49.97 USD
-0.23 (-0.46%)
50.0014 USD
+0.03 (+0.06%)
We assign a fundamental rating of 6 out of 10 to BKR. BKR was compared to 62 industry peers in the Energy Equipment & Services industry. BKR has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, BKR is valued expensive at the moment. Finally BKR also has an excellent dividend rating. These ratings would make BKR suitable for dividend investing!
1. Profitability
1.1 Basic Checks
In the past year BKR was profitable.
In the past year BKR had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: BKR reported negative net income in multiple years.
Each year in the past 5 years BKR had a positive operating cash flow.
1.2 Ratios
BKR has a better Return On Assets (7.37%) than 82.26% of its industry peers.
Looking at the Return On Equity, with a value of 15.92%, BKR belongs to the top of the industry, outperforming 87.10% of the companies in the same industry.
The Return On Invested Capital of BKR (11.19%) is better than 85.48% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BKR is below the industry average of 12.77%.
The last Return On Invested Capital (11.19%) for BKR is above the 3 year average (9.18%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.37% | ||
| ROE | 15.92% | ||
| ROIC | 11.19% |
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
BKR's Profit Margin of 10.43% is amongst the best of the industry. BKR outperforms 85.48% of its industry peers.
In the last couple of years the Profit Margin of BKR has grown nicely.
BKR has a better Operating Margin (13.01%) than 69.35% of its industry peers.
In the last couple of years the Operating Margin of BKR has grown nicely.
BKR has a Gross Margin of 23.07%. This is comparable to the rest of the industry: BKR outperforms 45.16% of its industry peers.
BKR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.01% | ||
| PM (TTM) | 10.43% | ||
| GM | 23.07% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BKR is creating some value.
Compared to 1 year ago, BKR has less shares outstanding
BKR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BKR has an improved debt to assets ratio.
2.2 Solvency
BKR has an Altman-Z score of 2.42. This is not the best score and indicates that BKR is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of BKR (2.42) is better than 62.90% of its industry peers.
BKR has a debt to FCF ratio of 2.90. This is a good value and a sign of high solvency as BKR would need 2.90 years to pay back of all of its debts.
BKR's Debt to FCF ratio of 2.90 is fine compared to the rest of the industry. BKR outperforms 70.97% of its industry peers.
BKR has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.33, BKR is doing good in the industry, outperforming 62.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.9 | ||
| Altman-Z | 2.42 |
ROIC/WACC1.32
WACC8.49%
2.3 Liquidity
BKR has a Current Ratio of 1.41. This is a normal value and indicates that BKR is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of BKR (1.41) is worse than 72.58% of its industry peers.
A Quick Ratio of 1.00 indicates that BKR should not have too much problems paying its short term obligations.
BKR has a worse Quick ratio (1.00) than 77.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.60% over the past year.
BKR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.35% yearly.
BKR shows a small growth in Revenue. In the last year, the Revenue has grown by 1.51%.
Measured over the past years, BKR shows a small growth in Revenue. The Revenue has been growing by 3.14% on average per year.
EPS 1Y (TTM)15.6%
EPS 3Y55.53%
EPS 5Y23.35%
EPS Q2Q%1.49%
Revenue 1Y (TTM)1.51%
Revenue growth 3Y10.72%
Revenue growth 5Y3.14%
Sales Q2Q%1.48%
3.2 Future
The Earnings Per Share is expected to grow by 10.41% on average over the next years. This is quite good.
Based on estimates for the next years, BKR will show a small growth in Revenue. The Revenue will grow by 3.65% on average per year.
EPS Next Y6.55%
EPS Next 2Y6.35%
EPS Next 3Y8.67%
EPS Next 5Y10.41%
Revenue Next Year-0.54%
Revenue Next 2Y1.21%
Revenue Next 3Y2.62%
Revenue Next 5Y3.65%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 19.83, BKR is valued on the expensive side.
Based on the Price/Earnings ratio, BKR is valued a bit cheaper than 70.97% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. BKR is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 18.64, which indicates a rather expensive current valuation of BKR.
BKR's Price/Forward Earnings is on the same level as the industry average.
BKR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.83 | ||
| Fwd PE | 18.64 |
4.2 Price Multiples
BKR's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. BKR is more expensive than 72.58% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BKR is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.6 | ||
| EV/EBITDA | 10.52 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BKR does not grow enough to justify the current Price/Earnings ratio.
BKR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.03
PEG (5Y)0.85
EPS Next 2Y6.35%
EPS Next 3Y8.67%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.83%, BKR has a reasonable but not impressive dividend return.
BKR's Dividend Yield is a higher than the industry average which is at 1.21.
Compared to an average S&P500 Dividend Yield of 1.92, BKR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
5.2 History
The dividend of BKR has a limited annual growth rate of 4.36%.
BKR has paid a dividend for at least 10 years, which is a reliable track record.
BKR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.36%
Div Incr Years3
Div Non Decr Years10
5.3 Sustainability
BKR pays out 30.82% of its income as dividend. This is a sustainable payout ratio.
