BAKER HUGHES CO (68V.DE) Stock Fundamental Analysis
Europe - FRA:68V - US05722G1004 - Common Stock
39.74 EUR
+0.29 (+0.72%)
68V gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 37 industry peers in the Energy Equipment & Services industry. Both the profitability and the financial health of 68V get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, 68V is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year 68V was profitable.
68V had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: 68V reported negative net income in multiple years.
Each year in the past 5 years 68V had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 7.87%, 68V is doing good in the industry, outperforming 78.38% of the companies in the same industry.
Looking at the Return On Equity, with a value of 17.22%, 68V is in the better half of the industry, outperforming 67.57% of the companies in the same industry.
68V has a better Return On Invested Capital (11.38%) than 64.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 68V is below the industry average of 11.43%.
The 3 year average ROIC (9.18%) for 68V is below the current ROIC(11.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.87% | ||
| ROE | 17.22% | ||
| ROIC | 11.38% |
ROA(3y)3.76%
ROA(5y)-3.1%
ROE(3y)8.7%
ROE(5y)-6.02%
ROIC(3y)9.18%
ROIC(5y)6.97%
1.3 Margins
The Profit Margin of 68V (11.04%) is better than 64.86% of its industry peers.
68V's Profit Margin has improved in the last couple of years.
68V's Operating Margin of 12.99% is in line compared to the rest of the industry. 68V outperforms 54.05% of its industry peers.
In the last couple of years the Operating Margin of 68V has grown nicely.
The Gross Margin of 68V (22.58%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of 68V has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.99% | ||
| PM (TTM) | 11.04% | ||
| GM | 22.58% |
OM growth 3Y17.25%
OM growth 5Y13.35%
PM growth 3YN/A
PM growth 5Y81.94%
GM growth 3Y2.47%
GM growth 5Y2.69%
2. Health
2.1 Basic Checks
68V has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
68V has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 68V has been increased compared to 5 years ago.
68V has a better debt/assets ratio than last year.
2.2 Solvency
68V has an Altman-Z score of 2.32. This is not the best score and indicates that 68V is in the grey zone with still only limited risk for bankruptcy at the moment.
68V has a better Altman-Z score (2.32) than 75.68% of its industry peers.
The Debt to FCF ratio of 68V is 2.79, which is a good value as it means it would take 68V, 2.79 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 68V (2.79) is better than 64.86% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that 68V is not too dependend on debt financing.
68V has a better Debt to Equity ratio (0.34) than 72.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.79 | ||
| Altman-Z | 2.32 |
ROIC/WACC1.33
WACC8.57%
2.3 Liquidity
68V has a Current Ratio of 1.41. This is a normal value and indicates that 68V is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of 68V (1.41) is comparable to the rest of the industry.
A Quick Ratio of 1.00 indicates that 68V may have some problems paying its short term obligations.
With a Quick ratio value of 1.00, 68V is not doing good in the industry: 64.86% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
68V shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.05%, which is quite impressive.
68V shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.35% yearly.
The Revenue has been growing slightly by 2.13% in the past year.
68V shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.14% yearly.
EPS 1Y (TTM)30.05%
EPS 3Y55.53%
EPS 5Y23.35%
EPS Q2Q%10.53%
Revenue 1Y (TTM)2.13%
Revenue growth 3Y10.72%
Revenue growth 5Y3.14%
Sales Q2Q%-3.21%
3.2 Future
The Earnings Per Share is expected to grow by 8.01% on average over the next years. This is quite good.
Based on estimates for the next years, 68V will show a small growth in Revenue. The Revenue will grow by 2.13% on average per year.
EPS Next Y2.82%
EPS Next 2Y6.41%
EPS Next 3Y9.61%
EPS Next 5Y8.01%
Revenue Next Year-1.53%
Revenue Next 2Y0.96%
Revenue Next 3Y2.75%
Revenue Next 5Y2.13%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.66, 68V is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as 68V.
When comparing the Price/Earnings ratio of 68V to the average of the S&P500 Index (27.20), we can say 68V is valued slightly cheaper.
68V is valuated rather expensively with a Price/Forward Earnings ratio of 17.48.
68V's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. 68V is more expensive than 78.38% of the companies in the same industry.
68V is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.71, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.66 | ||
| Fwd PE | 17.48 |
4.2 Price Multiples
64.86% of the companies in the same industry are cheaper than 68V, based on the Enterprise Value to EBITDA ratio.
68V's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 68V is more expensive than 67.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.37 | ||
| EV/EBITDA | 9.84 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
68V has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)6.62
PEG (5Y)0.8
EPS Next 2Y6.41%
EPS Next 3Y9.61%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.96%, 68V has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.75, 68V has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, 68V has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
5.2 History
The dividend of 68V has a limited annual growth rate of 4.36%.
Dividend Growth(5Y)4.36%
Div Incr Years3
Div Non Decr Years4
5.3 Sustainability
28.64% of the earnings are spent on dividend by 68V. This is a low number and sustainable payout ratio.
