With an average upside potential of 36.76% according to Wall Street analysts, Baker Hughes Company (NASDAQ:BKR) is included among the 10 Most Promising Energy Stocks to Buy Now.

Baker Hughes Company (NASDAQ:BKR) is an energy technology company that provides solutions for energy and industrial customers worldwide.

On July 2, TD Cowen analyst Marc Bianchi raised the firm's price objective on Baker Hughes Company (NASDAQ:BKR) from $75 to $77, while reaffirming a 'Buy' rating on the shares. The revised target indicates an upside potential of over 44% from the current share price.

TD Cowen believes that Baker Hughes' core OFSE and IET businesses remain largely on track. While IET orders are projected to fall from the strong Q1 levels, the analyst firm still expects them to remain in line, or even above, the midpoint of the company's annual guidance.

The energy technology firm's IET orders surged by almost 54% YoY to $4.89 billion in the first quarter, supported by the rise in electricity demand from data centers, along with investments in LNG, ​gas infrastructure, and grid equipment. Baker Hughes remains confident in achieving at least the $14.5 billion midpoint of its order guidance for IET in FY 2026. Moreover, the company intends to continue this momentum with a target for IET orders to exceed $40 billion by 2028.

While we acknowledge the potential of BKR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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