Susquehanna Financial Group has adjusted its price target for Baker Hughes (BKR, Financial), reducing it from $48 to $46. Despite this reduction, the firm maintains a Positive rating on the company's shares.
This revision follows the analysis of Baker Hughes' performance in the first quarter, where the firm's outlook was updated with new forecasts. The primary reason for the lowered target stems from decreased expectations in the Oilfield Services and Equipment (OFSE) segment. This segment is anticipated to face challenges due to unclear economic conditions and a decline in commodity prices.
The uncertainties in the economic landscape and volatility in commodity pricing are expected to dampen drilling and completion activities within the oilfield services sector. These factors have influenced Susquehanna's revised model and subsequent adjustment to the price target for Baker Hughes.
