Stock fact sheet · data as of
Baker Hughes Company (BKR): fair value, margin of safety and Wheel Score
Ticker symbol BKR · Energy · Oil & Gas Equipment & Services · United States · Blend
Is BKR undervalued?
Baker Hughes Company (BKR) closed at 49.87 on 5 Nov 2026. The GLS average fair value - the simple average of the 9 valuation models that produced a positive number - is 76.44, which puts the price 35% below it. 5 of the 9 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.
There is a wide gap between DDM (13.54) and GLS Growth (178.73). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for BKR, so the nightly engine files it under Blend (value score 47, growth score 54, out of 100).
Nine valuation models for BKR
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 49.88 | +0% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 36.49 | -27% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 120.86 | +142% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 49.40 | -1% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 178.73 | +258% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 77.87 | +56% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 128.72 | +158% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 13.54 | -73% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 32.44 | -35% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -3.06 | -106% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 72.50 | +45% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Baker Hughes Company scores only 4 of 9 on the Piotroski F-score, which fails the "Piotroski 6 or more" Wheel Trade Filter. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. A GLS Moat score of 4.3/10 is a weak reading: the accounts do not show returns and margins that competitors have been unable to wear down, so the Moat part of the Wheel Score contributes little.
Returns on capital are moderate - ROIC 10.0%, ROE 13.7%, ROA 6.3% - with debt at 0.38 times equity and a free-cash-flow yield of 6.5%.
The dividend yield is 1.84% at a payout ratio of 31%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Oilfield Services And Equipment 51%, Industrial And Energy Technology 49% (quarter Q3 FY2026).
Institutional ownership scores 10/10, insider activity 2/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 4 / 9 | ROIC | 10.0% |
|---|---|---|---|
| GLS Moat | 4.3 / 10 | ROE | 13.7% |
| Debt / equity | 0.38 | ROA | 6.3% |
| Free-cash-flow yield | 6.5% | Payout ratio | 31% |
| Institutions | 10 / 10 | Insiders · Congress | 2 · 5 / 10 |
Wheel Score 53: Fair
A Wheel Score of 53 keeps Baker Hughes Company under 70, the mark only a stock that passes all 9 Wheel Trade Filters can reach: it fails filter 4, financially healthy - Piotroski 4/9 (under 6). The parts: value strong, premium strong, moat fair, health fair, red flags good, option trading strong, stability strong.
Implied volatility is 37% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 44,632 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 14.4M shares a day on a market cap of $49.5B, with a beta of 1.06; the Stability part of the Wheel Score rates that strong.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Fails | Piotroski 4/9 (under 6) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 35% below fair value | |
| Premium | Strong | implied volatility 37% | |
| Moat | Fair | moat 4.3/10 | |
| Health | Fair | Piotroski 4/9 | |
| Red Flags | Good | Red Flags score 82/100 | |
| Option trading | Strong | 16,019 contracts a day, 44,632 open interest | |
| Stability | Strong | beta 1.06, $49.5B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 25 Jan 2027, 81 days away - outside the window of a 30-45-day put sold today. The shares go ex-dividend on 10 Nov 2026 (0.2300 per share), so a covered call sold before then carries a small early-assignment risk around that date.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Oil & Gas Equipment & Services
The 12 companies below are the closest to Baker Hughes Company by market cap within the Oil & Gas Equipment & Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| SLB Slb N.V. | 51.56 | 46.75 | -10% | 44Weak | $76.1B |
| TS Tenaris S.A. | 55.92 | 58.92 | +5% | 73Good | $30.0B |
| HAL Halliburton Company | 33.00 | 42.84 | +23% | 88Prime | $27.3B |
| FTI TechnipFMC plc | 64.50 | 78.18 | +18% | 79Good | $25.1B |
| NOV NOV Inc. | 18.03 | 19.76 | +9% | 71Good | $6.4B |
| WFRD Weatherford International plc | 86.04 | 184.28 | +53% | 48Weak | $6.2B |
| AROC Archrock, Inc. | 28.61 | 49.05 | +42% | 53Fair | $5.0B |
| KGS Kodiak Gas Services, Inc. | 41.26 | 27.14 | -52% | 37Weak | $4.2B |
| WHD Cactus, Inc. | 58.07 | 56.75 | -2% | 35Weak | $4.1B |
| SEI Solaris Energy Infrastructure, Inc. | 57.64 | 37.19 | -55% | 28Weak | $3.8B |
| TDW Tidewater Inc. | 73.54 | 176.75 | +58% | 51Fair | $3.7B |
| OII Oceaneering International, Inc. | 36.39 | 78.11 | +53% | 79Good | $3.6B |
Scan the whole market the same way
A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about BKR
Is BKR undervalued right now?
By the GLS models, yes: at 49.87 the stock is 35% below the average fair value of 76.44 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of BKR and what does it mean?
BKR scores 53 out of 100 (Fair) - it fails Wheel Trade Filter 4. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for BKR?
76.44 per share as of 5 Nov 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Baker Hughes Company report earnings next?
The next earnings report is due on 25 Jan 2027, 81 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does BKR have listed options, and how liquid are they?
Yes. The nightly snapshot found 64 listed contracts with 44,632 open interest across all expiries and implied volatility of 37% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.