BKR Baker Hughes Company : Bullish and Bearish Analyst Opinions

Josh highlighted that Chevron and Exxon are making record highs, refiners like Marathon, Phillips 66, and Valero are performing well, and oil services name Baker Hughes has recovered after a hit and is back in an uptrend. Investors are rotating into these energy-related stocks because they are in substantial uptrends and showing strength, ignoring traditional panic signals during market declines. LONG direction as these stocks are where money is flowing, indicating sustained investor interest and positive momentum in the energy sector. If oil prices spike well beyond $100-$105, it could break the equity market's comfort zone and negatively impact these stocks.

"President Trump said to be preparing to invoke Cold War era powers to restart oil production off Southern California... to preempt state laws and ease permitting for stable off-shore corporation." Federal preemption of strict state environmental laws will unlock stranded offshore assets. Companies with existing infrastructure in these regions, along with the oilfield services companies that support them, will see an immediate boost in project backlog and production. LONG. Regulatory tailwinds via executive action provide a direct catalyst for offshore producers and service providers. Legal challenges from the state of California could delay or block the federal mandate, trapping capital.

"Being blessed by God to have oil gas the way that most GCC countries have and Iran so has gives them an advantage... Iran is one of the most untapped economic opportunities." While Iran has the reserves, its extraction infrastructure is antiquated. Unlike the GCC states (UAE/Saudi) which have modernized, Iran has been isolated. A friendly regime would immediately invite Western Oil Services majors (Halliburton, Schlumberger, Baker Hughes) to upgrade fields. This is a pure CapEx play, regardless of where the price of oil goes. LONG. These companies provide the picks and shovels for the energy modernization Shervin describes. A flood of Iranian oil onto the global market could crash crude prices, potentially reducing global CapEx budgets, even if Iran's specific spend increases.

Brown observes that while oil is at 2023 highs, energy stocks like Texas Pacific Land (+83% YTD), Valero (+40%), and Baker Hughes (+33%) are "barely doing anything" today. This price action divergence is a "powerful signal." If the market believed in a sustained oil super-spike (to $150), these equities would be rallying hard. Their stagnation indicates "big institutional money is not buying in" on the oil rally. Do not chase energy equities here; the move may be exhausted. Energy stocks catch up to the commodity price lag later.

First Squawk (@FirstSquawk) BAKER HUGHES SHARES DROP 1.1% TO $60.18 AMID VOLUME SPIKE. Tweet Link

$BKR | Baker Hughes Priced EUR3 Bln Debt Offering In 4 Parts: EUR600 Mln 4Y FXD At +70 EUR900 Mln 8Y FXD At +105 EUR750 Mln 12Y FXD At +125 EUR750 Mln 20Y FXD At +165

Borrowers including Baker Hughes Co. are offering Europe’s first high-grade corporate debt deals in a week https://t.co/HmkCVOqVbs