BKR's one year PEG ratio, measuring expected growth in earnings next year relative to current common stock price is 0.16 -- higher than only 2.94% of US-listed equities with positive expected earnings growth.
Of note is the ratio of Baker Hughes Co's sales and general administrative expense to its total operating expenses; only 6.74% of US stocks have a lower such ratio.
Over the past twelve months, BKR has reported earnings growth of -1,238.19%, putting it ahead of only 1.61% of US stocks in our set.
Stocks with similar financial metrics, market capitalization, and price volatility to Baker Hughes Co are PE, CORR, CNQ, AXR, and KFFB.
Baker Hughes Company provides integrated oilfield products, services, and digital solutions worldwide. The company was formerly known as Baker Hughes, a GE company and changed its name to Baker Hughes Company in October 2019. Baker Hughes Company is based in Houston, Texas.
BKR Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Baker Hughes Co. To summarize, we found that Baker Hughes Co ranked in the 29th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Baker Hughes Co, consider:
Baker Hughes Co's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.
Baker Hughes Co's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -39.19. This coverage rate is greater than that of merely 3.42% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Relative to other stocks in its sector (Energy), Baker Hughes Co has a reliance on debt greater than merely 21.76% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
PBR, PSXP, CKH, AROC, and PBA can be thought of as valuation peers to BKR, in the sense that they are in the Energy sector and have a similar price forecast based on DCF valuation.
Wells Fargo came away from meetings with management of Oilfield Services companies wary of downside risks for activity in the lower 48 states - with a lower bias for Q3 in some cases, and weaker activity prospects across the board for Q4. The bank's Christopher Voie and team met this...