The dividend of 68V is growing, but earnings are growing more, so the dividend growth is sustainable.
DP28.64%
EPS Next 2Y6.41%
EPS Next 3Y9.61%
FRA:68V (9/16/2025, 7:00:00 PM)
39.74
+0.29 (+0.72%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners101.15%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap39.18B
Analysts80
Price Target43.21 (8.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
Yearly Dividend0.72
Dividend Growth(5Y)4.36%
DP28.64%
Div Incr Years3
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.02%
Min EPS beat(2)5.87%
Max EPS beat(2)12.17%
EPS beat(4)4
Avg EPS beat(4)9.46%
Min EPS beat(4)5.87%
Max EPS beat(4)12.17%
EPS beat(8)8
Avg EPS beat(8)8.86%
EPS beat(12)11
Avg EPS beat(12)7.77%
EPS beat(16)11
Avg EPS beat(16)-1.13%
Revenue beat(2)1
Avg Revenue beat(2)0.53%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)3.04%
Revenue beat(4)2
Avg Revenue beat(4)-0.29%
Min Revenue beat(4)-5.23%
Max Revenue beat(4)3.04%
Revenue beat(8)4
Avg Revenue beat(8)0.14%
Revenue beat(12)5
Avg Revenue beat(12)-0.18%
Revenue beat(16)5
Avg Revenue beat(16)-1.22%
PT rev (1m)-1.52%
PT rev (3m)2.57%
EPS NQ rev (1m)-0.08%
EPS NQ rev (3m)-12.4%
EPS NY rev (1m)1.09%
EPS NY rev (3m)0.3%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-3.39%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.66 | ||
| Fwd PE | 17.48 | ||
| P/S | 1.68 | ||
| P/FCF | 21.37 | ||
| P/OCF | 13.53 | ||
| P/B | 2.61 | ||
| P/tB | 5.8 | ||
| EV/EBITDA | 9.84 |
EPS(TTM)2.13
EY5.36%
EPS(NY)2.27
Fwd EY5.72%
FCF(TTM)1.86
FCFY4.68%
OCF(TTM)2.94
OCFY7.39%
SpS23.72
BVpS15.2
TBVpS6.85
PEG (NY)6.62
PEG (5Y)0.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.87% | ||
| ROE | 17.22% | ||
| ROCE | 13.68% | ||
| ROIC | 11.38% | ||
| ROICexc | 13.66% | ||
| ROICexgc | 24.6% | ||
| OM | 12.99% | ||
| PM (TTM) | 11.04% | ||
| GM | 22.58% | ||
| FCFM | 7.84% |
ROA(3y)3.76%
ROA(5y)-3.1%
ROE(3y)8.7%
ROE(5y)-6.02%
ROIC(3y)9.18%
ROIC(5y)6.97%
ROICexc(3y)10.94%
ROICexc(5y)8.33%
ROICexgc(3y)21.7%
ROICexgc(5y)16.3%
ROCE(3y)11.03%
ROCE(5y)8.4%
ROICexcg growth 3Y31.82%
ROICexcg growth 5Y23.92%
ROICexc growth 3Y30.99%
ROICexc growth 5Y33.59%
OM growth 3Y17.25%
OM growth 5Y13.35%
PM growth 3YN/A
PM growth 5Y81.94%
GM growth 3Y2.47%
GM growth 5Y2.69%
F-Score8
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.79 | ||
| Debt/EBITDA | 1.26 | ||
| Cap/Depr | 109.14% | ||
| Cap/Sales | 4.54% | ||
| Interest Coverage | 12.12 | ||
| Cash Conversion | 72.19% | ||
| Profit Quality | 71.03% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 2.32 |
F-Score8
WACC8.57%
ROIC/WACC1.33
Cap/Depr(3y)106.11%
Cap/Depr(5y)93.95%
Cap/Sales(3y)4.69%
Cap/Sales(5y)4.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)30.05%
EPS 3Y55.53%
EPS 5Y23.35%
EPS Q2Q%10.53%
EPS Next Y2.82%
EPS Next 2Y6.41%
EPS Next 3Y9.61%
EPS Next 5Y8.01%
Revenue 1Y (TTM)2.13%
Revenue growth 3Y10.72%
Revenue growth 5Y3.14%
Sales Q2Q%-3.21%
Revenue Next Year-1.53%
Revenue Next 2Y0.96%
Revenue Next 3Y2.75%
Revenue Next 5Y2.13%
EBIT growth 1Y18.07%
EBIT growth 3Y29.82%
EBIT growth 5Y16.91%
EBIT Next Year37.25%
EBIT Next 3Y18.57%
EBIT Next 5Y11.51%
FCF growth 1Y24.93%
FCF growth 3Y10.61%
FCF growth 5Y18.31%
OCF growth 1Y21.46%
OCF growth 3Y11.96%
OCF growth 5Y9.4%