What changed
$BP — BUY 📊 | 6 MONTHS THESIS
🎯 latest | Rev $39.6B | EPS $1.24 vs $0.93 🟢
💡 Consensus modeled flattish upstream earnings amid volatile oil prices, missing the extent of BP's operating leverage and cost discipline. The beat is not a one-off – it reveals a new run-rate of profitability that the current ~7.9x P/E (annualized) fails to capture.
📉 Reward/risk: 2.9:1
🏢 Business Quality: 7/10 - Integrated major with diverse geographic and downstream exposure; strong cash flows and resilient dividend, but higher renewable capex vs peers adds transition risk and slightly lower ROCE.
📊 Valuation: cheap - P/E 7.9x vs 5-year historical ~10x and peers at 10-12x; EV/EBITDA ~3.5x vs historical 4-5x; FCF yield ~12% supports aggressive buyback.
📊 Our read: BUY. Full analysis →
https://stockduty.xyz/s/BP0619