BP's (BP) push to strengthen its balance sheet is set to pick up speed in H2, helped by firmer refining margins and ongoing asset sales, RBC Capital Markets said Tuesday in a report.
Although BP has become more selective about divestments, stronger-than-expected cash generation is more than offsetting the slower pace of sales, the report said.
RBC expects BP to outline a clearer medium-term growth plan in early 2027 and said improving market conditions should leave the company's balance sheet closer to peers within the next 12 months. BP is expected to resume share buybacks by Q2 2027, the report said.
RBC maintained its outperform rating on BP's stock with a price target of 700 pence ($9.42).
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