Baker Hughes Co (BKR) is slightly overvalued and SLB Ltd (SLB) is fairly valued.
Both trade above our estimate of their intrinsic value. SLB is the closer of the two: -0%, against -19% for BKR.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 9.8% (average of 3 methods) values the shares at $48.25; the price of $57.26 is 19% above that value, and 73% of that value comes from beyond year five.
Leak Score 51/100 on 9 of 12 signals
Discounting its cash flows at 8.9% (average of 3 methods) values the shares at $52.04; the price of $52.12 sits right on that value, and 77% of that value comes from beyond year five.
Leak Score 46/100 on 9 of 12 signals
| Metric | BKR | SLB |
|---|---|---|
| Verdict | Slightly overvalued | Fairly valued |
| Price | $57.26 | $52.12 |
| Intrinsic value | $48.25 | $52.04 |
| Margin of safety | -19% | -0% |
| Leak Score | 51/100 (9/12) | 46/100 (9/12) |
| Market cap | $56.8B | $77.4B |
| Revenue growth, 5 years | 6.0% | 8.6% |
| Operating margin | 13.0% | 14.0% |
| Net margin | 11.2% | 8.5% |
| Return on equity | 16.5% | 13.4% |
| Debt to equity | 0.82 | 0.49 |
| P/E | 18.4x | 25.3x |
| Forward P/E | 18.9x | 16.4x |
| P/B | 2.9x | 3.0x |
| Dividend yield | 1.6% | 2.3% |