Here are four reasons that I see as good justification to buy BP stock:
- A huge number of people who had nothing to do with the leak caused by the explosion of Deepwater Horizon have pension investments in BP-- including the vast majority of British citizens. The fall of BP's stock price (and the loss of dividends) represents a significant adverse affect that common citizens will have to bear for a while to come.
- Likewise, the local merchants who are BP franchisees have been, and will be, adversely affected by these events, as well. Boycotting BP, selling shares of BP stock, and otherwise opposing the company hurts your neighbors who own BP stations, your local economy, and that of others around you.
- If BP goes bankrupt, or even approaches bankruptcy, because of reaction like the mass-selling of stock shares, they will not have the financial solvency to fund cleanup and recovery efforts. In other words, one way to invest in the cleanup and recovery of the huge oil leak/spill in the gulf coastal area is to buy BP stock!
- These events have been so public, and such an international scandal, that BP will almost certainly become one of the most responsible and environmentally-conscious corporations of our day. I would guess that, within the next few years, BP leads the way in pioneering new technologies to answer the concerns about fossil-fuel dependence.
A fifth reason, substantially less-altruistic than the above, is that the stock represents a great "buy" value, assuming the company will recover and rebound to its former value (and more).