BP (NYSE:BP) Announces Quarterly Earnings Results, Beats Estimates By $0.03 EPS

BP (NYSE:BP) released its quarterly earnings results on Tuesday. The oil and gas exploration company reported $0.60 EPS for the quarter, beating analysts’ consensus estimates of $0.57 by $0.03, Briefing.com reports. The firm had revenue of $47.38 billion for the quarter, compared to analyst estimates of $42.19 billion. BP had a return on equity of 9.54% and a net margin of 0.03%.The business’s revenue was up 3.6% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.44 EPS.

Here are the key takeaways from BP’s conference call:

• Strong cash generation and cost discipline — adjusted free cash flow was about $13 billion (≈55% price‑adjusted growth) in 2025 and BP has delivered $2.8 billion of structural cost reductions to date, with the target raised to $5.5–$6.5 billion by 2027.
• Upstream delivery and reserves rebuild — seven major projects were started (adding ~150k boe/d toward a 250k boe/d peak), 2026 production is guided at ~2.3 million boe/d excluding divestments, and organic reserve replacement rose to 90%.
• Capital allocation shifted toward balance‑sheet strength — the board suspended buybacks, kept the progressive dividend (4%+ p.a.), and is prioritizing reduction of net debt (currently $22.2 billion) to a $14–$18 billion range by end‑2027, supported by a $20 billion divestment program (~$11 billion completed, Castrol sale expected to underpin ~$6 billion).
• Impairments and slower pace in transition businesses — BP recognized around $4 billion of impairments (mainly in biogas, renewables and related transition assets) as it “high‑grades” the portfolio and curbs growth where returns are weaker.
• Safety incidents amid mixed progress — four fatalities in U.S. retail in 2025 led to permanent changes (ending roadside assistance next to active lanes), even as combined Tier‑1/2 process safety events fell by about a third year‑on‑year.

BP Price Performance

Shares of NYSE:BP opened at $38.11 on Thursday. BP has a fifty-two week low of $25.22 and a fifty-two week high of $39.51. The company’s 50-day moving average is $35.80 and its 200 day moving average is $35.07. The company has a debt-to-equity ratio of 0.70, a quick ratio of 0.89 and a current ratio of 1.19. The company has a market capitalization of $99.35 billion, a P/E ratio of -3,807.19, a price-to-earnings-growth ratio of 2.06 and a beta of 0.33.

BP Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 27th. Stockholders of record on Friday, February 20th will be paid a dividend of $0.4992 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 5.2%. The ex-dividend date is Friday, February 20th. BP’s payout ratio is presently -19,700.00%.

Analyst Ratings Changes

A number of research analysts recently issued reports on BP shares. Santander upgraded shares of BP to an “outperform” rating in a research report on Monday, November 3rd. Jefferies Financial Group reiterated a “hold” rating on shares of BP in a report on Thursday, January 8th. Scotiabank set a $41.00 price objective on BP in a report on Friday, January 16th. Evercore set a $38.00 price target on shares of BP and gave the company an “in-line” rating in a research report on Tuesday, January 6th. Finally, Raymond James Financial dropped their price objective on shares of BP from $40.00 to $38.00 and set an “outperform” rating on the stock in a research note on Friday, October 17th. Two analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating, ten have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, BP presently has an average rating of “Hold” and a consensus target price of $37.50.

Hedge Funds Weigh In On BP

Institutional investors and hedge funds have recently bought and sold shares of the company. Captrust Financial Advisors grew its stake in shares of BP by 5.8% during the 3rd quarter. Captrust Financial Advisors now owns 146,824 shares of the oil and gas exploration company’s stock worth $5,060,000 after acquiring an additional 8,016 shares during the period. Vestor Capital LLC grew its position in shares of BP by 3,119.8% during the 4th quarter. Vestor Capital LLC now owns 66,553 shares of the oil and gas exploration company’s stock valued at $2,311,000 after purchasing an additional 64,486 shares in the last quarter. Rhumbline Advisers boosted its stake in BP by 4.2% during the second quarter. Rhumbline Advisers now owns 39,146 shares of the oil and gas exploration company’s stock valued at $1,172,000 after buying an additional 1,588 shares during the period. Geode Capital Management LLC bought a new position in BP in the 4th quarter worth about $891,000. Finally, Fiduciary Trust Co raised its holdings in shares of BP by 10.1% in the 3rd quarter. Fiduciary Trust Co now owns 16,171 shares of the oil and gas exploration company’s stock valued at $557,000 after acquiring an additional 1,489 shares in the last quarter. 11.01% of the stock is owned by institutional investors.

Key Headlines Impacting BP

Here are the key news stories impacting BP this week:

• Positive Sentiment: BP declared a quarterly dividend of $0.4992 per share (5.2% yield) with an ex-dividend date of Feb. 20, supporting income-focused holders. Dividend Announcement
• Positive Sentiment: Q4 results showed an EPS beat ($0.60 vs. $0.57 est.) and management highlighted strong cash generation and a lower net debt position, which some investors see as a foundation for recovery. Q4 Results
• Positive Sentiment: BP is modestly expanding its U.S. EV charging footprint with seven new sites, reflecting execution in transition businesses that could support longer-term, lower-carbon growth. EV Charging Expansion
• Positive Sentiment: Short interest fell sharply in January (down ~34% vs. mid-January), reducing one potential source of selling pressure and lowering days-to-cover.
• Neutral Sentiment: BP confirmed it is seeking an OFAC licence to operate a Venezuela/Trinidad gas field — a possible long-term growth opportunity if approved, but with regulatory and timing uncertainty. OFAC Licence
• Neutral Sentiment: Earnings-call materials and analyst commentary highlight disciplined capital allocation and a strategic pivot, but valuation and sector dynamics leave upside uneven. Earnings Call Highlights
• Negative Sentiment: BP suspended its share-buyback program to prioritize debt reduction after profit weakness — a direct negative for buyback-dependent shareholder returns and a key driver of the stock’s decline. Buyback Suspension
• Negative Sentiment: The company reported a steep drop in annual net profit (reported as ~86% decline in some coverage), attributed to lower oil prices and seasonal impacts — raising near-term earnings uncertainty. Profit Drop
• Negative Sentiment: Analyst responses are mixed-to-negative: a notable downgrade to “sell” (Melius) and broker target trims (UBS/RBC commentary) increase downward pressure and signal longer re-rating risk. Analyst Reactions
• Negative Sentiment: Ongoing negotiations with the United Steelworkers and strike preparations introduce operational and refinery downtime risk that could affect near-term production and margins. Labor Negotiations

About BP

BP plc is a British multinational integrated energy company headquartered in London. Originating in the early 20th century as the Anglo-Persian Oil Company, BP has grown into one of the world’s largest oil and gas companies, operating across exploration and production, refining and marketing, trading, and a range of low-carbon businesses.

The company’s core activities include upstream exploration and production of crude oil and natural gas, midstream and trading operations, and downstream refining, marketing and supply of fuels, lubricants and petrochemicals.