Baker Hughes Company

BKR ·Industrials, Farm & Heavy Construction Machinery, United States
Valuation › AI Valuation

AI Valuation

AI-generated fair value estimate for this company.

AI Fair Value $61.43
Market Price $56.30
Undervalued By 8.4%

Method: 10-year unlevered FCF DCF: $3.13B normalized FCF base (TTM); 6% annual FCF growth years 1-5 driven by LNG/IET and data-center power demand, 4% years 6-10; 9% discount rate; 2.5% terminal growth; $0.77B net cash; 992.67M shares outstanding.

Reasoning: Baker Hughes generates consistent, sizable free cash flow from its oilfield services and industrial/energy technology segments, supporting a standard FCF DCF; growth rates reflect management's guidance for LNG order momentum and new demand from gas turbines and data-center power, moderating to a mature industrial growth rate long term.