BP, once worth over £140 billion, has lost nearly 25% of its value in two years. Now, it is worth less than half of its peak. Meanwhile, its competitors in Europe and the US are making record profits.

BP plans to cut 5% of its workforce. This will save money and help restore confidence among investors.

Investor Worries and Acquisition Speculation

Experts say BP’s weakened position may make it a target for bigger, financially stronger companies. Activist investor Elliott Investment Management has bought a large share in BP, sparking rumors about what may happen next.

Big Decisions Ahead at Capital Markets Day

CEO Murray Auchincloss must present a strong recovery plan at BP’s Capital Markets Day in London. Many believe BP may drop its 2030 target to reduce oil and gas production. The company may also reduce its spending on renewable energy projects, like electric vehicle charging and bioenergy, to $5 billion, down from $6-9 billion.

BP may also sell off some assets, like US wind farms and Dutch fuel stations. Analysts think these sales could bring in $8 billion.

Future at Risk: Can BP Reinvent Itself or Will It Be Sold?

BP may shift focus back to oil and gas. But this could be too late, as oil demand is set to peak in the 2030s. HSBC analyst Kim Fustier says, “BP needs to rethink its strategy to gain back investor trust.”

BP’s future is uncertain. A clear, bold plan could stabilize the company or make it an easier target for a sale.