BP Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
BP is not a strong buy for a beginner, long-term investor at this time. The stock is facing significant headwinds, including negative sentiment from analysts, a suspension of share buybacks, and hedge fund selling. While the company has shown some financial improvement, the lack of near-term catalysts and the current technical indicators suggest waiting for a better entry point.
The MACD is negatively expanding, indicating bearish momentum. RSI is neutral at 43.183, showing no clear signal. Moving averages are bullish (SMA_5 > SMA_20 > SMA_200), but the stock is trading below key support levels (S1: 36.693). Overall, the technical indicators are mixed, with a slight bearish tilt.
BP is focusing on debt reduction and asset optimization, including selling a 65% stake in Castrol. The company declared a quarterly dividend, which may appeal to income-focused investors.
The suspension of share buybacks has led to a sharp decline in stock price. Analysts have downgraded the stock, citing limited near-term catalysts and undifferentiated medium-term growth. Hedge funds are selling heavily, with a 2244.27% increase in selling activity last quarter. The company's earnings report showed a revenue miss and negative net income.
In Q4 2025, revenue increased by 3.56% YoY, and gross margin improved by 27.84%. However, net income remains negative at -$3.42 billion, despite a 74.68% YoY improvement. EPS also remains negative at -0.22, though it improved by 83.33% YoY.
Analysts have recently downgraded BP, with price targets ranging from $31 to $44. The consensus sentiment is neutral to bearish, with concerns about limited near-term catalysts, the suspension of share buybacks, and the company's strategic direction.
