BP: An unavoidable change

The oil price has risen significantly in the past few weeks. Since the end of October it has risen by around 25 percent. The hope for a vaccine is causing the price surge. A higher demand for oil is expected. This means that prices around 40 dollars per barrel should initially be history.

At BP, the latest figures were convincing. The costs could be reduced, the investments were more cautious. The dividend yield could be further boosted by possible share buybacks.

The DZ Bank analysts stick to their buy recommendation for the shares of BP. The price target for the paper increases from 2.80 GBP to 3.50 GBP.

For 2020, the experts expect a loss per BP share of 0.15 dollars (old: -0.16 dollars). The forecast for 2021 has been raised from +0.28 dollars to +0.33 dollars.

At BP there should be a green corporate restructuring. This includes both risks and opportunities. In the medium term, it seems unavoidable. To the analysts, the risks appear to be factored into the price.


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