Baker Hughes Company

NasdaqGS:BKR Stock Report

Market Cap: US$36.1b

Baker Hughes Valuation

Is BKR 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 BKR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BKR ($36.04) is trading below our estimate of fair value ($44.53)

Significantly Below Fair Value: BKR is trading below fair value, but not by a significant amount.


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

BKR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.5x
Enterprise Value/EBITDA9.7x
PEG Ratio1.3x

Price to Earnings Ratio vs Peers

How does BKR's PE Ratio compare to its peers?

The above table shows the PE ratio for BKR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.8x
HAL Halliburton
9.7x7.8%US$26.1b
SLB Schlumberger
13.6x17.2%US$60.7b
FTI TechnipFMC
25.7x20.5%US$11.3b
WFRD Weatherford International
14x21.1%US$6.8b
BKR Baker Hughes
18x13.8%US$36.1b

Price-To-Earnings vs Peers: BKR is expensive based on its Price-To-Earnings Ratio (18x) compared to the peer average (15.8x).


Price to Earnings Ratio vs Industry

How does BKR's PE Ratio compare vs other companies in the US Energy Services Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.1%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.1%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: BKR is good value based on its Price-To-Earnings Ratio (18x) compared to the US Energy Services industry average (18.2x).


Price to Earnings Ratio vs Fair Ratio

What is BKR'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.

BKR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18x
Fair PE Ratio15.2x

Price-To-Earnings vs Fair Ratio: BKR is expensive based on its Price-To-Earnings Ratio (18x) compared to the estimated Fair Price-To-Earnings Ratio (15.2x).


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 BKR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$36.04
US$42.63
+18.3%
7.8%US$50.00US$34.00n/a26
Sep ’25US$35.17
US$42.74
+21.5%
7.7%US$50.00US$34.00n/a26
Aug ’25US$37.65
US$42.57
+13.1%
7.8%US$50.00US$34.00n/a27
Jul ’25US$34.94
US$40.64
+16.3%
7.8%US$46.00US$34.00n/a26
Jun ’25US$33.48
US$40.60
+21.3%
7.7%US$46.00US$34.00n/a26
May ’25US$31.89
US$40.86
+28.1%
6.9%US$46.00US$34.00n/a26
Apr ’25US$33.44
US$40.49
+21.1%
8.0%US$49.00US$34.00n/a26
Mar ’25US$29.96
US$40.49
+35.1%
8.0%US$49.00US$34.00n/a26
Feb ’25US$28.63
US$40.19
+40.4%
8.4%US$49.00US$34.00n/a27
Jan ’25US$34.18
US$40.60
+18.8%
9.1%US$47.00US$30.00n/a29
Dec ’24US$33.79
US$40.69
+20.4%
8.8%US$47.00US$30.00n/a29
Nov ’24US$34.84
US$40.66
+16.7%
8.8%US$47.00US$30.00n/a29
Oct ’24US$35.32
US$39.79
+12.6%
8.8%US$47.00US$30.00n/a28
Sep ’24US$36.81
US$39.46
+7.2%
8.1%US$44.00US$30.00US$35.1728
Aug ’24US$35.77
US$39.00
+9.0%
9.2%US$44.00US$30.00US$37.6527
Jul ’24US$31.61
US$36.28
+14.8%
10.2%US$43.00US$28.00US$34.9425
Jun ’24US$28.61
US$36.20
+26.5%
10.7%US$43.00US$27.00US$33.4825
May ’24US$28.88
US$36.20
+25.3%
10.7%US$43.00US$27.00US$31.8925
Apr ’24US$28.86
US$36.58
+26.8%
9.0%US$43.00US$27.00US$33.4424
Mar ’24US$31.09
US$36.48
+17.3%
9.4%US$43.00US$28.50US$29.9624
Feb ’24US$31.99
US$35.85
+12.1%
9.3%US$42.00US$28.50US$28.6324
Jan ’24US$29.53
US$33.45
+13.3%
8.9%US$38.00US$28.50US$34.1824
Dec ’23US$29.26
US$33.37
+14.0%
9.2%US$38.00US$28.50US$33.7924
Nov ’23US$28.50
US$32.66
+14.6%
9.5%US$38.00US$26.00US$34.8424
Oct ’23US$20.96
US$34.56
+64.9%
13.8%US$47.00US$26.00US$35.3223
Sep ’23US$24.60
US$35.32
+43.6%
13.4%US$47.00US$26.00US$36.8123

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


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