Baker Hughes Company

$ 58.41 -2.76 %

Based in Houston, Texas, Baker Hughes Company is a global provider of diverse technologies and services tailored for the energy and industrial sectors. The company operates through four primary business segments: Oilfield Services (OFS), Oilfield Equipment (OFE), Turbomachinery & Process Solutions (TPS), and Digital Solutions (DS). Oilfield Services (OFS) assists oil and natural gas companies and other service providers with solutions for exploration, drilling, well evaluation, completion, production, and intervention. This segment supplies various products, including drilling and completion fluids, wireline tools, downhole completion systems, wellbore intervention equipment, pressure pumping technologies, oilfield and industrial chemicals, and artificial lift systems. Oilfield Equipment (OFE) delivers subsea and surface wellheads, pressure control apparatus, production systems and associated services, along with flexible pipe solutions for both offshore and onshore applications. It also provides comprehensive lifecycle services, such as well intervention and decommissioning, in addition to supporting onshore and offshore drilling and production activities. Turbomachinery & Process Solutions (TPS) specializes in equipment and related services for mechanical drive, compression, and power generation needs across the oil and gas industry. Its extensive product range includes drivers, compressors, full-system solutions, pumps, valves, and technologies for compressed natural gas and small-scale liquefied natural gas. This segment caters to upstream, midstream, downstream, onshore, offshore, and various industrial clients. Digital Solutions (DS) offers advanced digital tools and services, including sensor-based process measurement, machine health and condition monitoring, asset management and strategy, and control systems. Additionally, it provides non-destructive testing, inspection, and pipeline integrity management solutions. The company was rebranded as Baker Hughes Company in October 2019, having previously operated under the name Baker Hughes, a GE company.

CEO: Lorenzo Simonelli - https://www.bakerhughes.com

Price objectif

$73.2 25.32 %

Recommandation

Buy

DCF

$ 60.73

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BKR vs S&P500

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Quick ratio

1.77

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

18.66

is considered reasonable, suggesting that the company has a valuation in line with its current profits.

EPS

3.13

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

16.84 %

reflects reasonable profitability, showing good use of equity.

ROIC

8.30 %

generates a return higher than the cost of its capital, thereby creating value for its investors.

WACC

7.94

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

0.84

indicates that the company uses more equity than debt, suggesting prudent management.

Free cash flow per share

2.32

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

29.17 %

indicates that the company is retaining a large portion of its profits to reinvest in growth

Earnings per share

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Financials

Piotroski score
6 indicates moderate financial health
Altman score
2.20 indicates an uncertain financial situation
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Cash / Debt

Cash Ratio
1.10 indicates that the company has sufficient cash to cover its short-term debts
Debt Ratio
0.32 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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