Archrock Inc (AROC) is slightly undervalued and Baker Hughes Co (BKR) is overvalued.
Against our estimates of intrinsic value, AROC trades at the wider discount: a margin of safety of +8%, against -39% for BKR.
Values as of the 19 Oct 2026 close.
Discounting its cash flows at 8.3% (average of 3 methods) values the shares at $31.99; the price of $29.39 is 8% below that value, and 79% of that value comes from beyond year five.
Leak Score 47/100 on 11 of 12 signals
Discounting its cash flows at 9.8% (average of 3 methods) values the shares at $40.18; the price of $55.81 is 39% above that value, and 73% of that value comes from beyond year five.
Leak Score 45/100 on 11 of 12 signals
| Metric | AROC | BKR |
|---|---|---|
| Verdict | Slightly undervalued | Overvalued |
| Price | $29.39 | $55.81 |
| Intrinsic value | $31.99 | $40.18 |
| Margin of safety | +8% | -39% |
| Leak Score | 47/100 (11/12) | 45/100 (11/12) |
| Market cap | $5.2B | $55.4B |
| Revenue growth, 5 years | 11.2% | 6.0% |
| Operating margin | 38.3% | 13.0% |
| Net margin | 21.6% | 11.2% |
| Return on equity | 21.9% | 16.5% |
| Debt to equity | 1.52 | 0.82 |
| P/E | 15.8x | 17.9x |
| Forward P/E | 14.3x | 18.8x |
| P/B | 3.3x | 2.8x |
| Dividend yield | 3.1% | 1.7% |