Morgan Stanley has downgraded BP to Underweight from Equal Weight, lowering its price target to $26.50 amid concerns over oil market fluctuations and potential earnings impacts. Despite a cautious outlook, analysts maintain an average target price of $34.55, indicating a 16.07% upside from the current price of $29.77. BP reported strong operational performance, with over 96% refining availability and significant exploration discoveries, while also reducing capital expenditures for 2025.