Sector Snap: Oilfield Services decline

Shares of oilfield services companies fell Tuesday after an analyst said their share prices "fairly reflect the continued growth we anticipate."

Since Feb. 6, the Philadelphia Oil Service Sector Index, or OSX, has climbed about 37 percent.

Calyon Securities (USA) analyst Mark Urness said in a client note that as a result of the big runup, he was downgrading shares of Helmerich & Payne Inc., Oil States International Inc. and Willbros Group Inc. to "Neutral" from "Add." He also cut the rating on shares of McDermott International Inc. to "Add" from "Buy."

"On a relative basis, the OSX now trades in parity with S&P 500 forward valuations," Urness said. "This is the highest valuation achieved by the OSX (relative to the S&P 500) since May 2006."

In afternoon trading, Helmerich & Payne fell $1.76, or 2.7 percent, to $64.98; Oil States International fell $2.76, or 4.4 percent, to $58.24; Willbros Group fell $1.05, or 2.3 percent, to $45.48; and McDermott International fell $2.19, or 3.3 percent, to $64.13.

The OSX was down 10.58, or 3 percent, to 340.