A bullish case for (buying) BP (shares)

[Bragi]

Forget about the environmental disaster BP has created. What's important is that savvy investors think BP stock may be undervalued right now.

Try not to barf while reading the explanation...

...As I said earlier, the costs will be huge. But $70-billion? That’s rich – very rich. Too rich, I would argue. The Valdez spill cost Exxon about $5-billion. That was 20 years ago and it was in some ways a smaller accident, but it’s still a telling statistic.

...beside the sheer magnitude of the numbers, is that there’s no clear culprit. As mentioned, there are three companies that are potentially liable. But government agencies are also on the hook. The interior secretary admits to lax oversight at the agencies responsible for policing offshore drilling.

And the truth is that the rules are hazy because deepwater drilling is the new frontier. Practices and technology change often. They have to.

Another argument, a powerful one, is that to punish the players responsible for this accident too hard would not be in the United States, or western countries’, interests. Offshore drilling is crucial to oil supply, especially non-OPEC supply.

http://www.theglobeandmail.com/globe-investor/investment-ideas/features/vox/a-bullish-case-for-bp/article1576428/

[tavalon]

1. Buy BP, you soulless motherfuckers!

[dmallind]

3. Because not buying their stock will plug the leak and remove the oil you dumb motherfuckers!

[marmar]

2. Proof that this economic system is straight out of the DSM-4

nt

[dmallind]

4. ..and what effect would buying their stock have on anything?

[mod mom]

5. blood money-no thanks.

[sharesunited]

6. Buy BP stock and vote your shares according to your values to influence management.

If you want to invest in oil drilling and exploration across multiple companies, use the exchange traded fund XOP.

[Bragi]

7. Yeah, sure

We know how attentive the oil industry is to progressive critics who buy shares in their companies to try to influence management. </cue laugh track>