15 Stocks Targeted By Activist Hedge Funds

5. BP p.l.c. (NYSE:BP)

Company Market Cap as of December 31: $79.81 Billion

Number of Hedge Fund Holders: 36

BP p.l.c. (NYSE:BP) is an energy company that provides carbon products and services. It engages in the production of natural gas and integrated gas, as well as hydrogen and carbon capture and storage facilities. While the stock was down by about 16% in 2024, the underperformance was mostly fuelled by a slump in oil prices.

Amid the underperformance, it was one of the stocks targeted by activist hedge funds aggrieved by the company’s new strategy. BP p.l.c. (NYSE:BP) launched a high-profile push into renewable energy as it sought to cut its oil and gas output by 40% by 2030. Nevertheless, the push has turned out to be a big disappointment, with some of BP’s renewable investments generating disappointing returns.

Likewise, UK activist investor Bluebell Capital partners launched a campaign to have the company exit its renewable energy strategy. The activist investor started pushing the company to remove its chairman and lead independent director as part of its activist campaign.

BP p.l.c. (NYSE:BP) renounced its goal of reducing its oil and gas production by 2030 to win back investor trust. New CEO Murray Auchincloss also curtailed the company’s energy transition. The London-based business also retracted its plans for offshore wind in the United States, which led to significant impairments. Bluebell criticized recent earnings downgrades and questioned the company’s plans for solar expansion goals.