bp: Berenberg cuts target price

(CercleFinance.com) - While maintaining its 'hold' recommendation on bp shares, Berenberg cuts its target price for them to 440 pence, after reducing its 2024/25 EPS estimates by 6%/10% after a weak Q3 for the British energy group.


According to the broker, bp has made acquisitions and investments in low-carbon businesses that do not appear to have generated attractive earnings and returns so far, with its 2025 EBITDA targets seeming 'out of reach'.

The strategy reset in February could lead to increased investor interest and better relative performance, thanks to a message of increased yield discipline and debt reduction, it says, however.


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