BP Valuation

BP PLC

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36.580

+0.76(2.122%)1D

BP Relative Valuation

BP's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BP is overvalued; if below, it's undervalued.

Historical Valuation

BP PLC (BP) is now in the Undervalued zone, suggesting that its current forward PS ratio of 36.58 is considered Undervalued compared with the five-year average of 7.52. The fair price of BP PLC (BP) is between +Inf to +Inf according to relative valuation methord. Compared to the current price of 36.58 USD , BP PLC is Undervalued By Fair.

Relative Value

Fair Zone

+Inf-+Inf

Current Price：36.58

Fair

Undervalued

0.00

Trailing

Forward

4.27

EV/EBITDA

BP PLC. (BP) has a current EV/EBITDA of 4.27. The 5-year average EV/EBITDA is 3.57. The thresholds are as follows: Strongly Undervalued below 2.27, Undervalued between 2.27 and 2.92, Fairly Valued between 4.22 and 2.92, Overvalued between 4.22 and 4.88, and Strongly Overvalued above 4.88. The current Forward EV/EBITDA of 4.27 falls within the Overvalued range.

8.13

EV/EBIT

BP PLC. (BP) has a current EV/EBIT of 8.13. The 5-year average EV/EBIT is 6.01. The thresholds are as follows: Strongly Undervalued below 1.95, Undervalued between 1.95 and 3.98, Fairly Valued between 8.04 and 3.98, Overvalued between 8.04 and 10.06, and Strongly Overvalued above 10.06. The current Forward EV/EBIT of 8.13 falls within the Overvalued range.

36.58

BP PLC. (BP) has a current PS of 36.58. The 5-year average PS is 0.62. The thresholds are as follows: Strongly Undervalued below -3.87, Undervalued between -3.87 and -1.62, Fairly Valued between 2.87 and -1.62, Overvalued between 2.87 and 5.11, and Strongly Overvalued above 5.11. The current Forward PS of 36.58 falls within the Strongly Overvalued range.

3.67

P/OCF

BP PLC. (BP) has a current P/OCF of 3.67. The 5-year average P/OCF is 3.28. The thresholds are as follows: Strongly Undervalued below 2.44, Undervalued between 2.44 and 2.86, Fairly Valued between 3.71 and 2.86, Overvalued between 3.71 and 4.13, and Strongly Overvalued above 4.13. The current Forward P/OCF of 3.67 falls within the Historic Trend Line -Fairly Valued range.

8.90

P/FCF

BP PLC. (BP) has a current P/FCF of 8.90. The 5-year average P/FCF is 6.60. The thresholds are as follows: Strongly Undervalued below 3.58, Undervalued between 3.58 and 5.09, Fairly Valued between 8.12 and 5.09, Overvalued between 8.12 and 9.63, and Strongly Overvalued above 9.63. The current Forward P/FCF of 8.90 falls within the Overvalued range.

BP PLC (BP) has a current Price-to-Book (P/B) ratio of 9.75. Compared to its 3-year average P/B ratio of 2.36 , the current P/B ratio is approximately 313.81% higher. Relative to its 5-year average P/B ratio of 1.92, the current P/B ratio is about 406.35% higher. BP PLC (BP) has a Forward Free Cash Flow (FCF) yield of approximately 11.51%. Compared to its 3-year average FCF yield of 18.37%, the current FCF yield is approximately -37.34% lower. Relative to its 5-year average FCF yield of 15.46% , the current FCF yield is about -25.54% lower.

9.75

P/B

Median3y

2.36

Median5y

1.92

11.51

FCF Yield

Median3y

18.37

Median5y

15.46

Competitors Valuation Multiple

The average P/S ratio for BP's competitors is 66.95, providing a benchmark for relative valuation. BP PLC Corp (BP) exhibits a P/S ratio of 36.58, which is -45.36% above the industry average. Given its robust revenue growth of 2.47%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Canadian Natural Resources Ltd

44.40

7.01%

66.02B

Performance Decomposition

Market capitalization of BP increased by 26.56% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 0.78 to 3.12.

The secondary factor is the Revenue Growth, contributed 2.47%to the performance.

Overall, the performance of BP in the past 1 year is driven by Margin Expansion. Which is more sustainable.

2.47%

47.25B → 48.42B

Revenue Growth

300.00%

0.78 → 3.12

Margin Expansion

-275.91%

-219.97 → 386.95

P/E Change

26.56%