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Baker Hughes (BKR) to Report Q1 Earnings: What to Expect?

Baker Hughes Company BKR is set to report first-quarter 2024 results on Apr 23, after the closing bell.

In the last reported quarter, the oilfield service provider’s adjusted earnings of 51 cents per share beat the Zacks Consensus Estimate of 47 cents, driven by higher contributions from the Oilfield Services and Equipment and the Industrial & Energy Technology business units.

The company beat on earnings in each of the trailing four quarters, delivering an average surprise of 11.44%. This is depicted in the graph below:

Baker Hughes Company Price and EPS Surprise

Baker Hughes Company Price and EPS Surprise
Baker Hughes Company Price and EPS Surprise

Baker Hughes Company price-eps-surprise | Baker Hughes Company Quote

Estimate Trend

The Zacks Consensus Estimate for first-quarter earnings per share of 40 cents has witnessed five downward revisions in the past 30 days. The consensus estimate implies an increase of 42.9% from the year-ago reported number.

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The Zacks Consensus Estimate for the to-be-reported quarter’s revenues of $6.34 billion indicates a 10.9% improvement from the year-ago reported figure.

Factors to Consider

Baker Hughes is anticipated to have sustained a stable performance in the first quarter of 2024, supported by its advanced technologies and equipment catering to upstream companies.

Amid increasing demand for clean energy, the company anticipates significant growth from lucrative LNG contracts worldwide. An expanding portfolio of international opportunities solidifies its long-term prospects, ensuring project visibility well beyond 2026.

However, challenges are likely to have loomed due to the softening of oil and gas prices, driven by a sluggish global economy and geopolitical tensions. Per the EIA data, the West Texas Intermediate crude price declined 1.4% sequentially in the first quarter.

These factors are anticipated to have affected demand and pricing dynamics, adversely impacting BKR's financial performance in the quarter.

Earnings Whispers

Our proven model does not indicate an earnings beat for Baker Hughes this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. However, that is not the case here.

Earnings ESP: Baker Hughes has an Earnings ESP of -1.84%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Baker Hughes currently carries a Zacks Rank #3.

Stocks to Consider

Here are some stocks that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.

PBF Energy PBF currently has an Earnings ESP of +14.86% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

PBF Energy is scheduled to release first-quarter earnings on May 2. The Zacks Consensus Estimate for PBF’s quarterly earnings is pegged at 45 cents per share, implying an 83.7% decline from the prior-year reported figure.

Marathon Petroleum Corporation MPC presently has an Earnings ESP of +5.83% and a Zacks Rank #3.

Marathon Petroleum is scheduled to release first-quarter earnings on Apr 30. The Zacks Consensus Estimate for MPC’s quarterly earnings is pegged at $2.39 per share, indicating a 60.76% decline from the prior-year reported number.

Halliburton Company HAL currently has an Earnings ESP of +0.81% and a Zacks Rank #3.

Halliburton is scheduled to release first-quarter earnings on Apr 23. The Zacks Consensus Estimate for HAL’s quarterly earnings is pegged at 74 cents per share, indicating a 2.8% increase from the prior-year reported figure.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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Halliburton Company (HAL) : Free Stock Analysis Report

Marathon Petroleum Corporation (MPC) : Free Stock Analysis Report

PBF Energy Inc. (PBF) : Free Stock Analysis Report

Baker Hughes Company (BKR) : Free Stock Analysis Report

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