Why the dividend investor may take a look at NASDAQ:BKR.

Our stock screener has spotted BAKER HUGHES CO (NASDAQ:BKR) as a good dividend stock with solid fundamentals. NASDAQ:BKR shows decent health and profitability. At the same time it gives a good and sustainable dividend. We'll dive into each aspect below.

What does the Dividend looks like for NASDAQ:BKR

ChartMill assigns a proprietary Dividend Rating to each stock. The score is computed by evaluating various valuation aspects, like the yield, the history, the dividend growth and sustainability. NASDAQ:BKR was assigned a score of 7 for dividend:

• Compared to an average industry Dividend Yield of 3.49, BKR pays a bit more dividend than its industry peers.
• BKR has been paying a dividend for at least 10 years, so it has a reliable track record.
• BKR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
• 28.06% of the earnings are spent on dividend by BKR. This is a low number and sustainable payout ratio.
• The dividend of BKR is growing, but earnings are growing more, so the dividend growth is sustainable.

Evaluating Health: NASDAQ:BKR

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:BKR has earned a 5 out of 10:

• With a decent Altman-Z score value of 2.24, BKR is doing good in the industry, outperforming 65.52% of the companies in the same industry.
• BKR has a debt to FCF ratio of 2.93. This is a good value and a sign of high solvency as BKR would need 2.93 years to pay back of all of its debts.
• The Debt to FCF ratio of BKR (2.93) is better than 62.07% of its industry peers.
• A Debt/Equity ratio of 0.35 indicates that BKR is not too dependend on debt financing.

Profitability Assessment of NASDAQ:BKR

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NASDAQ:BKR, the assigned 7 is a significant indicator of profitability:

• The Return On Assets of BKR (7.77%) is better than 67.24% of its industry peers.
• BKR's Return On Equity of 17.63% is fine compared to the rest of the industry. BKR outperforms 77.59% of its industry peers.
• Looking at the Return On Invested Capital, with a value of 11.32%, BKR belongs to the top of the industry, outperforming 81.03% of the companies in the same industry.
• The 3 year average ROIC (9.18%) for BKR is below the current ROIC(11.32%), indicating increased profibility in the last year.
• The Profit Margin of BKR (10.70%) is better than 72.41% of its industry peers.
• In the last couple of years the Profit Margin of BKR has grown nicely.
• BKR's Operating Margin of 12.42% is fine compared to the rest of the industry. BKR outperforms 63.79% of its industry peers.
• In the last couple of years the Operating Margin of BKR has grown nicely.
• BKR's Gross Margin has improved in the last couple of years.

Every day, new Best Dividend stocks can be found on ChartMill in our Best Dividend screener.

Our latest full fundamental report of BKR contains the most current fundamental analsysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.