pressure after a survey showed that China's factory industry shrank for the first time in seven months in December, according to Reuters.
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The price of Brent crude was nearly halved in 2014 while demand growth slowed, U.S. shale production increased, and OPEC announced it would not reduce its production targets for 2015.
TheStreet Ratings team rates KEY ENERGY SERVICES INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate KEY ENERGY SERVICES INC (KEG) a SELL. This is driven by a number of negative factors, 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 feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, poor profit margins and weak operating cash flow."