Erste Group Bank Has Negative Outlook for BP FY2027 Earnings

BP p.l.c. (NYSE:BP) – Equities research analysts at Erste Group Bank reduced their FY2027 EPS estimates for shares of BP in a research note issued to investors on Wednesday, July 15th. Erste Group Bank analyst H. Engel now expects that the oil and gas exploration company will post earnings of $3.96 per share for the year, down from their previous estimate of $4.02. The consensus estimate for BP’s current full-year earnings is $5.27 per share.

A number of other research analysts have also commented on the company. HSBC upgraded BP from a “reduce” rating to a “hold” rating and upped their target price for the company from $35.10 to $45.30 in a research note on Friday, March 20th. TD Cowen raised their price objective on shares of BP from $40.00 to $41.00 and gave the stock a “hold” rating in a report on Thursday. 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. Royal Bank Of Canada upgraded shares of BP from a “sector perform” rating to an “outperform” rating in a research note on Monday, May 11th. Finally, Weiss Ratings reiterated a “hold (c-)” rating on shares of BP in a research note on Thursday, June 18th. Two analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, eight have given a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $46.64.

BP Trading Up 2.0%

BP stock opened at $41.91 on Friday. BP has a 12 month low of $31.58 and a 12 month high of $48.27. The stock has a market cap of $109.75 billion, a price-to-earnings ratio of 34.92, a price-to-earnings-growth ratio of 0.75 and a beta of 0.17. The business has a 50 day moving average price of $41.39 and a two-hundred day moving average price of $41.05. 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 (NYSE:BP) last released its earnings results on Tuesday, April 28th. The oil and gas exploration company reported $1.24 earnings per share for the quarter, beating the consensus estimate of $1.00 by $0.24. BP had a net margin of 1.62% and a return on equity of 12.06%. The business had revenue of $52.26 billion during the quarter, compared to analysts’ expectations of $48.50 billion. During the same quarter last year, the company earned $0.53 earnings per share. The firm’s revenue was up 11.4% on a year-over-year basis.

Institutional Trading of BP

Hedge funds have recently modified their holdings of the company. Rhumbline Advisers boosted its holdings in shares of BP by 4.2% in the 2nd quarter. Rhumbline Advisers now owns 39,146 shares of the oil and gas exploration company’s stock worth $1,172,000 after acquiring an additional 1,588 shares in the last quarter. Gamco Investors INC. ET AL raised its position in BP by 7.4% in the 2nd quarter. Gamco Investors INC. ET AL now owns 8,295 shares of the oil and gas exploration company’s stock valued at $248,000 after purchasing an additional 568 shares during the last quarter. IHT Wealth Management LLC boosted its stake in BP by 3.3% in the second quarter. IHT Wealth Management LLC now owns 12,513 shares of the oil and gas exploration company’s stock worth $375,000 after purchasing an additional 398 shares in the last quarter. WFA of San Diego LLC bought a new stake in shares of BP during the second quarter worth $46,000. Finally, Brown Brothers Harriman & Co. grew its holdings in shares of BP by 7.0% during the third quarter. Brown Brothers Harriman & Co. now owns 5,738 shares of the oil and gas exploration company’s stock worth $198,000 after purchasing an additional 374 shares during the last quarter. Institutional investors and hedge funds own 11.01% of the company’s stock.

BP Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 26th. Shareholders of record on Friday, May 15th were given a $0.4992 dividend. The ex-dividend date was Friday, May 15th. This represents a $2.00 dividend on an annualized basis and a yield of 4.8%. BP’s payout ratio is 165.00%.

Key Headlines Impacting BP

Here are the key news stories impacting BP this week:

• Positive Sentiment: BP is expected to announce billions of dollars of new investments in Iraq alongside ConocoPhillips, a move that could expand BP’s upstream footprint and support long-term production growth. BP, ConocoPhillips to back Iraq with major investment as U.S. seeks to cut Iran’s energy hold
• Positive Sentiment: Citi says BP’s biggest turnaround opportunity is in reshaping its upstream oil and gas business, reinforcing the view that the company is moving away from its prior renewables-heavy strategy. BP’s big opportunity is in its upstream oil and gas business – analyst
• Positive Sentiment: BP and ConocoPhillips are also tied to a broader redevelopment effort in Iraq’s Kirkuk oilfields, adding another upstream catalyst for BP. ConocoPhillips to buy 42% stake in BP unit tied to Iraq’s Kirkuk oilfields
• Neutral Sentiment: BP is shutting down BP Ventures and selling most minority holdings in its venture portfolio, a portfolio-optimization and deleveraging move that may improve focus but also signals a pullback from some growth bets. Oil giant BP shutters its corporate venture arm after 20 years
• Neutral Sentiment: Erste Group trimmed its FY2027 EPS estimate for BP slightly, which is a mild headwind but not a major change versus the broader earnings outlook. BP, ConocoPhillips to back Iraq with major investments, CNBC reports
• Negative Sentiment: The lower earnings estimate adds some caution around BP’s near-term profit trajectory, even though it remains below consensus only modestly. BP, ConocoPhillips to back Iraq with major investments, CNBC reports

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.