BP (NYSE:BP) Stock Rating Lowered by Melius Research

BP (NYSE:BP) was downgraded by equities research analysts at Melius Research from a “buy” rating to a “sell” rating in a research report issued on Wednesday. They currently have a $31.00 price objective on the oil and gas exploration company’s stock. Melius Research’s price target would suggest a potential downside of 16.08% from the company’s previous close.

A number of other brokerages have also commented on BP. Evercore set a $38.00 price target on BP and gave the company an “in-line” rating in a report on Tuesday, January 6th. Santander raised BP to an “outperform” rating in a research report on Monday, November 3rd. Jefferies Financial Group reaffirmed a “hold” rating on shares of BP in a research report on Thursday, January 8th. Wall Street Zen upgraded shares of BP from a “hold” rating to a “buy” rating in a report on Saturday, January 31st. Finally, Piper Sandler restated a “neutral” rating on shares of BP in a report on Wednesday. Two equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, nine have assigned a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $37.23.

BP Stock Performance

Shares of BP opened at $36.94 on Wednesday. The firm’s 50 day moving average price is $35.78 and its two-hundred day moving average price is $35.05. The company has a debt-to-equity ratio of 0.70, a quick ratio of 0.89 and a current ratio of 1.19. BP has a twelve month low of $25.22 and a twelve month high of $39.51. The firm has a market cap of $96.30 billion, a P/E ratio of 63.69, a PEG ratio of 2.18 and a beta of 0.33.

BP (NYSE:BP) last issued its quarterly earnings data on Tuesday, February 10th. The oil and gas exploration company reported $0.60 EPS for the quarter, topping analysts’ consensus estimates of $0.57 by $0.03. The business had revenue of $47.38 billion for the quarter, compared to analyst estimates of $42.19 billion. BP had a net margin of 0.79% and a return on equity of 9.07%. The firm’s quarterly revenue was up 3.6% on a year-over-year basis. During the same period last year, the business posted $0.44 earnings per share. On average, analysts forecast that BP will post 3.53 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Crescent Grove Advisors LLC raised its holdings in shares of BP by 8.1% in the 4th quarter. Crescent Grove Advisors LLC now owns 6,644 shares of the oil and gas exploration company’s stock valued at $231,000 after purchasing an additional 500 shares during the period. Sound Shore Management Inc. CT acquired a new position in BP during the fourth quarter worth approximately $67,890,000. Heritage Trust Co raised its stake in BP by 1.8% in the fourth quarter. Heritage Trust Co now owns 62,404 shares of the oil and gas exploration company’s stock valued at $2,167,000 after buying an additional 1,113 shares during the period. Root Financial Partners LLC boosted its stake in shares of BP by 66.8% during the 4th quarter. Root Financial Partners LLC now owns 2,544 shares of the oil and gas exploration company’s stock worth $88,000 after acquiring an additional 1,019 shares during the period. Finally, Lummis Asset Management LP increased its holdings in shares of BP by 323.9% during the 4th quarter. Lummis Asset Management LP now owns 4,239 shares of the oil and gas exploration company’s stock worth $147,000 after acquiring an additional 3,239 shares during the last quarter. Institutional investors own 11.01% of the company’s stock.

More BP News

Here are the key news stories impacting BP this week:

• Positive Sentiment: Underlying Q4 operating results showed resilience: EPS beat estimates on higher oil production and stronger refining margins, and management highlighted solid cash‑flow trends that support deleveraging efforts. BP Q4 Earnings Beat on Higher Oil Production
• Positive Sentiment: BP is pursuing an OFAC license to develop a Venezuela/Trinidad gas field — a successful approval could add production optionality and medium‑term reserves. BP seeks OFAC license for Venezuela/Trinidad gas field
• Positive Sentiment: Interest from buyers for BP’s Gelsenkirchen refinery could free up cash and simplify operations if a sale proceeds. Gelsenkirchen refinery attracts buyer interest
• Positive Sentiment: Short interest fell sharply in January (down ~34% vs. mid‑January), reducing near‑term short‑sell pressure. (Market data)
• Neutral Sentiment: BP reported an adjusted underlying replacement‑cost profit roughly in line with analyst expectations, suggesting operational performance wasn’t a major surprise. BP reports fourth-quarter 2025 profits in line
• Neutral Sentiment: Management signaled intensified cost‑cutting to offset margin pressure — could improve margins over time but may take quarters to materialize. BP steps up cost cutting as profits slide
• Negative Sentiment: BP suspended its share buyback program and said excess cash will instead be used to strengthen the balance sheet — a blow to dividend‑seeking and buyback‑driven investors and a key reason for the share price weakness. BP Suspends Share Buybacks as Profit Slumps
• Negative Sentiment: Annual reported net profit plunged (headlines cite an ~86% drop) and the quarter included large inventory losses and roughly $4bn of post‑tax impairments tied to transition‑related assets — these charges hit headline earnings and investor confidence. BP Announces 86% Drop in Annual Net Profit
• Negative Sentiment: BP reported a sizable Q4 headline loss (cited ~$3.4bn) driven by impairments and inventory accounting, reinforcing concerns that weaker oil prices are pressuring earnings. BP halts buy-backs to preserve cash after $3.4bn Q4 loss
• Negative Sentiment: Market reaction: multiple outlets report the stock fell after the buyback suspension and earnings release, reflecting investor disappointment and a re‑rating of payout expectations. BP Stock Drops 5% as Company Suspends Buyback

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.