BP Share Price Falls on JP Morgan Downgrade
It was a slightly disappointing start to the week for British Petroleum (BP) shares. After opening at 436.95p they quickly rose and before midday hat reached as high as 442.55p. However, the afternoon saw a sharp drop in price and in the end the shares closed at 439.60p up just 0.75% for the day. Nonetheless the shares are up 2.14% for the week and 2.67% for the month so the overall trend is positive.
The drop in price came as JPMorgan Cazenove downgraded its rating for BP from ‘Overweight’ to ‘Neutral’ and cut its target price from 575p to 500p. The bank said it sees a “grim” outlook for the oil producing sector and said that stocks usually perform the worst in the fourth quarter.
However, Credit Suisse reiterated its ‘Neutral’ assessment last week with a target price of 470p and Liberum Capital retained its ‘Hold’ rating with a target price of 485p.