(BKR) Baker Hughes - Overview
Sector: Energy | Industry: Oil & Gas Equipment & Services | Exchange: NASDAQ (USA) | Market Cap: 64.098m USD | Total Return: 75.7% in 12m
Industry Rotation: +17.3
Avg Turnover: 508M
EPS Trend: 81.1%
Qual. Beats: 4
Rev. Trend: 79.1%
Qual. Beats: 2
Warnings
Below Avwap Earnings
Tailwinds
Tailwind, Pullback Swing
Baker Hughes Company (BKR) operates as an energy technology provider through two primary segments: Oilfield Services & Equipment (OFSE) and Industrial & Energy Technology (IET). The OFSE division supports the entire lifecycle of oil and gas assets, offering drilling services, subsea production systems, and decommissioning solutions. The IET segment focuses on gas technology equipment, including turbines and compressors, alongside industrial software and climate technology solutions.
The company operates within the Oil & Gas Equipment & Services sub-industry, a sector characterized by high capital intensity and sensitivity to global upstream capital expenditure cycles. Baker Hughes has increasingly diversified its business model toward the energy transition, integrating AI-driven optimization tools and carbon capture technologies to serve both traditional energy firms and the expanding data center market. Investors may find it useful to examine ValueRay for deeper insights into the firms valuation metrics.
- Global LNG infrastructure demand drives long-term Industrial and Energy Technology backlog
- Offshore oilfield service expansion increases high-margin revenue across international markets
- Strategic pivot toward hydrogen and carbon capture scales new energy technology growth
- Volatility in global crude prices impacts upstream capital expenditure and service demand
- AI-enabled data center power solutions diversify revenue beyond traditional fossil fuel sectors
| Net Income: 3.12b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA -0.77 > 1.0 |
| NWC/Revenue: 54.42% < 20% (prev 15.26%; Δ 39.16% < -1%) |
| CFO/TA 0.07 > 3% & CFO 3.60b > Net Income 3.12b |
| Net Debt (1.40b) to EBITDA (4.55b): 0.31 < 3 |
| Current Ratio: 2.13 > 1.5 & < 3 |
| Outstanding Shares: last quarter (996.0m) vs 12m ago -0.30% < -2% |
| Gross Margin: 23.57% > 18% (prev 0.23%; Δ 2.33k% > 0.5%) |
| Asset Turnover: 62.68% > 50% (prev 73.05%; Δ -10.37% > 0%) |
| Interest Coverage Ratio: 12.82 > 6 (EBITDA TTM 4.55b / Interest Expense TTM 257.0m) |
| A: 0.30 (Total Current Assets 28.59b - Total Current Liabilities 13.41b) / Total Assets 50.90b |
| B: -0.05 (Retained Earnings -2.32b / Total Assets 50.90b) |
| C: 0.07 (EBIT TTM 3.30b / Avg Total Assets 44.50b) |
| D: -0.13 (Book Value of Equity -4.17b / Total Liabilities 31.41b) |
| Altman-Z'' Score: 2.17 = BBB |
| DSRI: 1.00 (Receivables 6.70b/6.71b, Revenue 27.89b/27.84b) |
| GMI: 0.97 (GM 23.57% / 22.81%) |
| AQI: 0.78 (AQ_t 0.33 / AQ_t-1 0.42) |
| SGI: 1.00 (Revenue 27.89b / 27.84b) |
| TATA: -0.01 (NI 3.12b - CFO 3.60b) / TA 50.90b) |
| Beneish M-Score: -3.20 (Cap -4..+1) = AA |
Over the past week, the price has changed by +0.35%, over one month by +11.02%, over three months by +5.00% and over the past year by +75.68%.
- StrongBuy: 12
- Buy: 10
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 70.8 | 8.2% |
P/E Forward = 24.0964
P/S = 2.298
P/B = 3.2817
P/EG = 2.5648
Revenue TTM = 27.89b USD
EBIT TTM = 3.30b USD
EBITDA TTM = 4.55b USD
Long Term Debt = 15.41b USD (from longTermDebt, last quarter)
Short Term Debt = 753.0m USD (from shortTermDebt, last quarter)
Debt = 16.16b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.40b USD (from netDebt column, last quarter)
Enterprise Value = 65.50b USD (64.10b + Debt 16.16b - CCE 14.76b)
Interest Coverage Ratio = 12.82 (Ebit TTM 3.30b / Interest Expense TTM 257.0m)
EV/FCF = 28.56x (Enterprise Value 65.50b / FCF TTM 2.29b)
FCF Yield = 3.50% (FCF TTM 2.29b / Enterprise Value 65.50b)
FCF Margin = 8.22% (FCF TTM 2.29b / Revenue TTM 27.89b)
Net Margin = 11.17% (Net Income TTM 3.12b / Revenue TTM 27.89b)
Gross Margin = 23.57% ((Revenue TTM 27.89b - Cost of Revenue TTM 21.32b) / Revenue TTM)
Gross Margin QoQ = 22.83% (prev 23.73%)
Tobins Q-Ratio = 1.29 (Enterprise Value 65.50b / Total Assets 50.90b)
Interest Expense / Debt = 0.53% (Interest Expense 86.0m / Debt 16.16b)
Taxrate = 26.37% (336.0m / 1.27b)
NOPAT = 2.43b (EBIT 3.30b * (1 - 26.37%))
Current Ratio = 2.13 (Total Current Assets 28.59b / Total Current Liabilities 13.41b)
Debt / Equity = 0.84 (Debt 16.16b / totalStockholderEquity, last quarter 19.31b)
Debt / EBITDA = 0.31 (Net Debt 1.40b / EBITDA 4.55b)
Debt / FCF = 0.61 (Net Debt 1.40b / FCF TTM 2.29b)
Total Stockholder Equity = 18.50b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.00% (Net Income 3.12b / Total Assets 50.90b)
RoE = 16.84% (Net Income TTM 3.12b / Total Stockholder Equity 18.50b)
RoCE = 9.72% (EBIT 3.30b / Capital Employed (Equity 18.50b + L.T.Debt 15.41b))
RoIC = 8.96% (NOPAT 2.43b / Invested Capital 27.09b)
WACC = 7.35% (E(64.10b)/V(80.26b) * Re(9.10%) + D(16.16b)/V(80.26b) * Rd(0.53%) * (1-Tc(0.26)))
Discount Rate = 9.10% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -69.01 | Cagr: -0.62%
[DCF] Terminal Value 82.19% ; FCFF base≈2.18b ; Y1≈2.41b ; Y5≈3.12b
[DCF] Fair Price = 62.16 (EV 63.07b - Net Debt 1.40b = Equity 61.67b / Shares 992.1m; r=7.35% [WACC]; 5y FCF grow 12.01% → 3.0% )
EPS Correlation: 81.09 | EPS CAGR: 55.79% | SUE: 1.18 | # QB: 4
Revenue Correlation: 79.12 | Revenue CAGR: 7.36% | SUE: 1.13 | # QB: 2
EPS current Quarter (2026-06-30): EPS=0.47 | Chg30d=-20.06% | Revisions=-68% | Analysts=15
EPS next Quarter (2026-09-30): EPS=0.56 | Chg30d=-16.92% | Revisions=-75% | Analysts=12
EPS current Year (2026-12-31): EPS=2.30 | Chg30d=-9.89% | Revisions=-67% | GrowthEPS=-11.6% | GrowthRev=-2.2%
EPS next Year (2027-12-31): EPS=2.79 | Chg30d=-4.92% | Revisions=-56% | GrowthEPS=+21.3% | GrowthRev=+6.7%
[Analyst] Revisions Ratio: -75%