Baker Hughes Merges With GE's Oil Business, And Promptly Gets A Sell Rating From Goldman

Following the completion of the Baker Hughes A GE Company Class A (NYSE: BHGE) and General Electric Company (NYSE: GE) Oil & Gas merger, Goldman Sachs analyst Waqar Syed has issued a Sell rating on Baker Hughes, with a $37 price target.

“We rate Baker Hughes at Sell in the context of our Attractive coverage view on Oilfield Services," the note said. "Our 12-month $37 target price implies 1% downside versus an average 54% upside for the remainder of our coverage."

3 Reasons Behind The Bearish Call

• “Positive news or results about completions may cause Baker Hughes to underperform peers like Schlumberger Limited. (NYSE: SLB)/Halliburton Company (NYSE: HAL) with larger completions exposure,” Syed said.

• Reduced consensus estimates

• Downward revision to management guidance due to a change in the oil macro

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Latest Ratings for BHI

Jun 2017	Guggenheim	Downgrades	Buy	Neutral
Apr 2017	BMO Capital	Downgrades	Outperform	Market Perform
Apr 2017	HSBC	Initiates Coverage On		Hold

View More Analyst Ratings for BHI
View the Latest Analyst Ratings

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