TD Cowen has raised its price objective for Baker Hughes (NASDAQ:BKR) to $64.00 from $55.00 and continues to carry a Buy rating on the oilfield services and equipment provider. That new target implies upside from the prevailing share price of $56.29, which is trading close to the company’s 52-week high of $56.89.
The revision follows Baker Hughes’ fourth-quarter results, where EBITDA exceeded expectations, and the firm provided guidance for the first quarter and for 2026 that was in line with forecasts. According to InvestingPro data cited by the reporting, Baker Hughes produced $4.74 billion in EBITDA over the last twelve months and reported a gross profit margin of 23.6%.
TD Cowen strategist Marc Bianchi pointed to a number of factors behind the relative strength, noting that Baker Hughes outperformed the Oil Services ETF (OIH) by roughly 280 basis points. Bianchi attributed the outperformance to guidance that was "slightly better than feared," as well as solid order flow, constructive order guidance, and strong free cash flow generation.
Market performance has reflected the improving tone. The stock registered a 9.81% return during the past week and has risen 23.61% year-to-date, underscoring the recent investor response to the quarter and the outlook.
TD Cowen also expects an updated slide deck from Baker Hughes later this week that will delve deeper into the company’s power offerings. The firm’s product set spans oilfield services, products, and digital solutions for energy and industrial customers worldwide, and the forthcoming presentation is anticipated to give more detail on the company’s positioning in power systems.
Additional analyst activity has followed the strong fourth-quarter release. Baker Hughes reported adjusted earnings per share of $0.78 for the quarter, topping the expected $0.67, while revenue came in at $7.39 billion versus estimates of $7.07 billion. Those results have prompted several brokerages to raise their own targets.
BMO Capital lifted its price target to $65, citing robust results in the Industrial & Energy Technology segment and stronger guidance for 2026. Stifel increased its target to $58, pointing to the better-than-expected Q4 results and the upbeat guidance for the year ahead. JPMorgan moved its target to $60 and emphasized diversified order strength within the IET segment, particularly in Power Systems.
Collectively, these revisions have reinforced a more optimistic consensus among analysts about Baker Hughes’ near-term trajectory as it demonstrates growth in key commercial areas.
While the commentary from multiple firms has been constructive, TD Cowen’s move and the peer upgrades are explicitly anchored to the company’s latest reported results, guidance that matched forecasts, and the expectation of more detail from the forthcoming slide deck.
Investors tracking Baker Hughes will likely focus on the updated slide deck and subsequent commentary for further clarity on the company’s power offerings and order trends as 2026 guidance begins to take shape.