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BP Secures Dual Upgrades After Q1 Beat Fueled by Trading and Refining Gains

Upgrades suggest the quarter’s momentum could narrow BP’s valuation gap.

Overview

  • BP won two upgrades Monday after its first-quarter report, with Argus moving to Buy at $50 and RBC to Outperform at 700 GBp.
  • Adjusted net income reached $3.198 billion, or $1.24 per share, beating the $0.91 consensus by a wide margin.
  • Results were driven by higher oil and gas output, wider refining margins, and strong performance from BP’s oil trading unit.
  • Management kept 2026 production flat versus 2025 and set capital spending at $13.0–$13.5 billion, while maintaining a 35-year dividend streak with a yield near 4.56%.
  • Analysts highlighted a debt-reduction push under CEO Meg O’Neill, including a $20 billion divestment plan and plans to retire $4.3 billion in hybrid bonds.