Shares of BP p.l.c. (BP) were moving higher in Monday's premarket, bucking a weaker trend in the broader market, as the energy giant announced a new offshore exploration play. The company said it has agreed to acquire a 60% stake in three exploration blocks—PEL 97, PEL 99, and PEL 100—in Namibia's Walvis Basin. The deal, which is subject to regulatory approvals, involves buying the stake from Eco Atlantic Oil & Gas. BP will become the operator of the assets, while Eco Atlantic and Namibia's national oil company, NAMCOR, will retain minority interests.
"Namibia is a region attracting growing industry interest…," said Gordon Birrell, BP's executive vice president of production & operations, in a statement highlighting the long-term growth potential. This move isn't happening in a vacuum. It builds on BP's recent exploration momentum, which includes multiple discoveries through Azule Energy, its joint venture with ENI S.p.A. (E).
BP Technical Levels: Where's the Stock Headed?
So, where does the stock stand after this news? At $47.09 in premarket action, BP is trading 3.1% above its 20-day simple moving average (SMA). That's a sign buyers are still defending the recent uptrend. More impressively, it's sitting 22.1% above its 100-day SMA, which suggests the intermediate-term trend is still pointed higher.
The moving average structure still looks constructive, with the 20-day SMA above the 50-day SMA. A "golden cross" that formed back in July reinforced a longer-term trend shift, which was a welcome change after a "death cross" in April.
The near-term momentum picture, however, is a bit less clear. The Moving Average Convergence Divergence (MACD), a popular momentum indicator, shows the MACD line at 1.5685 below the signal line at 1.7982. This indicates that while the price is holding near highs, the upside momentum has cooled off a bit.
- Key Resistance: $48.50 — a level where recent rallies have stalled.
- Key Support: $45.50 — near the 20-day SMA zone, an area where dip-buyers have historically shown up.
What to Expect from BP's Upcoming Earnings
With last quarter's results in the rearview, investors are now looking ahead to the next report. BP is scheduled to report its first-quarter 2026 earnings on April 28.
- EPS Estimate: 76 cents (Up from 53 cents year-over-year)
- Revenue Estimate: $51.58 Billion (Up from $46.91 Billion year-over-year)
- Valuation: P/E of 2276.5x (This indicates a premium valuation relative to peers)
Analyst Consensus & Recent Actions: The stock carries a consensus Buy Rating with an average price target of $41.59. Recent analyst moves include:
- Wells Fargo: Equal-Weight (Raises Target to $54.00) (April 9)
- HSBC: Upgraded to Hold (Raises Target to $45.30) (March 20)
- Piper Sandler: Neutral (Raises Target to $47.00) (March 12)
ETF Exposure: Who Else Owns BP?
Because BP is a major component of certain funds, flows into or out of these ETFs can create automatic buying or selling pressure on the stock. Here are some of the top ETFs with significant BP weightings:
BP Stock Price Activity: According to market data, BP shares were up 1.40% at $47.09 during premarket trading on Monday.
