MARKET TALK: Societe Generale Upgrades BP To Buy From Hold

18th Jun 2010 07:35

0635 GMT [Dow Jones] Societe Generale upgrades BP (BP.LN) to buy from hold, after the company agreed to an independently managed claims fund and dividend freeze in response to oil spill. Says this improves visibility on BP's eventual accident-related costs and the market will increasingly start discounting a neutral case rather than the most pessimistic scenario. However, reduces price to 495p from 530p, noting that for the next 12 months, "the share price will likely stay volatile and BP will remain a high risk/high potential reward investment with no guarantee of resumed dividends in 2011." Shares closed at 360p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 18, 2010 02:35 ET (06:35 GMT)