The damage done to BP’s reputation is arguably as bad as the damage done to Exxon after the Valdez oil spill in 1989. I was in high school then, and to this day have never used an Exxon gas station (not that I drive anymore) unless my tank was on empty and I was not alone in the car.
It is probably not on the forefront of most people’s minds that in the wake of Valdez, and the current BP crisis, that the world’s largest company by Market Capitalization is actually Exxon, even after the recent sell-off in energy companies, and the $10 drop in the price of oil.
(Chart courtesy: http://ycharts.com/calculations/rankings/market_cap)
It would be hard to believe that BP is going anywhere, and for those with a really long term view, this might represent a worthwhile entry-point, if you can stomach the volatility tied to the headlines. Originally posted on May 15, 2010.