BKR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP30.82%
EPS Next 2Y6.35%
EPS Next 3Y8.67%
49.97
-0.23 (-0.46%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners101.58%
Inst Owner Change0%
Ins Owners0.11%
Ins Owner Change-8.71%
Market Cap49.31B
Revenue(TTM)27.71B
Net Income(TTM)2.89B
Analysts80.77
Price Target54.42 (8.91%)
Short Float %3.53%
Short Ratio4.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
Yearly Dividend0.84
Dividend Growth(5Y)4.36%
DP30.82%
Div Incr Years3
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.74%
Min EPS beat(2)9.31%
Max EPS beat(2)12.17%
EPS beat(4)4
Avg EPS beat(4)9.49%
Min EPS beat(4)5.87%
Max EPS beat(4)12.17%
EPS beat(8)8
Avg EPS beat(8)9.44%
EPS beat(12)11
Avg EPS beat(12)8.09%
EPS beat(16)12
Avg EPS beat(16)1.03%
Revenue beat(2)2
Avg Revenue beat(2)2.34%
Min Revenue beat(2)1.64%
Max Revenue beat(2)3.04%
Revenue beat(4)3
Avg Revenue beat(4)1.43%
Min Revenue beat(4)-1.98%
Max Revenue beat(4)3.04%
Revenue beat(8)4
Avg Revenue beat(8)0.25%
Revenue beat(12)6
Avg Revenue beat(12)0.14%
Revenue beat(16)6
Avg Revenue beat(16)-0.79%
PT rev (1m)1.27%
PT rev (3m)6.04%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)2.58%
EPS NY rev (1m)0%
EPS NY rev (3m)3.54%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)0.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.83 | ||
| Fwd PE | 18.64 | ||
| P/S | 1.78 | ||
| P/FCF | 23.6 | ||
| P/OCF | 14.77 | ||
| P/B | 2.72 | ||
| P/tB | 6.22 | ||
| EV/EBITDA | 10.52 |
EPS(TTM)2.52
EY5.04%
EPS(NY)2.68
Fwd EY5.36%
FCF(TTM)2.12
FCFY4.24%
OCF(TTM)3.38
OCFY6.77%
SpS28.08
BVpS18.4
TBVpS8.03
PEG (NY)3.03
PEG (5Y)0.85
Graham Number32.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.37% | ||
| ROE | 15.92% | ||
| ROCE | 13.45% | ||
| ROIC | 11.19% | ||
| ROICexc | 13.15% | ||
| ROICexgc | 23.85% | ||
| OM | 13.01% | ||
| PM (TTM) | 10.43% | ||
| GM | 23.07% | ||
| FCFM | 7.54% |
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%
ROICexgc growth 3Y31.82%
ROICexgc 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 | 0.33 | ||
| Debt/FCF | 2.9 | ||
| Debt/EBITDA | 1.26 | ||
| Cap/Depr | 108.33% | ||
| Cap/Sales | 4.51% | ||
| Interest Coverage | 12.18 | ||
| Cash Conversion | 70.16% | ||
| Profit Quality | 72.26% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 2.42 |
F-Score8
WACC8.49%
ROIC/WACC1.32
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)15.6%
EPS 3Y55.53%
EPS 5Y23.35%
EPS Q2Q%1.49%
EPS Next Y6.55%
EPS Next 2Y6.35%
EPS Next 3Y8.67%
EPS Next 5Y10.41%
Revenue 1Y (TTM)1.51%
Revenue growth 3Y10.72%
Revenue growth 5Y3.14%
Sales Q2Q%1.48%
Revenue Next Year-0.54%
Revenue Next 2Y1.21%
Revenue Next 3Y2.62%
Revenue Next 5Y3.65%
EBIT growth 1Y10.85%
EBIT growth 3Y29.82%
EBIT growth 5Y16.91%
EBIT Next Year39.66%
EBIT Next 3Y17.75%
EBIT Next 5Y13.95%
FCF growth 1Y10.47%
FCF growth 3Y10.61%
FCF growth 5Y18.31%
OCF growth 1Y10.24%
OCF growth 3Y11.96%
OCF growth 5Y9.4%
BAKER HUGHES CO / BKR FAQ
What is the ChartMill fundamental rating of BAKER HUGHES CO (BKR) stock?
ChartMill assigns a fundamental rating of 6 / 10 to BKR.
What is the valuation status of BAKER HUGHES CO (BKR) stock?
ChartMill assigns a valuation rating of 3 / 10 to BAKER HUGHES CO (BKR). This can be considered as Overvalued.
Can you provide the profitability details for BAKER HUGHES CO?
BAKER HUGHES CO (BKR) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for BKR stock?
The Earnings per Share (EPS) of BAKER HUGHES CO (BKR) is expected to grow by 6.55% in the next year.
Can you provide the dividend sustainability for BKR stock?
The dividend rating of BAKER HUGHES CO (BKR) is 7 / 10 and the dividend payout ratio is 30.82%.