Applying Peter Lynch’s stock selection rules to BAKER HUGHES CO (NASDAQ:BKR)

Peter Lynch was known for finding hidden gems in the market before they became mainstream. Is BAKER HUGHES CO (NASDAQ:BKR) one of those under-the-radar stocks that fits his legendary strategy?

Following Peter Lynch’s approach: Does BAKER HUGHES CO (NASDAQ:BKR) fit the bill?

• The Return on Equity (ROE) of BKR stands at 17.63%, reflecting the company's strong profitability and effective utilization of shareholder equity. This metric signifies the company's ability to generate returns for its investors.
• With a Debt-to-Equity ratio at 0.35, BKR showcases its prudent financial management. The company's balanced approach between debt and equity reflects its commitment to maintaining a stable capital structure.
• BKR has experienced 23.35 growth in EPS over a 5-year period, demonstrating its ability to generate sustained and positive earnings momentum.
• With a PEG ratio of 0.77, BKR appears to be fairly valued given its strong growth prospects.
• BKR’s Current Ratio of 1.32 highlights its ability to sustain day-to-day operations without liquidity concerns.

Fundamental Analysis Observations

ChartMill employs a sophisticated system to assign a Fundamental Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple fundamental indicators and properties.

Overall BKR gets a fundamental rating of 6 out of 10. We evaluated BKR against 59 industry peers in the Energy Equipment & Services industry. BKR scores excellent on profitability, but there are some minor concerns on its financial health. BKR has a correct valuation and a medium growth rate. Finally BKR also has an excellent dividend rating. This makes BKR very considerable for dividend investing!

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

Every day, new Affordable Growth stocks can be found on ChartMill in our Peter Lynch screener.

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.