Stock has just entered oversold territory and time to accumulate for ECB positive announcement next week.
The drop in stock price will enable more shares to be repurchased. Great news for no term shareholders. Co. has not changed a bit, it is still growing and regain market share.
BX and shareholders will mke billions with the billions raised to acquire distress energy co. It's a top quality management and know when to jump in.
Hugh bull run for gold again
ECB will give it a big push.
European dollars will flow to US to pick up BX and financials co. for yields and accelerated growth. The move will be drastic/ The market and traders are setting up for the ECB annoucement later this month.
BP has 25billion planned capex and 5 billions in plan for stock buyback. They can easily slow down the capex expenditure. This is why integrated oil is the best bet for oil rebound. The oil jump of 5 bucks is just a prelude to 10 dollar jump to wipe out the short. The cost of production is 12 per barrel based on their presentation. Earning will be lower, but so does the costs. The 10,000 lay off will save 1 billion annually. The refinery business is learning a lot more with low oil price. All in oil, time is right to buy BP, I do not know the bottom but the oil future has already indicate 65 bucks oil in few months. Traders are buying oil now at 55, not delivering and selling future at 64 - 68. BP can make lots of money in arbitraging oil.
Yes. I do not really see SU value. P/E 15 is just too rich for me for a high beta stock. The estimated earning will drop 25% based on Yahoo. Yet, it has not dropped much to reflect that yet. We;ll wait and see.
It is a high growth stock. PEG of 0.64. Amazing growth with such low P/E. If PEG is 1, this worh 22, if PEG is 2, it worth 29. So, it still has lots of run way to be nimble and grow in an eco. recovery cycle. It can lift off very easily. It can be a hold till the next recession cycle comes which wwill be at least few years away.
Sentiment: Strong Buy
BP bought back 5 billions dollar stock in 2013. It has lots of room before. At this point, it can buy more or just stop the buyback. As it has announced layoff of 10,000 ppl, i think that it is very comfortable with its cash flow. I believe that the capex for this yeear is 25 billions, just have to slow it down a bit to free up cash for acquisition or be acquired.
BP has 40 billions reserved and paid into trust account already and booked. Su is about to face any oil spill from railcar or pipeline. If the keystone is approved on condition that oil co. will have to declare bankruptcy, I do not think SU will support and can guarantee 0 oil spill. CNQ dropped heavily. The oil sand co. will lose money before any integrated oil such as BP, XPM, CVX since the oil sand oil has a lot higher processing costs. In relative term, BP is saver since it has just got out from the fitness class and trimmed a lot of fat. BP earns money in oil trading as well and arbitrary on oil price globally. SU just does not have the know how. .