$BKR

Baker Hughes won two contracts from Venture Global LNG for equipment to expand the Plaquemines LNG facility and the Cloud Connector Pipeline in Louisiana. The deals include 13 gas compression systems and 8 liquefaction modules, totaling over 100 million metric tons per year of LNG production capacity supported by Baker Hughes. According to Baker Hughes, this collaboration is part of a broader effort to enhance US LNG export capacity and energy security.

Rystad Energy projects Venezuela's oil output could reach 1.6M bpd by 2028 and 1.8M bpd by 2030, contingent on capital investment and operational scaling. Companies like Chevron, Eni, Repsol, Shell, and new entrants are expanding operations. Current constraints include limited rig availability and supply chain rebuilding.

Yemen's Houthis claimed attacks on Saudi Aramco facilities and a target in Riyadh, causing oil prices to rise. Brent crude increased by 0.9% and WTI by 1.0%. Iran's adviser suggested strategic links between Persian Gulf and Red Sea, boosting Brent by 2.9% and WTI by 2.8%.

Baker Hughes (BKR) secured a major contract for the Cloud Connector Pipeline and Plaquemines LNG expansion. Shares are at $57.26 after an 8% pullback, despite a 21.47% YTD gain. Analysts estimate a fair value of $72.30, suggesting undervaluation due to its backlog and market exposure.

Morgan Stanley analyst Joe Laetsch named Baker Hughes (BKR) a top pick in energy services, setting a $70 price target. The firm cited Chart Industries integration, power growth, and oilfield services as key drivers. Management expects 22-23% margins by 2H 2028 and 3-4x revenue growth in power by 2029. Other analysts have mixed views on BKR's price target.

ExxonMobil (XOM) is expanding its carbon capture and storage (CCS) business, aiming to handle up to 100 million metric tons of CO2 annually. The company has partnerships with Linde, Nucor, and others, and Texas regulators approved its Rose CCS project. XOM's shares rose 46% over the past year, trading at a 12-month EV/EBITDA of 9.13X. Occidental Petroleum (OXY) and Baker Hughes (BKR) are also advancing carbon capture technologies.

Global oilfield services companies face earnings hits due to reduced drilling activity in the Middle East amid the Iran war, despite a 53% rise in Brent oil prices. SLB expects a 6-9 cent-per-share earnings hit, while industry revenue from the region may fall 10-20% in Q1. Companies like SLB, Halliburton, Baker Hughes, and Borr Drilling are affected. Future demand may rise due to infrastructure repairs, estimated at $25 billion.

Baker Hughes (BKR) raised its 2026 revenue and adjusted EBITDA guidance following its $13.6B acquisition of Chart Industries. The company now expects revenue of $28.5B-$30.3B and adjusted EBITDA of $4.88B-$5.48B. Despite the upgrade, shares fell as near-term margins face pressure and earnings contributions were below analyst expectations. UBS lowered its price target to $70, citing integration costs and margin concerns.

Baker Hughes (BKR) secured a large order for LNG equipment from Venture Global, supporting over 100 MTPA of LNG capacity. The deal expands Baker Hughes' role in the LNG value chain, tying its equipment to both upstream and downstream infrastructure. Analysts project revenue growth of 3.3% annually, reaching $30.8B and earnings of $3.3B by 2029. The order reinforces the company's investment narrative but also highlights risks tied to policy shifts and ESG rules.

Baker Hughes reported the U.S. rig count increased by 4 to 595, with oil and gas rigs each up 2. Year-over-year, the count is up 53. The offshore rig count fell by 1. In Canada, the rig count dropped by 10 to 197, but is up 8 year-over-year.