BP PLC Valuation

BP Stock  USD 37.68  0.22  0.59%   
At this time, the firm appears to be undervalued. BP PLC ADR owns a latest Real Value of $40.92 per share. The recent price of the firm is $37.68. Our model approximates the value of BP PLC ADR from evaluating the firm fundamentals such as Return On Asset of 0.0582, shares outstanding of 2.81 B, and Shares Owned By Institutions of 11.72 % as well as inspecting its technical indicators and probability of bankruptcy. In general, most investors favor buying undervalued equities and selling overvalued equities since, sooner or later, asset prices and their ongoing real values will grow together.
Price Book
1.5007
Enterprise Value
139.6 B
Enterprise Value Ebitda
3.2054
Price Sales
0.5121
Forward PE
7.6161
Undervalued
Today
37.68
Please note that BP PLC's price fluctuation is very steady at this time. Calculation of the real value of BP PLC ADR is based on 3 months time horizon. Increasing BP PLC's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for BP PLC ADR is useful when determining the fair value of the BP PLC stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of BP PLC. Since BP PLC is currently traded on the exchange, buyers and sellers on that exchange determine the market value of BP PLC Stock. However, BP PLC's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  37.68 Real  40.92 Target  45.09 Hype  37.65 Naive  37.28
The real value of BP PLC Stock, also known as its intrinsic value, is the underlying worth of BP PLC ADR Company, which is reflected in its stock price. It is based on BP PLC's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of BP PLC's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence BP PLC's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
40.92
Real Value
42.14
Upside
Estimating the potential upside or downside of BP PLC ADR helps investors to forecast how BP PLC stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of BP PLC more accurately as focusing exclusively on BP PLC's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.881.111.29
Details
Hype
Prediction
LowEstimatedHigh
36.4337.6538.87
Details
Potential
Annual Dividend
LowForecastedHigh
1.131.171.21
Details
16 Analysts
Consensus
LowTarget PriceHigh
41.0345.0950.05
Details

BP PLC Investments

(16.36 Billion)

BP PLC Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining BP PLC's current stock value. Our valuation model uses many indicators to compare BP PLC value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across BP PLC competition to find correlations between indicators driving BP PLC's intrinsic value. More Info.
BP PLC ADR is number one stock in price to book category among related companies. It is number one stock in price to sales category among related companies fabricating about  0.34  of Price To Sales per Price To Book. The ratio of Price To Book to Price To Sales for BP PLC ADR is roughly  2.93 . As of 03/29/2024, Price To Sales Ratio is likely to drop to 0.46. Comparative valuation analysis is a catch-all model that can be used if you cannot value BP PLC by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for BP PLC's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the BP PLC's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates BP PLC's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in BP PLC and how it compares across the competition.

About BP PLC Valuation

The stock valuation mechanism determines the current worth of BP PLC ADR on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of BP PLC ADR. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of BP PLC ADR based exclusively on its fundamental and basic technical indicators. By analyzing BP PLC's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of BP PLC's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of BP PLC. We calculate exposure to BP PLC's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to BP PLC's related companies.
Last ReportedProjected for 2024
Gross Profit46.6 B26.3 B
Pretax Profit Margin 0.11  0.06 
Operating Profit Margin 0.14  0.08 
Net Profit Margin 0.07  0.04 
Gross Profit Margin 0.22  0.14 

8 Steps to conduct BP PLC's Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates BP PLC's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct BP PLC's valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain BP PLC's financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine BP PLC's revenue streams: Identify BP PLC's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research BP PLC's industry and market trends, including the size of the market, growth rate, and competition.
  • Establish BP PLC's growth potential: Evaluate BP PLC's management, business model, and growth potential.
  • Determine BP PLC's financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate BP PLC's estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.
BP PLC's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether BP PLC's value is low or high relative to the company's performance and growth projections. Determining the market value of BP PLC can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of BP PLC represents a small ownership stake in the entity. As a stockholder of BP PLC, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

BP PLC Dividends Analysis For Valuation

As of 03/29/2024, Dividends Paid is likely to grow to about (4.6 B). In addition to that, Dividend Yield is likely to drop to 0.03. As of 03/29/2024, Retained Earnings is likely to drop to about 48.7 B. In addition to that, Price Earnings Ratio is likely to drop to 6.39
Last ReportedProjected for 2024
Dividends Paid-4.8 B-4.6 B
Dividend Yield 0.05  0.03 
Dividend Payout Ratio 0.32  0.30 
Dividend Paid And Capex Coverage Ratio(3.38)(3.55)
There are various types of dividends BP PLC can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of BP PLC shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from BP PLC ADR directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When BP PLC pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of BP PLC by the value of the dividends paid out.

BP PLC Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as BP PLC does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares OutstandingB
Quarterly Earnings Growth Y O Y-0.963
Forward Price Earnings7.6161

BP PLC Current Valuation Indicators

Valuation refers to the process of determining the present value of BP PLC ADR and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value BP PLC we look at many different elements of the entity such as BP PLC's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. BP PLC's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final BP PLC's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as BP PLC, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use BP PLC's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes BP PLC's worth.
When determining whether BP PLC ADR is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if BP PLC Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Bp Plc Adr Stock. Highlighted below are key reports to facilitate an investment decision about Bp Plc Adr Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in BP PLC ADR. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in american community survey.
You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..

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When running BP PLC's price analysis, check to measure BP PLC's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy BP PLC is operating at the current time. Most of BP PLC's value examination focuses on studying past and present price action to predict the probability of BP PLC's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move BP PLC's price. Additionally, you may evaluate how the addition of BP PLC to your portfolios can decrease your overall portfolio volatility.
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Is BP PLC's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of BP PLC. If investors know BP PLC will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about BP PLC listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.96)
Dividend Share
0.284
Earnings Share
5.15
Revenue Per Share
18.003
Quarterly Revenue Growth
(0.25)
The market value of BP PLC ADR is measured differently than its book value, which is the value of BP PLC that is recorded on the company's balance sheet. Investors also form their own opinion of BP PLC's value that differs from its market value or its book value, called intrinsic value, which is BP PLC's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because BP PLC's market value can be influenced by many factors that don't directly affect BP PLC's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between BP PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if BP PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, BP PLC's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.