The Beach Energy (ASX:BPT) share price is trading at an 11-week high. Here's why

Here's what might have sent the energy producer's shares higher today.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

oil and gas worker in hard hard in front of oil and gas equipment

Image source: Getty Images

Key points

  • The Beach Energy share price is trading at $1.455 right now – the highest it's been since October
  • Its gains come as Brent crude futures hit a 3-year high
  • The ASX 200 energy sector is one of the market's top performing sectors on Monday

The Beach Energy Ltd (ASX: BPT) share price is having a roaring day despite no news having been released by the company.

Though, it's not alone in its gains, with the price of oil likely bolstering many of its peers.

At the time of writing, the Beach Energy share price is $1.455, 3.93% higher than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) is currently up 0.34%.

Let's take a look at what might be driving the oil and gas producer's shares higher on Monday.

What's caused the Beach Energy share price to rally today?

Beach Energy's stock is trading at levels not seen since October as the price of oil surges higher.

According to data from CNBC, Brent crude futures are currently trading at US$86.20 per barrel – a 0.16% gain.

Additionally, the commodity hit a new 3-year high of US$86.71 earlier today.

Meanwhile, West Texas Intermediate is up 0.48% at US$84.22 a barrel.

That's on top of their 1.9% and 2.1% respective gains recorded at the end of last week.

While the price of oil likely hasn't directly impacted Beach Energy's stock, it might have bolstered sentiment for its earnings.

Of course, the company's incomes are directly tied to the commodity's price.

That sentiment might also be lifting the S&P/ASX 200 Energy Index (ASX: XEJ). The sector is one of the ASX 200's best performers today, having gained 1.52% at the time of writing.

After Beach Energy's rally, its share price is one of the sector's best performers today.

It's been pipped by Whitehaven Coal Ltd (ASX: WHC) which has gained 4.29% at the time of writing. Worley Ltd (ASX: WOR) has also gained 2.98% today.

Interestingly, Beach Energy hasn't announced any price-sensitive news to the market since early November. Nonetheless, it has already gained 15% year to date.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Energy Shares

Workers inspecting a gas pipeline.
Energy Shares

Here's the dividend forecast out to 2028 for Woodside shares

This major business is expected to hike its payouts in the next financial year.

Read more »

An oil worker in front of a pumpjack using a tablet.
Broker Notes

Why Woodside shares just got a big buy call

A leading analyst forecasts more outperformance from Woodside’s surging shares.

Read more »

Person pressing the buy button on a smartphone.
Broker Notes

3 compelling reasons to buy Origin Energy shares today

A leading analyst forecasts building tailwinds for Origin Energy shares.

Read more »

A mining worker clenches his fists celebrating success at sunset in the mine.
Energy Shares

Monadelphous Group wins $380m energy contract

Monadelphous has clinched a $380 million contract with CS Energy for the Brigalow Peaking Power Plant project.

Read more »

A young man looks like he his thinking holding his hand to his chin and gazing off to the side amid a backdrop of hand drawn lightbulbs that are lit up on a chalkboard.
Energy Shares

Meridian Energy: draft approval for Lake Pūkaki hydro storage

Meridian Energy receives draft approval to ease access to Lake Pūkaki hydro storage and strengthen dam resilience.

Read more »

Man rocketing in the sky.
Share Gainers

Guess which ASX energy stock is rocketing 133% today on huge US news!

Investors are sending this junior ASX energy share to the moon on Tuesday. But why?

Read more »

Downward spike graph.
Energy Shares

Why ASX 200 energy stocks like Woodside and Santos got hammered in May

The ASX 200 closed May in the green, but ASX energy stocks like Woodside and Santos didn’t join the rally.

Read more »

A smiling woman holds an arm in the air in triumph while also holding a graphic of a fully-charged battery in her other hand.
Energy Shares

How much could the PLS Group share price rise in the next year?

Is the PLS Group share price on track to deliver more returns?

Read more »