Sector Snap: Oilfield Services decline

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.