BP stock: buy or sell
Updated on:
Jan 18th, 2021
2
BP stock brief
- BP stock dropped -4.75% to close at $24.26 on the stock market last Friday.
- JPMorgan Chase & Co. posted a bullish rating for BP last Friday
- From the chart point view, price is drawing a scaled uptrend since last October with higher tops and higher bottoms. This rally marked a 67.89% gain
- BP PLC engages in the energy business worldwide. It operates through three segments: Upstream, Downstream, and Rosneft.
Should I buy BP stock?
Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $BP stock a buy?
Currently, BP stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean we expect a selloff for $BP in the next few days, or that it may not climb higher. Simply, it doesn't match our recommended trading systems
Should I sell BP stock?
Knowing when to sell a stock is even harder than knowing when to buy it. Trading strategies give us the ability us to avoid impetuous decisions based on our personal feelings or the buzz that surrounds the market. We like very simple strategies to guide us on when is the best time to sell our shares. Be aware that these strategies are not intended for shorting BP stock
As a golden rule, you should not hold an open trade that leads to losses greater than those expected at the time of purchase. The timing to sell your stock always has to be ruled by the stop-loss (automatic or manual)
Is it time to sell BP stock?
Currently, BP stock doesn't match any of our preferred sell setups, so if you hold BP stock and your operation is in profit probably is not time to sell now
BP ratings
In the last 30 days, 4 brokerage ratings were published for BP. General sentiment is bullish, with 3 out of 4 publishing positive outlooks
| Brokerage firm | Rating |
|---|---|
| Jan 8th, 2021 | |
| Piper Sandler | Buy |
| Jan 12th, 2021 | |
| Mizuho | Neutral |
| Jan 13th, 2021 | |
| Credit Suisse Group | Buy |
| Jan 15th, 2021 | |
| JPMorgan Chase & Co. | Buy |
BP stock analysis
Since last October, BP has been printing an uptrend that so far marked a gorgeous 67.89%. Rising highs and lows can be seen easily on a chart and how price action provided very few entry points on the breakouts. Latest low was in mid-December, when price bounced at $20.19. Currently, the price trades in a consolidation between its last top ($25.55) and its last bottom ($20.19)
SMAs overview
Supports and resistances
The current resistance levels are:
The current support levels are:
Bollinger bands
Since the price surpassed the upper band last Thursday, the price has corrected downwards by 5.05%
Relative strength index
After breaking above the overbought zone yesterday, sliced back below with a reading of 62.55. This is a weak signal for the BP shares and it must get us on alert of weakness in the price action
BP stock price history
BP went public priced at an adjusted price1 of $1.00 on Jan 1977. Since then, BP stock has risen by 2,326.00%, with an average of 52.86% per year. An investment of thousand dollars at that time would be valued $24,260.00 nowadays.
1: Adjusted price after possible price splits or reverse-splits
Price target for BP stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations issue their analysis predicting how a particular stock will performance in the future.
The following table shows the price target posted by analysts in the last month. Again, these predictions are not direct recommendations for individual investors and should not be trusted blindly.
The average price target for BP stock calculated from the table below is $27.50. BP closed at $24.26 last Friday, so the target price is predicting a growth by 13.36%.
| Brokerage firm | Price target |
|---|---|
| Jan 8th, 2021 | |
| Piper Sandler | $31.00 → $28.00 |
| Jan 12th, 2021 | |
| Mizuho | $27.00 |
| Jan 13th, 2021 | |
| Credit Suisse Group | Not available |
| Jan 15th, 2021 | |
| JPMorgan Chase & Co. | Not available |
Earnings and financials
Last October, BP p.l.c. ($BP) posted adjusted EPS for that significantly enhanced analysts' expectations. Quarterly EPS was $0.03 per share from an estimated $-0.03. This Q3 report means an earnings surprise of 200.00%. Estimated turnover for Q3 was $49.2 billion but BP slightly undercut by 10.04%, reporting $44.3 billion.
Compared to the same quarter one year ago, EPS was $0.66, so current EPS is a reduction of -95.45%. Turnover tanked a -35.08% on an annualized basis in the , from $679.5B to $441.1B last quarter.BP ($BP) will host the Q4 earnings call next Tuesday.
BP performance
| Company | 1m | 3m | 6m |
|---|---|---|---|
| BP ($BP) | 10.90% | 53.00% | 7.90% |
Disclaimer:
The opinions written in this post are personal and not recommendations for you to buy or sell stocks. The author of this report does not have any knowledge of the individual scenarios of the reader, his or her financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are published for general educational motives onlyBP summary
| Friday, January 15th, 2021 | |
|---|---|
| Open | $24.8 |
| Close | $24.26 |
| Day range | $24.14 - $24.89 |
| Previous close | $25.47 |
| Session gain | -4.75% |
| Average true range | $1.05 |
| 50d mov avg | $20.99 |
| 100d mov avg | $19.33 |
| 200d mov avg | $21.04 |
| Earnings date | February 2nd, 2021 |