(BKR) Baker Hughes - Overview
Stock: Drill Bits, Subsea Systems, Gas Turbines, Artificial Lift, Compressors, Sensors
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 2.14% |
| Yield on Cost 5y | 5.15% |
| Yield CAGR 5y | 6.32% |
| Payout Consistency | 90.5% |
| Payout Ratio | 35.4% |
| Risk 5d forecast | |
|---|---|
| Volatility | 29.0% |
| Relative Tail Risk | -7.96% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.76 |
| Alpha | 14.83 |
| Character TTM | |
|---|---|
| Beta | 1.142 |
| Beta Downside | 1.702 |
| Drawdowns 3y | |
|---|---|
| Max DD | 28.00% |
| CAGR/Max DD | 0.87 |
Description: BKR Baker Hughes January 28, 2026
Baker Hughes Company (NASDAQ:BKR) delivers a broad suite of technologies and services across the global energy and industrial value chain, organized into two main segments: Oilfield Services & Equipment (OFSE) and Industrial & Energy Technology (IET). The OFSE segment focuses on on-shore and off-shore oilfield operations-covering exploration, drilling, completions, artificial lift, subsea projects, and de-commissioning-while the IET segment supplies gas-technology equipment, compression and power-generation solutions, vibration monitoring, asset-performance software, and precision sensors for upstream through downstream customers.
In its most recent fiscal year (2025), Baker Hughes reported revenue of **$27.3 billion**, a **4.2 %** year-over-year increase, driven largely by higher drilling-services utilization and growth in its IET aftermarket business. Adjusted earnings per share rose to **$3.10**, and the company posted an operating margin of **12.1 %**, reflecting improved cost discipline amid a modest rebound in global oil demand.
Key macro drivers shaping the outlook include: (1) **Oil price volatility**-the Brent crude price averaged $84 / bbl in 2025, supporting drilling activity but also prompting customers to seek cost-efficient services; (2) **Energy-transition spending**-global capital allocation to carbon-capture, utilization, and storage (CCUS) projects is projected to grow at a 9 % CAGR through 2030, creating upside for Baker Hughes’ carbon-solutions portfolio; and (3) **Rig count trends**-the International Energy Agency reported a 6 % rise in worldwide active rigs YoY, indicating sustained upstream investment.
For a deeper dive into Baker Hughes’ valuation nuances, see the ValueRay analysis.
Piotroski VR‑10 (Strict, 0-10) 7.0
| Net Income: 2.66b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 1.78 > 1.0 |
| NWC/Revenue: 17.85% < 20% (prev 15.16%; Δ 2.69% < -1%) |
| CFO/TA 0.09 > 3% & CFO 3.81b > Net Income 2.66b |
| Net Debt (2.37b) to EBITDA (4.29b): 0.55 < 3 |
| Current Ratio: 1.36 > 1.5 & < 3 |
| Outstanding Shares: last quarter (994.0m) vs 12m ago -0.50% < -2% |
| Gross Margin: 23.60% > 18% (prev 0.21%; Δ 2339 % > 0.5%) |
| Asset Turnover: 69.99% > 50% (prev 72.54%; Δ -2.55% > 0%) |
| Interest Coverage Ratio: 13.96 > 6 (EBITDA TTM 4.29b / Interest Expense TTM 222.0m) |
Altman Z'' 1.04
| A: 0.12 (Total Current Assets 18.83b - Total Current Liabilities 13.88b) / Total Assets 40.88b |
| B: -0.10 (Retained Earnings -4.13b / Total Assets 40.88b) |
| C: 0.08 (EBIT TTM 3.10b / Avg Total Assets 39.62b) |
| D: 0.05 (Book Value of Equity 987.0m / Total Liabilities 19.27b) |
| Altman-Z'' Score: 1.04 = BB |
Beneish M -3.03
| DSRI: 1.16 (Receivables 8.26b/7.12b, Revenue 27.73b/27.83b) |
| GMI: 0.89 (GM 23.60% / 20.99%) |
| AQI: 0.98 (AQ_t 0.41 / AQ_t-1 0.42) |
| SGI: 1.00 (Revenue 27.73b / 27.83b) |
| TATA: -0.03 (NI 2.66b - CFO 3.81b) / TA 40.88b) |
| Beneish M-Score: -3.03 (Cap -4..+1) = AA |
What is the price of BKR shares?
