Baker Hughes Valuation

Is 68V undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 68V when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
CHF 53.59
Fair Value
21.1% undervalued intrinsic discount
26
Number of Analysts

Below Fair Value: 68V (CHF42.26) is trading below our estimate of fair value (CHF53.59)

Significantly Below Fair Value: 68V is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 68V?

Key metric: As 68V is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 68V. This is calculated by dividing 68V's market cap by their current earnings.
What is 68V's PE Ratio?
PE Ratio15.6x
EarningsUS$2.98b
Market CapUS$46.52b

Price to Earnings Ratio vs Peers

How does 68V's PE Ratio compare to its peers?

The above table shows the PE ratio for 68V vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.4x
SLB Schlumberger
12.6x9.2%US$56.1b
HAL Halliburton
8.8x5.1%US$22.4b
TEN Tenaris
7.8x-6.8%€19.9b
FTI TechnipFMC
20.5x13.6%US$13.1b
68V Baker Hughes
15.6x4.0%CHF 46.5b

Price-To-Earnings vs Peers: 68V is expensive based on its Price-To-Earnings Ratio (15.6x) compared to the peer average (12.5x).


Price to Earnings Ratio vs Industry

How does 68V's PE Ratio compare vs other companies in the European Energy Services Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
68V 15.6xIndustry Avg. 9.2xNo. of Companies7PE0816243240+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 68V is expensive based on its Price-To-Earnings Ratio (15.6x) compared to the European Energy Services industry average (9.3x).


Price to Earnings Ratio vs Fair Ratio

What is 68V's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

68V PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.6x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 68V's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 68V forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
CHF 46.68
0%
10.6%CHF 52.56CHF 30.81n/a26
Feb ’26n/a
CHF 44.12
0%
10.3%CHF 50.09CHF 30.96n/a26
Jan ’26n/a
CHF 41.95
0%
8.9%CHF 47.63CHF 30.55n/a26
Dec ’25n/a
CHF 39.54
0%
9.5%CHF 47.39CHF 30.40n/a26
Nov ’25n/a
CHF 37.68
0%
8.1%CHF 45.92CHF 29.46n/a26
Oct ’25n/a
CHF 35.84
0%
7.7%CHF 42.03CHF 28.58n/a26
Sep ’25n/a
CHF 36.20
0%
7.7%CHF 42.35CHF 28.80n/a26
Aug ’25n/a
CHF 37.19
0%
7.8%CHF 43.68CHF 29.70n/a27
Jul ’25n/a
CHF 36.53
0%
7.8%CHF 41.34CHF 30.56n/a26
Jun ’25n/a
CHF 36.88
0%
7.7%CHF 41.78CHF 30.88n/a26
May ’25n/a
CHF 37.56
0%
6.9%CHF 42.29CHF 31.25n/a26
Apr ’25n/a
CHF 35.58
0%
8.0%CHF 43.05CHF 29.87n/a26
Mar ’25n/a
CHF 35.58
0%
8.0%CHF 43.05CHF 29.87n/a26
Feb ’25n/a
CHF 34.68
0%
8.4%CHF 42.28CHF 29.33n/a27
Jan ’25n/a
CHF 34.74
0%
9.1%CHF 40.21CHF 25.67n/a29
Dec ’24n/a
CHF 36.72
0%
8.8%CHF 42.41CHF 27.07n/a29
Nov ’24n/a
CHF 36.98
0%
8.8%CHF 42.75CHF 27.29n/a29
Oct ’24n/a
CHF 36.42
0%
8.8%CHF 43.02CHF 27.46n/a28
Sep ’24n/a
CHF 34.66
0%
8.1%CHF 38.64CHF 26.35n/a28
Aug ’24n/a
CHF 33.72
0%
9.2%CHF 38.04CHF 25.94n/a27
Jul ’24n/a
CHF 32.47
0%
10.2%CHF 38.49CHF 25.06n/a25
Jun ’24n/a
CHF 32.15
0%
10.7%CHF 38.19CHF 23.98n/a25
May ’24n/a
CHF 32.15
0%
10.7%CHF 38.19CHF 23.98n/a25
Apr ’24n/a
CHF 34.46
0%
9.0%CHF 40.51CHF 25.43n/a24
Mar ’24n/a
CHF 33.77
0%
9.4%CHF 39.80CHF 26.38n/a24
Feb ’24n/a
CHF 33.17
0%
9.3%CHF 38.86CHF 26.37n/a24
Analyst Price Target
Consensus Narrative from 26 Analysts
CHF 46.33
Fair Value
8.8% undervalued intrinsic discount
26
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/07 06:38
End of Day Share Price 2025/01/22 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Baker Hughes Company is covered by 50 analysts. 22 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
William SeleskyArgus Research Company
Waqar SyedATB Capital Markets
Finbarr MacCarthyAtlantic Equities LLP