BP p.l.c. (NYSE:BP) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• BP has a “Moderate Buy” consensus rating from 24 brokerages, with an average 12-month price target of about $46.14. Analyst views are mixed, with 11 buys, 2 strong buys, 8 holds, and 3 sells.
• Recent business updates were mostly positive, including BP beginning first commercial non-associated gas production at its ACG field in the Caspian Sea, which could add a meaningful new growth stream. BP also reportedly held talks to sell about £2 billion of North Sea assets as part of its portfolio reshaping.
• BP’s latest earnings beat expectations, posting $1.24 EPS versus the $1.00 estimate and revenue of $52.26 billion, while the company also announced a quarterly dividend of $0.4992 per share. The stock was trading at $43.75, below its 12-month high of $48.27.

Shares of BP p.l.c. (NYSE:BP - Get Free Report) have earned an average recommendation of "Moderate Buy" from the twenty-four brokerages that are currently covering the firm, Marketbeat Ratings reports. Three research analysts have rated the stock with a sell rating, eight have assigned a hold rating, eleven have assigned a buy rating and two have assigned a strong buy rating to the company. The average 12 month price target among brokerages that have updated their coverage on the stock in the last year is $46.1417.

Several research firms recently weighed in on BP. Freedom Capital cut shares of BP from a "hold" rating to a "strong sell" rating in a research note on Thursday, February 12th. Piper Sandler raised their target price on shares of BP from $44.00 to $47.00 and gave the company a "neutral" rating in a research note on Thursday, March 12th. Zacks Research cut shares of BP from a "strong-buy" rating to a "hold" rating in a research note on Monday, May 25th. BNP Paribas Exane set a $57.00 target price on shares of BP and gave the company an "outperform" rating in a research note on Friday, April 17th. Finally, UBS Group raised shares of BP from a "neutral" rating to a "buy" rating in a research note on Wednesday, April 15th.

Trending Headlines about BP

Here are the key news stories impacting BP this week:

• Positive Sentiment: BP began first commercial non-associated gas production at its ACG field in the Caspian Sea, opening up a new growth stream from an estimated 4-6 Tcf of recoverable gas resources. This could meaningfully expand BP’s production profile and supports the bull case for future cash flow. First Non-Associated Gas Flows at BP's ACG Field in the Caspian Sea
• Positive Sentiment: BP also reportedly held talks to sell about £2 billion of UK North Sea assets to Ithaca Energy, which would fit management’s strategy of reshaping the portfolio and potentially strengthening the balance sheet. BP held talks to sell North Sea assets to Ithaca for £2 billion, FT reports
• Positive Sentiment: BP’s start-up of gas production at ACG is another operational milestone that highlights continued execution in Azerbaijan, reinforcing the company’s long-term growth narrative. BP starts NAG production at ACG field offshore Azerbaijan
• Neutral Sentiment: BP appointed Amanda Blanc to lead the search for its next chair, a governance update that may help clarify succession planning but does not directly change near-term fundamentals. BP tasks independent director Amanda Blanc to lead search for next chair
• Neutral Sentiment: BP is set to transfer operation of the BTC pipeline to Azerbaijan’s SOCAR on July 1, a planned contractual handover that is largely administrative. BP says it is set to transfer running of BTC pipeline to Azerbaijan's SOCAR
• Negative Sentiment: Reports that BP may quit the North Sea after Labour’s tax increases raise concerns about policy pressure, future regional investment, and potential restructuring costs. BP considers quitting North Sea after Labour tax raid
• Negative Sentiment: A Pomerantz law firm investigation into claims on behalf of BP investors adds a headline risk that can weigh on sentiment, even though it does not yet imply wrongdoing. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of BP p.l.c. - BP
• Negative Sentiment: Media reports of an executive departure and broader leadership churn at BP may raise concerns about internal stability during a period of strategic change. Exec exodus continues at BP as gas boss quits...

Hedge Funds Weigh In On BP

Large investors have recently modified their holdings of the stock. Strategic Advocates LLC bought a new position in shares of BP in the third quarter valued at about $25,000. YANKCOM Partnership grew its stake in shares of BP by 1,068.3% in the fourth quarter. YANKCOM Partnership now owns 958 shares of the oil and gas exploration company's stock valued at $33,000 after acquiring an additional 876 shares in the last quarter. Financial Life Planners acquired a new position in shares of BP in the first quarter valued at about $39,000. Triumph Capital Management acquired a new position in shares of BP in the third quarter valued at about $43,000. Finally, LRI Investments LLC grew its stake in shares of BP by 76.2% in the fourth quarter. LRI Investments LLC now owns 1,276 shares of the oil and gas exploration company's stock valued at $44,000 after acquiring an additional 552 shares in the last quarter. 11.01% of the stock is owned by institutional investors.

BP Price Performance

NYSE BP opened at $43.75 on Thursday. The company has a quick ratio of 0.87, a current ratio of 1.22 and a debt-to-equity ratio of 0.68. BP has a 12-month low of $28.83 and a 12-month high of $48.27. The company has a market capitalization of $114.57 billion, a PE ratio of 36.46, a price-to-earnings-growth ratio of 0.55 and a beta of 0.14. The firm's 50 day moving average is $45.32 and its 200-day moving average is $40.07.

BP (NYSE:BP - Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The oil and gas exploration company reported $1.24 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.00 by $0.24. BP had a net margin of 1.62% and a return on equity of 12.06%. The company had revenue of $52.26 billion for the quarter, compared to the consensus estimate of $48.50 billion. During the same period last year, the company earned $0.53 earnings per share. The firm's revenue was up 11.4% compared to the same quarter last year. Equities research analysts anticipate that BP will post 5.08 earnings per share for the current fiscal year.

BP Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, June 26th. Stockholders of record on Friday, May 15th will be given a $0.4992 dividend. The ex-dividend date of this dividend is Friday, May 15th. This represents a $2.00 annualized dividend and a dividend yield of 4.6%. BP's dividend payout ratio is presently 165.00%.

BP Company Profile

BP plc is a British multinational integrated energy company headquartered in London. Originating in the early 20th century as the Anglo-Persian Oil Company, BP has grown into one of the world's largest oil and gas companies, operating across exploration and production, refining and marketing, trading, and a range of low-carbon businesses.

The company's core activities include upstream exploration and production of crude oil and natural gas, midstream and trading operations, and downstream refining, marketing and supply of fuels, lubricants and petrochemicals.

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