BP (NYSE:BP) Posts Earnings Results, Beats Estimates By $0.35 EPS

BP (NYSE:BP) released its earnings results on Monday. 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, FiscalAI reports. The firm had revenue of $69.11 billion during the quarter, compared to analysts’ expectations of $57.89 billion. BP had a return on equity of 12.06% and a net margin of 1.62%.The firm’s revenue was up 106.1% on a year-over-year basis. During the same quarter last year, the business posted $0.90 earnings per share.

BP Trading Down 4.3%

BP stock traded down $1.92 during midday trading on Tuesday, hitting $42.34. 5,116,224 shares of the stock were exchanged, compared to its average volume of 11,369,172. The stock’s 50-day simple moving average is $41.08 and its 200 day simple moving average is $41.76. The company has a current ratio of 1.22, a quick ratio of 0.87 and a debt-to-equity ratio of 0.68. The stock has a market capitalization of $110.89 billion, a price-to-earnings ratio of 35.36, a PEG ratio of 0.76 and a beta of 0.15. BP has a fifty-two week low of $32.69 and a fifty-two week high of $48.27.

Analysts Set New Price Targets

Several analysts recently weighed in on BP shares. Argus upgraded BP from a “hold” rating to a “buy” rating and set a $50.00 price target on the stock in a report on Monday, May 11th. Weiss Ratings reissued a “hold (c-)” rating on shares of BP in a research note on Thursday, June 18th. UBS Group upgraded shares of BP from a “neutral” rating to a “buy” rating in a report on Wednesday, April 15th. Mizuho began coverage on shares of BP in a research note on Monday, July 20th. They issued an “outperform” rating and a $51.00 target price on the stock. Finally, Royal Bank Of Canada raised BP from a “sector perform” rating to an “outperform” rating in a research note on Monday, May 11th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, eight have issued a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $46.59.

Key BP News

Here are the key news stories impacting BP this week:

• Positive Sentiment: Major earnings beat: BP reported second-quarter underlying replacement-cost profit of approximately $5.73 billion, more than double the year-earlier result and above analyst expectations. Reported EPS was $2.22 versus the $1.87 consensus, while revenue reached $69.11 billion, up 106.1% year over year. BP’s second-quarter profit more than doubles from a year ago
• Positive Sentiment: Strong operating drivers: Higher oil and gas prices, stronger refining margins, improved hydrocarbon realizations and robust trading returns—helped by Middle East market volatility—lifted earnings and cash flow. Analysts described BP’s turnaround as potentially ahead of schedule, creating an opportunity to accelerate debt reduction. BP Q2 Earnings Beat Estimates on Strong Refining Margins & Pricing
• Positive Sentiment: Shareholder returns and restructuring: BP raised its dividend rate, while the completed sale of its Gelsenkirchen refinery is expected to reduce underlying operating expenses by about $1 billion and strengthen the balance sheet. BP Raises Dividend Rate
• Neutral Sentiment: Portfolio shift continues: BP plans to sell Archaea Energy as it retreats from biogas and is pursuing changes to its North Sea portfolio. These moves could simplify operations and focus capital on higher-return oil and gas assets, but they also signal a substantial change in the company’s long-term strategy. BP to sell Archaea Energy as it withdraws from biogas
• Negative Sentiment: Quality and durability concerns: Lower production and increased exploration write-offs partly offset the benefit of higher prices. Investors may also view profits driven by oil-price spikes, refining strength and geopolitical volatility as difficult to repeat.
• Negative Sentiment: Political and execution risks: BP faces criticism over elevated energy-company profits, UK pressure related to North Sea operations and uncertainty surrounding its leadership and turnaround. Those risks may be limiting the market’s reaction to the earnings beat. BP may be at high point as Trump slams oil industry profits as too much

Institutional Investors Weigh In On BP

Institutional investors have recently added to or reduced their stakes in the business. Triumph Capital Management purchased a new position in shares of BP during the 3rd quarter worth approximately $43,000. WFA of San Diego LLC purchased a new stake in BP during the second quarter worth $46,000. Ameriflex Group Inc. grew its stake in BP by 39.1% in the 4th quarter. Ameriflex Group Inc. now owns 1,808 shares of the oil and gas exploration company’s stock valued at $63,000 after acquiring an additional 508 shares during the last quarter. Colonial Trust Co SC increased its position in BP by 52.2% during the fourth quarter. Colonial Trust Co SC now owns 2,914 shares of the oil and gas exploration company’s stock worth $101,000 after buying an additional 1,000 shares in the last quarter. Finally, Brown Brothers Harriman & Co. lifted its holdings in BP by 7.0% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 5,738 shares of the oil and gas exploration company’s stock valued at $198,000 after purchasing an additional 374 shares in the last quarter. Hedge funds and other institutional investors own 11.01% of the company’s stock.

About BP

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.