5 Best Oil and Gas Equipment & Services Stocks to Buy According to Hedge Funds

3. Baker Hughes Co. (NASDAQ:BKR)

Baker Hughes Co. (NASDAQ:BKR) is one of the 10 best oil and gas equipment & services stocks to buy according to hedge funds.

On April 7, San Matias Pipeline placed a major equipment order with Baker Hughes Co. (NASDAQ:BKR). According to the agreement, it will supply three different gas compression units for a major natural gas pipeline construction in Argentina. This includes three NovaLT 16 gas turbines equipped with three centrifugal compressors, necessary commissioning services, as well as spare parts and specialized tools.

It will also deliver remote monitoring capabilities along with advanced diagnostic support. The company will install this hardware at a compressor station near Allen within Rio Negro to facilitate natural gas transportation from the Vaca Muerta formation to the Gulf of San Matias via a dedicated pipeline. In the longer run, this operation will supply gas for two floating liquefied natural gas vessels owned by Southern Energy.

On April 7, Susquehanna increased the price target on Baker Hughes Company (NASDAQ:BKR) from $65 to $70 while maintaining a Positive rating on the stock. The revision is part of broader adjustments to the Oilfield Services segments, as part of the first quarter earnings preview.

The firm noted that the conflict in Iran has served as a major positive catalyst for commodities as well as oil and gas equities. The estimates for oilfield services companies having exposure to the Middle East have been lowered by Susquehanna due to higher costs, operational disruption, and some delays in projects. Nevertheless, the impact is increasingly positive in the medium-to-long term as supply becomes tighter.

Baker Hughes Co. (NASDAQ:BKR) offers a range of solutions to the energy and industrial value chain. It is engaged in development, production, and decommissioning products and services for onshore and offshore oilfield functions. It also sells software for optimization, climate technology solutions, after-market support, and more.