Shares of Baker Hughes on Thursday were on pace for their worst day in more than a year after the oilfield services company updated its fiscal-year guidance to include a key acquisition to expand its business.

Wall Street's initial take was that the acquisition hasn't met expectations.

Baker Hughes stock fell 7% to $59.22 on Thursday after posting the update, and was on pace for its worst daily percentage decline since April 4, 2025.

The company's stock has risen 11% this year, and 26% over the past 12 months.

Thursday's decline came after Baker Hughes, in a regulatory filing a day earlier, issued fiscal-year guidance that included the closed acquisition of Chart Industries-an industrial firm with a growing business selling equipment for liquefied natural gas, or LNG, plants.

Baker Hughes on Wednesday added Chart Industries' $1.85 billion to $2.25 billion in revenue and $300 million to $400 million in earnings before interest, taxes, depreciation, and amortization, or Ebitda, to its guidance.

Baker Hughes, inclusive of Chart, sees fiscal-year revenue between $28.5 billion and $30.3 billion and adjusted Ebitda of 4.875 billion to $5.475 billion.

Baker Hughes added that it expects between 55% and 65% of Chart Industries' second-half Ebitda to be realized in the fourth quarter, with near-term margins pressured by the timing and mix of LNG equipment volumes, soft hydrogen demand, and several lower-margin projects.

Both the revenue and adjusted Ebitda guidance came in above Wall Street expectations, according to FactSet. Morgan Stanley analyst Joe Laetsch, however, noted Thursday that the adjusted Ebitda outlook was below the analyst consensus.

Laetsch added that while Chart Industries' revenue surpassed the analyst consensus, the Ebitda came in about 13% below Wall Street's expectations of $400 million.

Even with the selloff and the underwhelming additions from Chart Industries, Morgan Stanley maintained an Overweight rating on Baker Hughes. The firm also kept it as a "top pick" in the sector with a price target of $70.

"BKR has continued to evolve into a broader industrial energy technology platform, with the Chart acquisition expanding its exposure to LNG, gas infrastructure, power, data centers, industrial, and new energy markets while increasing the scale of its installed base and recurring aftermarket opportunity," Laetsch wrote.