Baker Hughes Faces Market Challenges Amid Positive Q1 Earnings
- Baker Hughes (BKR, Financial) reports first-quarter earnings that beat projections but still suffers a stock dip.
- The company anticipates a significant $100M-$200M impact on annual core profit due to tariffs.
- Despite maintaining revenues at $6.43 billion, net income decreases as global oil spending trends shift.
First-Quarter Earnings and Tariff Challenges
Baker Hughes (BKR) recently disclosed its first-quarter earnings, revealing results that surpassed analyst expectations. However, this was met with a 4.7% decline in stock value. The company has warned of a potential $100 million to $200 million reduction in its annual core profit due to the effects of tariffs. Despite achieving steady revenues of $6.43 billion, the quarterly net income dipped to $402 million from $455 million the previous year. Concerns about diminished global oil producer spending and the cost repercussions of tariffs have further cast a shadow over the company's outlook.
Wall Street Analysts Forecast
According to the insights of 23 analysts, the average one-year price target for Baker Hughes Co (BKR, Financial) is calculated at $49.44, with predictions ranging from a high of $58.00 to a low of $40.00. This average target indicates a potential upside of 33.91% from the current stock price of $36.92. For comprehensive estimate data, visit the Baker Hughes Co (BKR) Forecast page.
Brokerage Recommendations and GF Value
Currently, 26 brokerage firms have arrived at a consensus recommendation for Baker Hughes Co (BKR, Financial), awarding it an average recommendation rating of 1.9, which translates to an "Outperform" status. This rating is derived from a scale of 1 to 5, where 1 signifies a Strong Buy, and 5 represents a Sell.
The estimated GF Value for Baker Hughes Co (BKR, Financial) over a year is projected at $38.03, indicating a modest upside of 3.01% from its present trading price of $36.92. The GF Value is an estimate of the fair stock value based on historical trading multiples, past business growth, and future performance forecasts. Explore further details on the Baker Hughes Co (BKR) Summary page.
