Image source: Getty Images BP (LSE: BP) shares have dropped 29% since their 18 October 2023 12-month high of £5.62. This leaves them looking very undervalued on several key stock valuation measures. Factoring in forecasts of a strongly rising yield from an already high base and the stock looks even more compelling to me. Share undervaluation On the key price-to-earnings ratio of relative stock valuation, BP currently trades at 11.5. This is joint bottom (along with Shell) of its competitor group, which has an average P/E of 14.2. On the price-to-book measure, it is second from bottom (ahead of Shell) at…
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By Howard Schneider WILMINGTON, North Carolina (Reuters) – The U.S. central bank’s fight to return inflation to its 2% target may take longer than expected to complete and limit how far interest rates can be cut, Richmond Federal Reserve President Thomas Barkin said on Wednesday. In an interview with Reuters, Barkin said he supported the half-percentage-point rate cut the Fed approved last month and agreed the benchmark rate could fall perhaps by another half a percentage point by the end of this year to take account of how far inflation has declined. But he said he was concerned inflation could…
Image source: Getty Images The JD Sports Fashion (LSE: JD.) share price tumbled 4.3% in early trading on Wednesday (2 October), on the back of a first-half results update. That’s despite the update speaking of “record interim results.” And it reflects a confusing divergence between headline and statutory measures. We’re looking at an overall flat, though short-term, volatile, share price over the past five years. So what can we make of it? Healthy headlines JD reported a 2% rise in profit before tax, but that’s before adjusting items. Adjusted earnings per share (EPS) show a 4.5% rise to 5.15p. And…
By Stephanie Kelly (Reuters) – U.S. President Joe Biden and Vice President Kamala Harris will travel on Wednesday to North Carolina, South Carolina and Georgia to assess the devastation wrought by Hurricane Helene in the southeastern U.S. which has killed at least 140 people. While Biden visits North and South Carolina, Harris will travel Wednesday to Georgia and to North Carolina in the coming days. The trips come as former president Donald Trump, who is running against Harris in this year’s presidential election, falsely claimed that Biden, a Democrat, has been unresponsive to the hurricane’s destruction. Biden will participate in…
When you think of millionaires, careers like tech entrepreneurs or Wall Street brokers probably come to mind. But, according to financial expert Dave Ramsey, that might not be true for most millionaires. In a recent study by his team, Ramsey revealed the top five careers of millionaires and they’re not exactly what you’d expect.Spoiler alert: these careers are not necessarily bringing in sky-high paychecks, but they seem to share something in common. Let’s take a look at the surprising list.Don’t Miss:The Top five Careers Most Likely to Produce Millionaires1. EngineerMedian Salary: $91,0102. Accountant (CPA)Median Salary: $77,2503. TeacherMedian Salary: $61,0304. ManagementMedian…
Mario Tama | Getty Images News | Getty ImagesPresident Joe Biden and his administration are sticking to their position of not invoking the Taft-Hartley Act to force International Longshoremen’s Association dock workers back on the job at East and Gulf coast ports where a strike is hitting day two on Wednesday, a political decision that reflects the power of unions one month out from an election but risks losing some progress on what is the No. 1 issue for many voters: the economy.Rhetoric from Cabinet secretaries, including Transportation Secretary Pete Buttigieg and acting Labor Secretary Julie Su, has become sharper…
Image source: Getty Images The Rolls-Royce (LSE: RR) share price rose 6.2% in September, taking the year-to-date gain to 73%. And a two-year gain of 645% — who said FTSE 100 stocks are sleepy?! There’s been a lot written recently about the company’s small modular reactors (SMRs). These aim to transform nuclear power from large-scale infrastructure projects into factory-built products. With businesses and governments increasingly desperate to meet net zero carbon goals by 2050, SMRs are tipped to become a massive new growth industry. And Rolls-Royce, which has decades of experience building nuclear reactors for Royal Navy submarines, is positioning itself…
On Wednesday, Goldman Sachs revised its forecast for 30-year conforming mortgage rates, lowering the expectation to 6% for the year 2024 and 6.05% for 2025. This revision comes down from its previous forecast of 6.5% and 6.1%, respectively. The adjustment follows the Federal Reserve’s decision to cut rates by 50 basis points on September 18, which led to a reduction in the 10-year US Treasury yield forecast for the end of 2024 to 3.85% from 4.25%. The firm’s analysts suggest that the revised mortgage rate forecasts imply there is limited room for further declines, as the current Freddie Mac Primary…
Image source: Olaf Kraak via Shell plc The Shell (LSE:SHEL) share price is down since the start of the year, but an unexpected increase in the price of Brent crude has seen the stock start to climb. I think this is worth a closer look. The company is focused on dividends and share buybacks, which I think can move the stock higher in the near future. But there are some long-term risks shareholders should keep in mind. Oil prices Ultimately, the thing that has the biggest impact on Shell’s business is the price of oil. And Iran’s missile attack on…
By Marcelo Teixeira NEW YORK (Reuters) – The unloading of hundreds of containers with imported coffee beans at the United States’ East Coast ports has stopped due to the strike of portworkers, aggravating the tight supply in the largest coffee-drinking nation. The delays in delivery of imported coffee to U.S. roasters and coffee chains could further increase bean prices which hit multi-year highs last week due to limited supply, and raise costs for companies and consumers. Prices for coffee held in U.S. warehouses are already rising due to the delays, said one coffee trader with containers stuck in ports. “We…