UPDATE: Citigroup Initiates Coverage on Hornbeck Offshore Services with Buy Rating, $60 PT

In a report published Friday, Citigroup initiated coverage on Hornbeck Offshore Services

with a Buy rating and $60.00 price target. Citigroup noted, “We are initiating coverage of Hornbeck Offshore Services, Inc. (HOS) with a Buy rating and $60 price target, implying a 72% estimated total return. Our price target of $60 is 32% higher than the FactSet consensus price target of $45.54. The stock has pulled back by 18% from a 52-week high of $43.83 in August 2012, driven by three consecutive negative-surprise quarters, but we attribute the recent earnings pressures largely to GoM utilization issues that the stretch program should effectively address.” Hornbeck Offshore Services closed on Thursday at $34.91.