Baker Hughes (NYSE:BKR) Trading Down 2.7% After Earnings Miss

Baker Hughes (NYSE:BKR) traded down 2.7% on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $19.33 and last traded at $19.50. 306,166 shares were traded during trading, a decline of 95% from the average session volume of 6,389,340 shares. The stock had previously closed at $20.04.

The company reported $0.10 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.06). Baker Hughes had a negative net margin of 0.85% and a positive return on equity of 0.21%. The firm had revenue of $5.14 billion during the quarter, compared to analyst estimates of $4.93 billion. During the same quarter in the previous year, the business posted ($0.05) earnings per share. The business’s quarterly revenue was up 8.6% compared to the same quarter last year.

The company also recently announced a quarterly dividend, which was paid on Friday, June 4th. Investors of record on Tuesday, May 25th were paid a $0.18 dividend. The ex-dividend date of this dividend was Monday, May 24th. This represents a $0.72 dividend on an annualized basis and a yield of 3.56%. Baker Hughes’s payout ratio is presently 122.03%.

A number of brokerages have weighed in on BKR. increased their price target on shares of Baker Hughes from $27.00 to $30.00 and gave the company a “buy” rating in a report on Tuesday, May 25th. TheStreet raised shares of Baker Hughes from a “d+” rating to a “c-” rating in a report on Monday, April 26th. Seaport Global Securities began coverage on shares of Baker Hughes in a report on Thursday, July 15th. They issued a “buy” rating and a $28.00 price target for the company. Zacks Investment Research raised shares of Baker Hughes from a “hold” rating to a “strong-buy” rating and set a $27.00 price target for the company in a report on Tuesday, June 22nd. Finally, Citigroup increased their price target on shares of Baker Hughes from $27.00 to $30.00 and gave the company a “buy” rating in a report on Tuesday, May 25th. Four research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has assigned a strong buy rating to the stock. Baker Hughes currently has an average rating of “Buy” and a consensus price target of $24.71.

In related news, Director Electric Co General sold 43,685,723 shares of the stock in a transaction dated Thursday, April 29th. The shares were sold at an average price of $22.23, for a total transaction of $971,133,622.29. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Maria C. Borras sold 10,000 shares of the stock in a transaction dated Monday, June 28th. The stock was sold at an average price of $23.48, for a total transaction of $234,800.00. Following the sale, the executive vice president now owns 108,274 shares of the company’s stock, valued at approximately $2,542,273.52. The disclosure for this sale can be found here. Insiders have sold a total of 43,712,820 shares of company stock valued at $971,777,780 in the last quarter. 0.29% of the stock is currently owned by corporate insiders.

Institutional investors have recently made changes to their positions in the stock. E Fund Management Co. Ltd. acquired a new stake in Baker Hughes in the 1st quarter valued at about $28,000. Allworth Financial LP increased its position in Baker Hughes by 1,111.1% in the 1st quarter. Allworth Financial LP now owns 1,308 shares of the company’s stock valued at $28,000 after acquiring an additional 1,200 shares in the last quarter. Stonebridge Capital Advisors LLC acquired a new stake in Baker Hughes in the 1st quarter valued at about $40,000. Gradient Investments LLC acquired a new stake in Baker Hughes in the 1st quarter valued at about $41,000. Finally, RMR Wealth Builders acquired a new stake in Baker Hughes in the 4th quarter valued at about $56,000. Institutional investors and hedge funds own 95.61% of the company’s stock.

The firm has a 50-day moving average of $23.87. The company has a current ratio of 1.59, a quick ratio of 1.17 and a debt-to-equity ratio of 0.39. The firm has a market cap of $21.07 billion, a P/E ratio of -77.81 and a beta of 1.76.

Baker Hughes Company Profile (NYSE:BKR)

Baker Hughes Company provides a portfolio of technologies and services worldwide. The company operates through four segments: Oilfield Services (OFS), Oilfield Equipment (OFE), Turbomachinery & Process Solutions (TPS), and Digital Solutions (DS). The OFS segment offers exploration, drilling, wireline, evaluation, completion, production, and intervention services; and drilling and completions fluids, completions tools and systems, wellbore intervention tools and services, artificial lift systems, pressure pumping systems, and oilfield and industrial chemicals for oil and natural gas, and oilfield service companies.

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