NEW YORK (TheStreet) -- Shares of Superior Energy Services (SPN) were falling 16.77% to $15.44 on heavy trading volume early Tuesday afternoon after the company posted 2016 third quarter results that fell short of analysts' expectations.
Late yesterday, the Houston-based energy services provider reported an adjusted loss of 73 cents per share, wider than analysts' estimates of a loss of 57 cents per share.
Revenue of $326.2 million for the quarter missed Wall Street's projections of $357.5 million.
"The third quarter was clearly one of transition in U.S. land markets," CEO David Dunlap said in a company statement. "We've maintained throughout the downturn that we will respond early when market conditions improve and that is exactly what we began to do as the third quarter progressed."
Citigroup downgraded the stock to "neutral" from "buy" and cut its price target to $19 from $22 following the report, according to the Fly.
Additionally, oil prices were declining this afternoon after OPEC member Iraq said it hopes to reach an output deal that would allow it to preserve its current production level, Reuters reports.
In late September, OPEC agreed to cut output by 700,000 barrels per day in November. This deal would bring output levels to between 32.5 million barrels per day and 33 million barrels per day.
A stronger dollar also pressured oil prices today, as the greenback-denominated commodity became more expensive to foreign buyers.
Crude oil (WTI) was down 1.19% to $49.92 per barrel while Brent crude was falling 1.24% to $50.82 per barrel this afternoon.
More than 10.13 million shares of Superior have traded hands so far today vs. the 30-day average of 3.32 million shares.
Separately, 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 articles's author.
TheStreet Ratings rated this stock as a "sell" with a ratings score of D.
The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity, poor profit margins and weak operating cash flow.
You can view the full analysis from the report here: SPN