4 models fit Baker Hughes Company Class A Common Stock and they partly agree: 2 of 4 land within 15% of the average. The price is above every model.
Two or more of our models back this value.
Large premium(i)
Valued as a cyclical company: P/E comparison, EV/EBITDA comparison, Discounted cash flow, and Graham number.
ACCE opinionBaker Hughes Company Class A Common Stock (BKR)
Fair value (4 models)
$30.46
ACCE price target
$58.80
Rating
Overvalued
Horizon
12 months
Fair value published on 19 Oct 2026, 18:04 CEST; previously $30.95 since 11 Oct 2026, 00:00 CEST.
ACCE price target published on 18 Oct 2026, 00:00 CEST; previously $72.00 since 15 May 2026, 00:00 CEST.
Rating published on 19 Oct 2026, 18:04 CEST.
Price used: $55.86 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow, P/E comparison, EV/EBITDA comparison, and Graham number.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
83.4% above
-45.5% to fair value
ACCE score
42
out of 100
Analysts
80% buy
25 covering
P/E
18.0x
forward 18.0x
1-year return
+14.3%
Dividend yield
1.64%
Baker Hughes Company Class A Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
Baker Hughes makes oilfield services and equipment, including drilling and completion tools, and its Industrial & Energy Technology segment builds gas turbines, compressors and LNG equipment for power generation and liquefaction. The company's edge is its installed base in artificial lift, subsea and LNG, which generates recurring service revenue and gives it a foothold in long-cycle projects. Revenue is currently shrinking, down 2.4%, so the investment case rests on mix shift toward LNG and power-related equipment rather than on the upstream drilling cycle. At an 18.1x trailing P/E and a 16.5% ROE, the stock is priced in line with its earnings profile, but the 12.8% operating margin and 23.7% gross margin leave limited room for error if the top line keeps contracting. The composite score of 45/100 is weak, so this is a name to examine further only if you believe the LNG and turbine backlog converts to margin expansion within the next few reporting periods.