BP (LON:BP) Stock Rating Reaffirmed as "Hold" by Jefferies Financial Group

Key Points

• Jefferies reaffirmed its “Hold” rating on BP and set a GBX 520 price target, implying 14.75% downside from the previous close.
• BP shares rose 3.7% to GBX 610, while the broader analyst consensus remains more positive: 10 Buy ratings and one Hold, with an average target of GBX 605.
• Improved oil prices and refining margins helped BP reach its debt-reduction target ahead of schedule, but the company also warned of up to $4.5 billion in impairments as it scales back renewable-energy ambitions.

BP (LON:BP - Get Free Report)'s stock had its "hold" rating restated by analysts at Jefferies Financial Group in a note issued to investors on Wednesday, Digital Look reports. They currently have a GBX 520 price target on the oil and gas exploration company's stock. Jefferies Financial Group's price objective points to a potential downside of 14.75% from the stock's previous close.

BP has been the topic of several other research reports. Royal Bank Of Canada restated a "buy" rating on shares of BP in a report on Thursday, September 24th. The Goldman Sachs Group reiterated a "buy" rating on shares of BP in a report on Wednesday, July 1st. UBS Group reiterated a "buy" rating on shares of BP in a report on Monday, September 28th. JPMorgan Chase & Co. lifted their price objective on BP from GBX 550 to GBX 675 and gave the stock an "overweight" rating in a research report on Wednesday, September 23rd. Finally, Berenberg Bank boosted their price objective on BP from GBX 600 to GBX 605 and gave the company a "buy" rating in a research note on Tuesday, August 18th. Ten analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat, BP has a consensus rating of "Moderate Buy" and an average target price of GBX 605.

BP Trading Up 3.7%

Shares of BP traded up GBX 22 during trading hours on Wednesday, hitting GBX 610. 52,576,615 shares of the stock were exchanged, compared to its average volume of 8,560,774. BP has a fifty-two week low of GBX 379.70 and a fifty-two week high of GBX 562.30. The business has a 50-day moving average of GBX 546.41 and a 200-day moving average of GBX 541.18. The firm has a market capitalization of £118.72 billion, a P/E ratio of 45.57, a price-to-earnings-growth ratio of 0.35 and a beta of 0.06. The company has a debt-to-equity ratio of 124.41, a current ratio of 1.27 and a quick ratio of 0.62.

Trending Headlines about BP

Here are the key news stories impacting BP this week:

• Positive Sentiment: BP said it has reached its debt-reduction target ahead of schedule, helped by high oil prices and improved refining margins. The balance-sheet improvement is supporting investor confidence and contributed to the stock reaching multiyear highs. BP surges to multiyear highs as efforts to cut net debt ahead of schedule
• Positive Sentiment: Refining margins reportedly more than tripled, while stronger oil prices are improving cash flow and accelerating debt repayment. BP is expected to outline a new strategy in December, potentially providing greater clarity on capital allocation and returns. BP sees refining margin triple, debt target reached, but flags more impairments
• Neutral Sentiment: New CEO Meg O’Neill will present BP’s strategic direction in December after the company’s balance sheet strengthened. The update could determine whether the improved financial position translates into higher shareholder returns. BP to set out new strategy after windfall year
• Neutral Sentiment: Insider Kate Thomson purchased five shares at GBX 586, a very small transaction that offers limited information about management’s broader view of BP’s valuation.
• Negative Sentiment: BP flagged up to $4.5 billion of impairments as it scales back renewable-energy ambitions. The charges and another expected low-carbon write-down highlight the financial cost of retreating from its previous transition strategy, despite stronger refining performance. BP Flags up to $4.5 Billion in Impairments as Refining Margins Jump
• Negative Sentiment: Jefferies reaffirmed its “hold” rating and assigned a GBX 520 price target, below the current trading level. This signals limited near-term upside in the analyst’s view. Jefferies reaffirms BP hold rating

BP Company Profile

BP p.l.c. provides carbon products and services. The company operates through Gas & Low Carbon Energy, Oil Production & Operations, and Customers & Products segments. It engages in the production of natural gas, and integrated gas and power; trading of gas; operation of onshore and offshore wind power, as well as hydrogen and carbon capture and storage facilities; trading and marketing of renewable and non-renewable power; and production of crude oil. In addition, the company involved in convenience and retail fuel, EV charging, Castrol lubricant, aviation, B2B, and midstream businesses; refining and oil trading; and bioenergy business.