The Discounted Cash Flow (DCF) valuation of BP PLC (BP.L) is 376.29 GBP. With the latest stock price at 383.70 GBP, the upside of BP PLC based on DCF is -1.9%.

Is BP.L a buy or a sell?

Based on the latest price of 383.70 GBP and our DCF valuation, BP PLC (BP.L) is a sell. Selling BP.L stocks now will result in a potential gain of 1.9%.

	Range	Selected
WACC / Discount Rate	6.8% - 8.4%	7.6%
Long-term Growth Rate	2.5% - 4.5%	3.5%
Fair Price	221.73 - 774.36	376.29
Upside	-42.2% - 101.8%	-1.9%

383.70 GBP

Stock Price

376.29 GBP

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

BP.L DCF Valuation: Revenue & Expenses Forecast

(USD in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	189,185	187,109	191,251	191,105	196,064	206,460
% Growth	10%	-1%	2%	0%	3%	5%

Cost of goods sold	(142,273)	(140,712)	(143,827)	(143,717)	(147,446)	(155,264)
% of Revenue	75%	75%	75%	75%	75%	75%

Selling, G&A expenses	(16,417)	(16,237)	(16,596)	(16,584)	(17,014)	(17,916)
% of Revenue	9%	9%	9%	9%	9%	9%

Research & Development	(974)	(963)	(985)	(984)	(1,009)	(1,063)
% of Revenue	1%	1%	1%	1%	1%	1%

Net interest & other expenses	(22,739)	(22,489)	(22,987)	(22,970)	(23,566)	(24,815)
% of Revenue	12%	12%	12%	12%	12%	12%

Tax expense	(5,869)	(1,274)	(1,303)	(1,302)	(1,335)	(1,406)
Tax rate	87%	19%	19%	19%	19%	19%

Net profit	913	5,433	5,553	5,549	5,693	5,995
% Margin	0%	3%	3%	3%	3%	3%