BP reinstated with Buy rating at BofA/Merrill

BP (BP +1.1%) is reinstated at BofA/Merrill with a Buy rating and an implied $52 price target, as one of the top picks in the firm's global supermajor oil peer group.

The firm believes BP offers a combination of best in class shareholder returns, free cash flow coverage and near-term visibility on operating cash flow recovery, yet the shares trade in-line with Shell.

Another positive factor cited is that BP’s expected gearing should offer further cushions in the event of falling commodity prices, or for enhanced shareholder returns; BP’s Gulf of Mexico spill also is believed to be cushioned.

From other sites
Comments (6)
  • deercreekvols
    , contributor
    Comments (9749) | Send Message
    I am with you, BAHAMAS1, and (BP).


    There have been a few of us that continued to beat the drum for BP when all the negative "news" was out there.


    Long BP and adding more today.
    27 Mar 2014, 12:02 PM Reply Like
  • Ludo5312
    , contributor
    Comments (208) | Send Message
    $52 is still pretty low, looking at the fundamentals of BP. It is also barely the 'consensus' price. Nevertheless, conservatively calculated in combination with the dividend that still represents a 15%/year appreciation.
    27 Mar 2014, 12:17 PM Reply Like
  • rainmn60016
    , contributor
    Comments (152) | Send Message
    how about the lake Michigan oil spill?
    27 Mar 2014, 12:54 PM Reply Like
  • Maobama
    , contributor
    Comments (520) | Send Message
    rainmn60016: Coast Guard: BP estimates Indiana refinery released 9 to 18 barrels of oil into Lake Michigan.


    Don't think 9-18 barrels even warrants discussion.
    27 Mar 2014, 01:25 PM Reply Like
  • deercreekvols
    , contributor
    Comments (9749) | Send Message
    Latest update on Lake Michigan




    Where is the outrage over the Port of Houston being closed due to a spill that was not BPs fault?
    27 Mar 2014, 03:04 PM Reply Like
    , contributor
    Comments (5167) | Send Message
    Agree, but lets take it where we can get it (and buy more while it's still cheap )!
    Further upgrades will come.


    I guess the current politicians have BP as the ONLY designated free bank.
    This too shall pass.
    27 Mar 2014, 06:34 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs