Baker Hughes Slumps 7% as Chart Guidance Disappoints Wall Street
BKR sits 35% above its 52-week low of $43.92.
Summary
Baker Hughes shares fell 7% to $59.22 on Thursday, the worst daily drop since April 2025, after the company issued fiscal-year guidance that included the recently closed Chart Industries acquisition. The guidance added $1.85B-$2.25B in revenue and $300M-$400M in EBITDA from Chart, but the EBITDA midpoint came in about 13% below analyst consensus, triggering the selloff. The company expects 55%-65% of Chart's second-half EBITDA to land in Q4, with near-term margins pressured by LNG equipment timing, soft hydrogen demand, and lower-margin projects. This follows the $13.6B Chart acquisition completed in July and a strong Q2 earnings beat, but the market is now focused on integration costs and margin dilution. Morgan Stanley maintained its Overweight rating and $70 price target, calling the company a top pick, but the initial reaction shows investors were expecting more from the deal.
At the time of this announcement, BKR was trading at $59.25 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $58.8B. The 52-week trading range was $43.92 to $70.41. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.