BP (NYSE:BP) UP 1.20% AT 300.15
BP’s profit more than tripled to $2.6 billion in the first quarter thanks to stronger oil prices and bumper revenue from natural gas trading, paving the way for the energy company to start buying back its shares.
The jump in profits from a year earlier comes as BP (NYSE:BP) says it expects oil demand to recover in 2021 due to strong growth in the United States and China as COVID-19 vaccination programmes accelerate.
In a sign of growing confidence in the economic recovery and its operations following a year of cutting costs, headcount and its dividend, BP said it will buy back $500 million of shares in the second quarter to offset dilution from an employee share distribution programme.
Helping it deliver on its earlier promise to buy back shares, net debt fell below the company’s $35 billion target sooner than expected, dropping $5.6 billion from the end of December to $33.3 billion at the end of March, chiefly due to around $4.8 billion worth of disposals and higher oil prices.
On technical fronts BP (NYSE:BP) RSI stood at 54.5 and currently stock is trading Above All Moving Averages. So, BUY position can be taken with following target and stoploss.
TRADE SIGNAL -: BP (NYSE:BP) – BUY: 300.91, TARGET: 304.78, STOP LOSS: 298.04