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Oilfield services firm Hornbeck Offshore Services Inc. (HOS - Snapshot Report) reported the closure of its previously declared sale agreement with Genesis Marine LLC, a subsidiary of diversified midstream energy operator, Genesis Energy LP (GEL - Snapshot Report).

Per the contract, Hornbeck divested nine ocean-going tugs and nine double-hulled tank barges fleet of its downstream segment for $230.0 million in cash. But excluding estimated cash taxes along with other expenses, Hornbeck got roughly $224.0 million. Hornbeck expects to utilize the proceeds for normal corporate activities comprising debt retirement, vessels manufacturing along with other purposes.

On Jul 31, 2013, Hornbeck declared second-quarter 2013 results. The company posted earnings per share of 67 cents per share (excluding loss effect on early debt extinguishment), beating the Zacks Consensus Estimate of 53 cents. The reported figure also increased by a whopping 91.4% from adjusted 35 cents per share posted in the year-ago period. The improvement was on the back of significant progress in both the Upstream and the Downstream operations.

Covington, LA-based Hornbeck purveys offshore supply vessels of new generations and improved technology specifically in Latin America along with the U.S. Gulf of Mexico. The company is mainly operating through two segments, namely, Upstream and Downstream. At present, the company has a fleet of 58 vessels in order to provide services to the energy companies. Moreover, the company owns extra 23 high-spec vessels for upstream activities which are in the process of construction.

Hornbeck currently retains a Zacks Rank #3 (Hold), implying that it is expected to perform in line with the broader U.S. equity market over the next one to three months.

However, one can look at oil field services firms like Chesapeake Energy Corporation (CHK - Analyst Report) and Gulfmark Offshore Inc. (GLF - Snapshot Report) that offer value. Chesapeake Energy sports a Zacks Rank #1 (Strong Buy) while Gulfmark Offshore carries a Zacks Rank #2 (Buy).

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