Baker Hughes Company
Thesis
Baker Hughes is positioned to benefit from its installed base economics, which create a recurring, high-margin services stream that the market underappreciates. The company’s growth in Gas Technology Services and the integration of Chart Industries will shift its earnings mix towards higher-quality, less cyclical revenue, with a projected price target of $108/share, implying 63% upside through 2028.
Did it work?
The long thesis has decisively played out: Baker Hughes returned +92.3%, exceeding the stated $108/share price target that implied 63% upside through 2028, and doing so well ahead of the horizon. This confirms the core claim that the market underappreciated the installed-base services economics and the shift toward higher-quality, less cyclical earnings from Gas Technology Services and the Chart Industries integration. Since the full stated upside has already been delivered and surpassed, the verdict is clear regardless of remaining time to 2028.