Good MorningEquity markets gave up more than 1.5% on Tuesday as the fear of inflation, high interest rates, and the FOMC returned to the fore. The FOMC is slated to issue its policy statement today and is not expected to indicate an interest rate hike soon. At best, the FOMC will confirm that inflation is on track to hit target levels but will take longer than expected. This scenario will increase the risk of only one or no interest rate cuts this year, which could lead to a major market meltdown.
With interest rates expected to remain high, economic activity will continue slowing and drain the outlook for earnings growth. Earnings growth is the primary driver of market value; because the S&P 500 is trading well above long-term average price-to-earnings multiples, it could experience a significant earnings-multiple contraction. The risk is that the index will shed four to five handles, cutting 20% to 30% of value out of the market. Featured: The 7 Best Stocks to Own in Summer 2025 (Ad) 
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Stocks | | | Asian markets wobbled in early Thursday trading after U.S. stocks swung to a mixed finish with the Federal Reserve delaying cuts to interest rates. U.S. futures surged and oil prices were higher.Tokyo’s Nikkei 225 index opened with a decline, then climbed 0.1% to 38,299.71.The Japanese yen surged as... Read the Full Story |
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Markets | | |
Medical device maker Boston Scientific Co.'s (NYSE: BSX) product portfolio encompasses a wide range of therapeutic areas, from cardiovascular, urology, and neuromodulation to endoscopy instruments and rhythm management. The medical sector company is acquiring rhythm modulation device maker Axonics... Read the Full Story |
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Markets | | |
NXP Semiconductors (NASDAQ: NXPI) is trending higher and on track to hit the $300 level. The company’s diversified business, position in the industrial chip market, and pivot back to growth are why. It will take a little more time for end-market normalization to turn into a business tailwind... Read the Full Story |
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From Our Partners | | It’s Crypto Week at the White House — and the sector is moving from fringe to full-scale adoption.
With Bitcoin hitting $123,000 and giants like BlackRock and Fidelity pouring in, one expert believes a lesser-known coin could soon be vaulted to the top — possibly even landing in the government’s digital reserve. | | See the coin positioned to win from Washington’s crypto push |
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Markets | | | Hilton Worldwide Holdings Inc. (NYSE: HLT) is a global hospitality company operating over 7,600 hotels and resorts in 126 countries under more than 20 different brands. The consumer discretionary sector giant runs an asset-light business, owning only 3% of its hotels and franchising the other 97%. H... Read the Full Story |
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Markets | | | Starbucks lowered expectations for its full-year sales and profit Tuesday after a disastrous quarter that saw a slowdown in store visits across the world.The Seattle coffee giant said revenue for the January-March period dropped 2% to $8.56 billion. That was far short of Wall Street's forecast of $9... Read the Full Story |
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From Our Partners | | Cold War Discovery Could Unlock $100 Trillion in Wealth
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Because it could hold the key to the entire $100 trillion AI boom.
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Tech | | | Once known as "Big Blue," computer and technology sector giant International Business Machines Co. (NYSE: IBM) shareholders are now the ones with the blues. Shares of IBM fell 8.25% on a not-so-terrible but not-so-great Q1 2024 earnings report, which saw soft revenues of $14.46 billion and miss... Read the Full Story |
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Markets | | | Rapidly climbing sales of the new obesity drug Zepbound and its counterpart for diabetes, Mounjaro, pushed Eli Lilly to a better-than-expected first-quarter profit.The drugmaker also hiked its sales and earnings forecast for 2024 beyond Wall Street's expectations even as it hustles to boost manufact... Read the Full Story |
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Tech | | |
Data storage device manufacturer Seagate Technology Holdings plc (NASDAQ: STX) hasn't significantly benefitted from the artificial intelligence (AI) boom. Its computer and technology sector rival Western Digital Co. (NASDAQ: WDC) had a dramatic 2024 reversal of fortune as losses of 46 cents transf... Read the Full Story |
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Markets | | | U.S. consumer confidence deteriorated for the third straight month as Americans continue to fret about their short-term financial futures with prices and interest rates still elevated. The Conference Board, a business research group, said Tuesday that its consumer confidence index fell to 97 in Apri... Read the Full Story |
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Markets | | | Europe’s economy perked up slightly at the start of the year, recording 0.3% growth in the January-March quarter as the inflation burden on consumers eased and the stagnating German economy, the continent’s biggest, started to show modest signs of life Read the Full Story |
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Wednesday's Early Bird Stock Of The Day Baker Hughes Company provides a portfolio of technologies and services to energy and industrial value chain worldwide. The company operates through Oilfield Services & Equipment (OFSE) and Industrial & Energy Technology (IET) segments. The OFSE segment designs and manufactures products and provides related services, including exploration, appraisal, development, production, rejuvenation, and decommissioning for onshore and offshore oilfield operations. This segment also provides drilling services, drill bits, and drilling and completions fluids; completions, intervention, measurements, pressure pumping, and wireline services; artificial lift systems, and oilfield and industrial chemicals; subsea projects and services, flexible pipe systems, and surface pressure control systems; and integrated well services and solutions. It serves oil and natural gas companies; the United States and international independent oil and natural gas companies; national or state-owned oil companies; engineering, procurement, and construction contractors; geothermal companies; and other oilfield service companies. The IET segment provides gas technology equipment, including drivers, driven equipment, flow control, and turnkey solutions for the mechanical-drive, compression, and power-generation applications; and energy sectors, such as oil and gas, LNG operations, petrochemical, and carbon solutions. This segment also provides rack-based vibration monitoring equipment and sensors; integrated asset performance management products; inspection services; pumps, valves, and gears; precision sensors and instrumentation, and condition monitoring solutions. It serves upstream, midstream, downstream, onshore, offshore, and small and large scale customers. The company was formerly known as Baker Hughes, a GE company and changed its name to Baker Hughes Company in October 2019. Baker Hughes Company was incorporated in 2016 and is based in Houston, Texas. | Should I Buy Baker Hughes Stock? BKR Bull and Bear Case Explained
These insights were generated using artificial intelligence. They are based on proprietary MarketBeat data, news articles, and custom LLM A.I. algorithms. This analysis of Baker Hughes was last updated on Thursday, July 10, 2025 at 7:05 PM.
Baker Hughes Bull Case -
The current stock price is around $40, which reflects a stable position in the market and may present a buying opportunity for investors looking for growth.
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Baker Hughes reported earnings per share of $0.51, exceeding analysts' expectations, indicating strong financial performance and effective management.
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The company has a solid market capitalization of approximately $39 billion, suggesting a robust business foundation and potential for future growth.
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Institutional investors own over 92% of Baker Hughes, which often indicates confidence in the company's long-term prospects and stability.
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Recent increases in stakes by institutional investors, such as IFM Investors and KBC Group, suggest positive sentiment and potential for further appreciation in stock value.
Baker Hughes Bear Case -
The stock has experienced fluctuations, with a 1-year low of $32.25, indicating potential volatility that could concern risk-averse investors.
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Despite a positive earnings report, the revenue of $6.43 billion fell short of expectations, which may raise questions about future growth and market demand.
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The price-to-earnings (P/E) ratio is around 13.5, which, while not excessively high, may suggest that the stock is fairly valued, limiting upside potential.
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Market conditions and economic factors could impact the energy sector, which Baker Hughes operates in, leading to uncertainties in performance.
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The company's beta of 0.91 indicates that it is less volatile than the market, which may not appeal to investors seeking high-risk, high-reward opportunities.
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