BKR
Baker Hughes Co
Price:  
40.7 
USD
Volume:  
5,834,263
United States | Energy Equipment & Services

BKR DCF Valuation - Growth Exit 5Y

10.8 %
Upside

What is the DCF valuation of BKR?

The Discounted Cash Flow (DCF) valuation of Baker Hughes Co (BKR) is 45.09 USD. With the latest stock price at 40.70 USD, the upside of Baker Hughes Co based on DCF is 10.8%.

Is BKR a buy or a sell?

Based on the latest price of 40.70 USD and our DCF valuation, Baker Hughes Co (BKR) is a buy. Buying BKR stocks now will result in a potential gain of 10.8%.

Range Selected
WACC / Discount Rate7.8% - 10.0%8.9%
Long-term Growth Rate 1.0% - 3.0%2.0%
Fair Price34.92 - 63.9745.09
Upside-14.2% - 57.2%10.8%
40.70 USD
Stock Price
45.09 USD
Fair Price
REVENUE & EXPENSES
CAPEX
D&A
WORKING CAPITAL
TERMINAL VALUE

BKR DCF Valuation: Revenue & Expenses Forecast

(USD in millions)Projections
12-202412-202512-202612-202712-202812-2029
Revenue27,82927,86829,87731,37332,18033,128
% Growth
9%0%7%5%3%3%
Cost of goods sold(21,916)(21,508)(22,597)(23,254)(23,375)(23,583)
% of Revenue79%77%76%74%73%71%
Selling, G&A expenses(2,458)(2,461)(2,639)(2,771)(2,842)(2,926)
% of Revenue9%9%9%9%9%9%
Research & Development000000
% of Revenue0%0%0%0%0%0%
Net interest & other expenses(190)(190)(204)(214)(220)(226)
% of Revenue1%1%1%1%1%1%
Tax expense(257)(1,001)(1,198)(1,386)(1,551)(1,726)
Tax rate8%27%27%27%27%27%
Net profit3,0082,7073,2393,7484,1924,667
% Margin11%10%11%12%13%14%