Baker Hughes Company Prepares for Earnings Report, Analysts Optimistic

With a market capitalization of $35.4 billion, Baker Hughes Company (BKR) stands as one of the leading oilfield service providers globally. The company excels in delivering integrated oilfield products, digital solutions, and industrial technologies to energy and industrial sectors. This includes support for traditional oil and gas operations, as well as a strategic push into clean energy innovations like liquefied natural gas (LNG) aimed at enhancing efficiency, reducing costs, and minimizing environmental impact.

Baker Hughes, headquartered in Houston, Texas, is set to report its fiscal Q1 2025 earnings on Tuesday, April 22, after market close. Analysts anticipate that BKR will report a profit of $0.48 per share, reflecting an 11.6% increase from $0.43 per share in the same quarter last year. Notably, the company has exceeded Wall Street’s earnings expectations in each of the last four quarters, including an 11.1% beat on consensus EPS estimates in Q4 2024.

Fiscal 2025 Expectations

In terms of broader forecasts, analysts predict Baker Hughes will deliver an EPS of $2.58 for fiscal 2025, which marks a 9.8% rise from $2.35 in fiscal 2024. Additionally, earnings are expected to further grow by 16.3%, reaching $3 in fiscal 2026.

BKR stock has appreciated 6.1% over the past year, outperforming the S&P 500 Index’s ($SPX) 2.7% decline and the Energy Select Sector SPDR Fund’s (XLE) 17.7% drop during the same timeframe.

Following its Q4 2024 earnings release on January 30, shares of Baker Hughes rose 3.5%. The earnings report exceeded analyst estimates with an adjusted EPS increase of 37.3% year-over-year, landing at $0.70 and a revenue uptick of 7.7% to $7.4 billion. Strong performance in the Industrial & Energy Technology segment was a key driver, featuring a 21% increase in revenue and a 24% rise in orders, thanks in part to a 44% surge in demand for gas technology solutions. Furthermore, robust free cash flow grew by 41.2% compared to the previous year, totaling $894 million, which reinforced investor confidence.

Management’s favorable outlook for 2025 also adds to investor optimism, with goals set for a 20% EBITDA margin within the Oilfield Services & Equipment segment.

Analyst Ratings and Performance

The consensus rating for Baker Hughes’ stock remains bullish, labeled as a “Strong Buy” overall. Among the 23 analysts monitoring the stock, 19 have assigned “Strong Buy” ratings, one a “Moderate Buy,” and three have rated it as a “Hold.” Currently, BKR is trading below the average analyst price target of $52.88.

On the date of publication,

Sohini Mondal

did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is purely for informational purposes. For more details, please view the Barchart Disclosure Policy

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