Shareholders in BP (LON:BP) have been urged to vote against chief executive Bob Dudley’s pay package at the group’s upcoming annual general meeting (AGM), City A.M. reports. Last year, the oil major managed to avoid a repeat of 2016’s revolt, winning the support of more than 97 percent of voters for its pay policy.
BP’s share price has been steady in London in today’s session, having added 0.35 percent to 579.20p as of 10:29 BST, marginally outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.03 percent higher at 7,725.37 points. The group’s shares have added more than 23 percent to their value over the past year, as compared with a near three-percent rise in the Footsie.
BP investors urged to reject CEO pay
City A.M. reported last night that shareholder advisory group Pensions & Investment Research Consultants (Pirc) had advised BP’s investors to oppose the company’s remuneration report at the group’s AGM on Monday, May 21.
“Performance share awards granted during the year under review are excessive, amounting to 363.7 per cent of salary for the CEO,” Pirc said in note, as quoted by the newswire. “Total variable pay for the year under review is also inappropriately excessive, amounting to 581 per cent of salary.”
Analysts on blue-chip oil group
HSBC, which has a ‘buy’ rating on BP, boosted its price target on the stock from 600p to 610p yesterday, while Barclays reaffirmed the oil major as an ‘overweight,’ without specifying a valuation ono the shares. According to MarketBeat, the FTSE 100 group currently has a consensus ‘buy’ rating and an average price target of 561.32p.
BP updated investors on its first-quarter performance earlier this month, posting a rise in profits on the back of stronger crude prices.