BKR

Baker Hughes Company

Fundamental data last updated:September 6, 2026

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company profile

SECTOR

Energy

industry

Oil & Gas Equipment & Services

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

Not Scheduled

Business Summary

Baker Hughes Co. is a holding company, which engages in the provision of oilfield products, services, and digital solutions. It operates through the Oilfield Services and Equipment (OFSE) and industrial and Energy Technology (IET) segments. The OFSE segment designs and manufactures products and provides services for onshore and offshore oilfield operations. The IET segment combines expertise, technologies, and services for industrial and energy customers including on and off-shore, LNG, pipeline and gas storage, refining, petrochemical, distributed gas, flow and process control, and industrial segments such as nuclear, aviation, automotive, marine, food and beverage, mining, cement and utilities. The company was founded in April 1987 and is headquartered in Houston, TX.

 


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VALUATION

P/E

16.92

Market Cap ($M USD)

$52.83B

Forward P/E

11.45

PEG

0.24

PRICE TO SALES

1.89

PRICE TO BOOK

2.73

EV / EBITDA

10.62

5-Year Average P/E

Free Cash Flow Yield

4.34%

DCF Value

$60.55

Graham Number

$37.17

Price to FCF

23.05

EV to FCF

23.66

Earnings Yield

5.91%

FCF Yield

4.34%

DIVIDEND

Yield

1.73%

Annual Payout

$0.92

Payout Ratio

29.17%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$3.15

Next Year EPS Growth Estimate

$4.65

Next Year Revenue Growth Estimate

$37.38B

Return on Equity (ROE)

16.84%

FREE CASH FLOW

Operating Margin

12.96%

Debt-to-Equity

0.38

Piotroski F-Score

6

Altman Z-Score

2.09

Return on Invested Capital (ROIC)

9.64%

Current Ratio

2.13

Quick Ratio

1.77

Net Debt to EBITDA

0.27

Interest Coverage

14.06

Gross Profit margin

23.57%

FCF PER SHARE

$2.32

REVENUE PER SHARE

$28.17

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Gainseekers Quantitative Analysis

Summary

Baker Hughes presents a compelling yet complex valuation picture. Recent pricing indicated it traded above its DCF value, suggesting a potential overvaluation. However, the Forward P/E of 18.32 and a solid Earnings Yield of 4.89% reflect reasonable growth expectations. The Altman Z-score of 2.27 signals moderate financial health, not quite a fortress but stable enough. The market seems to price in growth, yet the Graham Number suggests a more conservative valuation, hinting at a cautious optimism.

AI Exposure / Tech Reliance

In the rapidly evolving energy sector, Baker Hughes stands poised to leverage AI and tech advancements. As an Oil & Gas Equipment & Services provider, integrating AI could optimize operations and enhance efficiency. This adaptability is crucial for maintaining a competitive edge in a tech-driven landscape.

The Bull Case

For the discerning GARP investor, Baker Hughes offers attractive institutional tailwinds. With a robust ROIC of 9.64% and a Piotroski F-Score of 6, the company demonstrates efficient capital allocation and solid financial health. Its Operating Margin of 12.96% and a manageable Debt/Equity ratio of 0.38 further underscore its pricing power and operational efficiency. The FCF Yield, though modest, indicates potential for future cash flow growth, making it a viable candidate for value-focused portfolios.

The Bear Case

Despite its strengths, Baker Hughes faces structural risks that cannot be ignored. The Price/Book ratio of 3.30 and Price/Sales of 2.29 suggest a premium valuation, potentially limiting upside. Additionally, the stock's proximity to its 52-week high raises concerns about technical overextension. The EV to FCF ratio of 28.43 highlights cash flow challenges, questioning the sustainability of its current valuation levels.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$73.20

Institutional Ownership %

1-Year Beta

0.96

Insider Buying % (6 Mo)

Distance to 52-Week High

32.23%

Distance to 52-Week Low

27.94%

EARNINGS SURPRISE %

17.62%

50-DAY SMA

$63.22

200-DAY SMA

$55.64

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.