BP PLC (BP): Today's Featured Energy Winner

BP ( BP) pushed the Energy industry higher today making it today's featured energy winner. The industry as a whole closed the day up 0.9%. By the end of trading, BP rose 65 cents (1.6%) to $40.30 on light volume. Throughout the day, 4.1 million shares of BP exchanged hands as compared to its average daily volume of 6.4 million shares. The stock ranged in a price between $39.92-$40.48 after having opened the day at $40.05 as compared to the previous trading day's close of $39.65. Other companies within the Energy industry that increased today were: GeoGlobal Resources ( GGR), up 22.2%, Cubic Energy ( QBC), up 14%, Enerplus ( ERF), up 6.9%, and KiOR ( KIOR), up 6.6%.

BP p.l.c. provides fuel for transportation, energy for heat and light, lubricants to engines, and petrochemicals products. BP has a market cap of $125.75 billion and is part of the basic materials sector. The company has a P/E ratio of 4.9, below the average energy industry P/E ratio of 5.2 and below the S&P 500 P/E ratio of 17.7. Shares are down 7.2% year to date as of the close of trading on Tuesday. Currently there are 10 analysts that rate BP a buy, no analysts rate it a sell, and four rate it a hold.

TheStreet Ratings rates BP as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, poor profit margins and generally poor debt management.

On the negative front, Houston American Energy Corporation ( HUSA), down 8%, New Concept Energy ( GBR), down 7.3%, Recovery Energy ( RECV), down 6.8%, and GeoPetro Resources Company ( GPR), down 6.8%, were all losers within the energy industry with Range Resources Corporation ( RRC) being today's energy industry loser.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG).
null

If you liked this article you might like

IPOs That Should Be on Your Radar

Time to Play Equifax?

Energy M&A Weekly: More Midstream IPOs Expected in 2017

Time to Play Equifax?

Here's Where Wall Street Stands