America’s energy majors have placed their bets. The deals they have sealed show they believe demand for oil will be healthy far into the future. Shell’s boss has signalled a tilt back towards hydrocarbons. BP is in limbo.
Without a permanent boss, uncertainty hangs over whether the FTSE 100 group will stick with the pivot towards renewables started by Bernard Looney, the chief executive who abruptly resigned in September, or row back in the hope of reviving an underperforming share price.
An enterprise value of just 3.4 times forecast earnings before interest, taxes and other deductions puts BP at a discount to big US peers as well as European counterparts TotalEnergies and Shell.
Missing third-quarter profit expectations has added more pressure. Underlying replacement cost profit
