What is Erste Group Bank's Estimate for BP FY2027 Earnings?

Key Points

• Erste Group Bank raised its FY2027 EPS estimate for BP to $5.16, up from $5.04, though this remains below the broader consensus estimate of $8.08.
• BP’s latest quarter exceeded expectations, with EPS of $2.22 versus $1.87 expected and revenue of $69.11 billion versus $57.89 billion forecast.
• Analyst sentiment is generally favorable: BP has a consensus “Moderate Buy” rating and an average price target of $49.44, while the company increased its quarterly dividend to $0.5196 per share.

BP p.l.c. (NYSE:BP - Free Report) - Analysts at Erste Group Bank raised their FY2027 earnings per share estimates for shares of BP in a report issued on Wednesday, October 21st. Erste Group Bank analyst H. Engel now expects that the oil and gas exploration company will post earnings of $5.16 per share for the year, up from their prior forecast of $5.04. The consensus estimate for BP's current full-year earnings is $8.08 per share.

BP (NYSE:BP - Get Free Report) last issued its quarterly earnings data on Monday, August 3rd. The oil and gas exploration company reported $2.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.87 by $0.35. The business had revenue of $69.11 billion for the quarter, compared to analysts' expectations of $57.89 billion. BP had a return on equity of 16.63% and a net margin of 2.49%. The company's revenue for the quarter was up 106.1% on a year-over-year basis. During the same period in the prior year, the firm earned $0.90 EPS.

A number of other research firms also recently issued reports on BP. Morgan Stanley reaffirmed an "overweight" rating on shares of BP in a research note on Friday, September 4th. Weiss Ratings raised shares of BP from a "hold (c)" rating to a "hold (c+)" rating in a research note on Thursday. Evercore upgraded shares of BP to an "outperform" rating in a report on Monday, October 5th. Mizuho upped their target price on shares of BP from $53.00 to $56.00 and gave the company an "outperform" rating in a research report on Monday, October 5th. Finally, Zacks Research raised shares of BP from a "hold" rating to a "strong-buy" rating in a report on Tuesday, September 8th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, eight have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $49.44.

BP Trading Down 1.5%

BP stock opened at $50.55 on Tuesday. The firm has a fifty day moving average price of $45.32 and a 200 day moving average price of $42.50. BP has a fifty-two week low of $33.22 and a fifty-two week high of $51.49. The firm has a market cap of $132.44 billion, a PE ratio of 10.45, a price-to-earnings-growth ratio of 0.47 and a beta of 0.20. The company has a debt-to-equity ratio of 0.69, a quick ratio of 0.95 and a current ratio of 1.27.

Institutional Trading of BP

A number of institutional investors have recently bought and sold shares of BP. Russell Investments Group Ltd. boosted its position in shares of BP by 15.8% during the second quarter. Russell Investments Group Ltd. now owns 1,410,714 shares of the oil and gas exploration company's stock valued at $52,307,000 after buying an additional 192,211 shares during the period. Readystate Asset Management LP raised its holdings in shares of BP by 322.4% in the second quarter. Readystate Asset Management LP now owns 619,670 shares of the oil and gas exploration company's stock worth $22,897,000 after buying an additional 472,974 shares during the period. Kahn Brothers Group Inc. purchased a new stake in shares of BP in the second quarter worth approximately $23,094,000. TD Waterhouse Canada Inc. lifted its stake in shares of BP by 611.2% during the 3rd quarter. TD Waterhouse Canada Inc. now owns 111,585 shares of the oil and gas exploration company's stock worth $4,966,000 after acquiring an additional 95,896 shares during the last quarter. Finally, Global Retirement Partners LLC purchased a new position in BP during the 2nd quarter valued at $1,592,000. 11.01% of the stock is currently owned by institutional investors.

BP Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 18th. Investors of record on Friday, August 14th were issued a dividend of $0.5196 per share. This represents a $2.08 annualized dividend and a yield of 4.1%. The ex-dividend date was Friday, August 14th. This is a boost from BP's previous quarterly dividend of $0.4992. BP's payout ratio is currently 100.49%.

BP News Roundup

Here are the key news stories impacting BP this week:

• Positive Sentiment: BP and Louisiana state leaders agreed to resolve outstanding Deepwater Horizon-related coastal lawsuits. The settlement removes a source of legal uncertainty, although the articles do not provide the final payout amount. BP and Louisiana resolve outstanding Deepwater Horizon lawsuits
• Positive Sentiment: BP is entering earnings with record refining margins and improved production guidance. Those strengths could help offset pressure from impairments and support cash generation if sustained. BP write-downs and production outlook
• Neutral Sentiment: BP remains valued at a relatively low forward earnings multiple compared with some energy peers, but investors are questioning whether elevated oil-sector earnings can persist into 2027 or represent a potential value trap. Zacks Value Trader highlights BP
• Negative Sentiment: BP has flagged approximately $3.0 billion to $4.5 billion in potential write-downs before the October 30 report. The charges could weigh on reported earnings and raise questions about asset quality and capital allocation, despite the stronger operating outlook. BP write-downs ahead of earnings
• Negative Sentiment: The Whiting refinery lockout has reached 221 days, prolonging labor disruption and creating potential operational and employee-relations costs. BP Whiting refinery lockout
• Negative Sentiment: BP underperformed while the broader market advanced, reflecting investor caution ahead of earnings. Short interest also rose 61.8% between September 30 and October 15, signaling increased bearish positioning, although short interest remains a small portion of shares outstanding. BP stock performance ahead of earnings

About BP

BP p.l.c. is a global integrated energy company headquartered in London, United Kingdom. Its operations span the exploration, development and production of oil and natural gas, as well as the processing, refining, transportation and marketing of energy products.

Through its businesses, BP supplies fuels for road transportation, aviation and marine use, along with lubricants marketed under the Castrol brand. The company also operates retail fuel and convenience locations and provides energy products and services to commercial and industrial customers.

BP has expanded its activities beyond traditional hydrocarbons to include lower-carbon businesses such as renewable power, bioenergy, electric-vehicle charging and hydrogen.

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