Stock Analysis | Baker Hughes Outlook - Mixed Technicals and Diverging Analyst Ratings

Market Snapshot

Headline Takeaway: Baker Hughes (BKR) is showing a negative price trend (-1.11%) despite some bullish technical indicators and mixed analyst opinions.

News Highlights

Recent news points to a broader energy and equipment focus:

• Acquisition Activity: Herc Holdings successfully completed a tender offer for H&E Equipment Services, signaling strong M&A momentum in the equipment space.
• Green Energy Development: China’s Jinan launched a green, low-carbon vehicle-grid interactive charging initiative, highlighting global interest in energy innovation, which could indirectly impact Baker Hughes as a services provider.
• Energy Equipment Partnership: Two major U.S. energy firms pledged to buy Michigan-made equipment, underscoring a push for domestic manufacturing that could benefit Baker Hughes if it expands its U.S. operations.

Analyst Views & Fundamentals

Baker Hughes has seen a range of analyst ratings over the last 20 days, with a simple average rating of 3.89 and a performance-weighted rating of 2.18. This indicates a relatively neutral stance among analysts but with a weaker performance tilt.

There’s notable dispersion in analyst sentiment, with ratings ranging from “Underperform” to “Strong Buy.” The highest-rated analyst was David Anderson (Barclays) with a 57.1% historical win rate, while Tom Curran (Seaport Global) had a 0.0% win rate.

Analyst sentiment is misaligned with the recent price trend, which shows a decline of -1.11%—a sign of cautious market behavior.

Key fundamental values and internal diagnostic scores (0-10):

• Net Profit Margin (NPM): 10.29% – Internal diagnostic score: 3
• Return on Assets (ROA): 1.84% – Internal diagnostic score: 3
• Price-to-Earnings (PE) ratio: 61.76 – Internal diagnostic score: 1
• Net Income-to-Revenue: 13.03% – Internal diagnostic score: 3
• Cash-to-Market Value ratio: -39.10% – Internal diagnostic score: 1
• Earnings per Share (YoY growth): 6.73% – Internal diagnostic score: 2
• Total Profit (YoY growth): 4.30% – Internal diagnostic score: 3

These fundamentals suggest modest profit growth but a high valuation and weak liquidity.

Money-Flow Trends

Baker Hughes has seen negative flow patterns across all investor sizes in the last 5 days:

• Small investors: -49.19% flow ratio
• Medium investors: -48.83% flow ratio
• Large investors: -49.01% flow ratio
• Extra-large investors: -35.61% flow ratio

With an overall flow ratio of -40.30%, this suggests a broad-based selling pressure. The stock has an internal diagnostic fund-flow score of 7.25, indicating it is in the “good” range for big-money activity.

Key Technical Signals

Baker Hughes’ technical picture shows mixed signals, with one bullish and two bearish indicators over the last 5 days:

• WR Oversold (Bullish): Internal diagnostic score: 7.19 – indicates the stock may be oversold and due for a rebound.
• Bearish Engulfing (Bearish): Internal diagnostic score: 1 – suggests a strong downward reversal pattern.
• Dividend Payable Date (Bearish): Internal diagnostic score: 1 – historically has a negative impact on the stock price around this time.

Recent chart activity:

• August 11–15: WR Oversold occurred twice, but was followed by a Bearish Engulfing and a Dividend Payable Date, creating a negative cluster.
• August 8–7: WR Oversold signaled bullish momentum before the negative cluster.

Overall, the technical trend is weak, with mixed momentum and unclear direction, as noted by our model. Internal diagnostic technical score: 3.06.

Conclusion

Actionable Takeaway: Given the mixed technical signals and divergent analyst views, Baker Hughes is showing a cautious profile. Investors should consider waiting for clearer momentum signals or monitor the stock for a pullback before committing capital. With an overall internal diagnostic score of 3.06 and a recent price decline, it may be best to hold off unless a stronger bullish pattern emerges.