BP Q4 Earnings Beat Expectations, Share Buyback Suspended
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5 days ago
0mins
Should l Buy BP?
Source: seekingalpha
- Strong Earnings Report: BP's Q4 non-GAAP EPS of $0.60 aligns with expectations, while revenue of $47.38 billion, up 3.6% year-over-year, beats forecasts by $5.05 billion, indicating robust performance in a challenging market.
- Cash Flow and Expenditure: Operating cash flow for Q4 was $7.6 billion and $24.5 billion for the full year, providing a solid financial foundation for future investments despite a decline compared to 2024 figures.
- Capital Expenditure Plans: BP expects capital expenditures to range between $13-13.5 billion in 2026, primarily weighted towards the first half, reflecting a stable investment strategy in oil and gas despite a slight anticipated decrease in upstream production.
- Structural Cost Reductions: The target for structural cost reductions has been raised to $5.5-6.5 billion by the end of 2027, aiming to optimize resource allocation and enhance financial flexibility through the divestment of businesses like Castrol.
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Analyst Views on BP
Wall Street analysts forecast BP stock price to rise
11 Analyst Rating
5 Buy
5 Hold
1 Sell
Moderate Buy
Current: 37.190
Low
6.38
Averages
84.26
High
503.69
Current: 37.190
Low
6.38
Averages
84.26
High
503.69
About BP
BP p.l.c. is a United Kingdom-based integrated energy company. The Company's segments include Gas & low carbon energy, Oil production & operations, Customers & products, and Other businesses & corporate. Its gas business includes regions with upstream activities that produce natural gas, integrated gas and power, and gas trading. Its low carbon business includes solar, offshore and onshore wind, hydrogen and carbon capture and storage and power trading. Oil production & operations segment comprises regions with upstream activities that predominantly produce crude oil, including bpx energy. Customers & products segment comprises its customer-focused businesses, which include convenience and retail fuels, electric vehicle charging, as well as Castrol, aviation and business to business and midstream. It also includes its products businesses, refining and oil trading, as well as its bioenergy businesses. Other businesses & corporate segment comprises technology and bp ventures.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Revenue Source Insight: With approximately 75% of Compass's revenue denominated in dollars, this currency shift will align its financial reporting with market performance, thereby boosting investor confidence and potentially attracting more international investments.
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