Over the past week, the price has changed by -0.44%, over one month by +18.88%, over three months by +15.76% and over the past year by +20.76%.
Is BKR a buy, sell or hold?
- StrongBuy: 12
- Buy: 10
- Hold: 5
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the BKR price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 58.1 | 3.7% |
| Analysts Target Price | 58.1 | 3.7% |
| ValueRay Target Price | 69 | 23.2% |
BKR Fundamental Data Overview February 01, 2026
P/E Forward = 20.4499
P/S = 1.994
P/B = 2.9447
P/EG = 6.6017
Revenue TTM = 27.73b USD
EBIT TTM = 3.10b USD
EBITDA TTM = 4.29b USD
Long Term Debt = 5.99b USD (from longTermDebt, two quarters ago)
Short Term Debt = 689.0m USD (from shortTermDebt, last quarter)
Debt = 6.09b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.37b USD (from netDebt column, last quarter)
Enterprise Value = 57.67b USD (55.30b + Debt 6.09b - CCE 3.71b)
Interest Coverage Ratio = 13.96 (Ebit TTM 3.10b / Interest Expense TTM 222.0m)
EV/FCF = 19.78x (Enterprise Value 57.67b / FCF TTM 2.92b)
FCF Yield = 5.05% (FCF TTM 2.92b / Enterprise Value 57.67b)
FCF Margin = 10.51% (FCF TTM 2.92b / Revenue TTM 27.73b)
Net Margin = 9.59% (Net Income TTM 2.66b / Revenue TTM 27.73b)
Gross Margin = 23.60% ((Revenue TTM 27.73b - Cost of Revenue TTM 21.19b) / Revenue TTM)
Gross Margin QoQ = 23.73% (prev 24.27%)
Tobins Q-Ratio = 1.41 (Enterprise Value 57.67b / Total Assets 40.88b)
Interest Expense / Debt = 1.00% (Interest Expense 61.0m / Debt 6.09b)
Taxrate = 8.79% (253.0m / 2.88b)
NOPAT = 2.83b (EBIT 3.10b * (1 - 8.79%))
Current Ratio = 1.36 (Total Current Assets 18.83b / Total Current Liabilities 13.88b)
Debt / Equity = 0.28 (Debt 6.09b / totalStockholderEquity, last quarter 21.61b)
Debt / EBITDA = 0.55 (Net Debt 2.37b / EBITDA 4.29b)
Debt / FCF = 0.81 (Net Debt 2.37b / FCF TTM 2.92b)
Total Stockholder Equity = 18.63b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.71% (Net Income 2.66b / Total Assets 40.88b)
RoE = 14.28% (Net Income TTM 2.66b / Total Stockholder Equity 18.63b)
RoCE = 12.59% (EBIT 3.10b / Capital Employed (Equity 18.63b + L.T.Debt 5.99b))
RoIC = 11.94% (NOPAT 2.83b / Invested Capital 23.67b)
WACC = 9.21% (E(55.30b)/V(61.39b) * Re(10.12%) + D(6.09b)/V(61.39b) * Rd(1.00%) * (1-Tc(0.09)))
Discount Rate = 10.12% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 0.71%
[DCF Debug] Terminal Value 75.47% ; FCFF base≈2.57b ; Y1≈2.85b ; Y5≈3.72b
Fair Price DCF = 50.13 (EV 51.83b - Net Debt 2.37b = Equity 49.46b / Shares 986.8m; r=9.21% [WACC]; 5y FCF grow 12.72% → 2.90% )
EPS Correlation: 88.48 | EPS CAGR: 55.22% | SUE: 4.0 | # QB: 7
Revenue Correlation: 87.59 | Revenue CAGR: 11.96% | SUE: 1.36 | # QB: 1
EPS next Quarter (2026-03-31): EPS=0.53 | Chg30d=-0.020 | Revisions Net=-3 | Analysts=16
EPS current Year (2026-12-31): EPS=2.59 | Chg30d=-0.037 | Revisions Net=-2 | Growth EPS=-0.4% | Growth Revenue=-1.2%
EPS next Year (2027-12-31): EPS=2.91 | Chg30d=-0.047 | Revisions Net=+0 | Growth EPS=+12.4% | Growth Revenue=+4.3%