BHP Group Ltd ADR BHP

Morningstar Rating
$79.91 +1.61 (2.06%)
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Company Report

Optimism Over Copper Demand and Prices Sees BHP Shares Overvalued

BHP is the world’s largest miner by market capitalization. Its main operations span iron ore and copper, with smaller contributions from metallurgical coal and thermal coal. It placed its nickel operations on care and maintenance due to low prices in 2024. BHP is also developing its Jansen potash project in Canada. It merged its oil and gas assets with Woodside Energy in June 2022, vesting the Woodside shares it received to BHP shareholders, and exiting the sector. It purchased copper miner Oz Minerals in fiscal 2023, and half of the Vicuna copper joint venture in fiscal 2025.

Price vs Fair Value

BHP is trading at a LOCK|>vMX%>p premium.
Price
$79.91
Fair Value
VG?
Uncertainty
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1-Star Price
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5-Star Price
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Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

BHP is a beneficiary of continued global economic growth and demand for the commodities it produces.

Bears

BHP has shown improved capital allocation since its missteps during the China boom, but continuing high commodity prices could encourage it to once again aggressively expand output.

News

Trading Information

Previous Close Price
$78.30
Day Range
$79.3480.10
52-Week Range
$49.6893.83
Bid/Ask
$81.28 / $81.40
Shares Outstanding
2.54B
Market Cap
$203.00B
Volume/Avg
20,018 / 3M

Key Statistics

Price/Earnings (Normalized)
18.10
Price/Sales
3.78
Dividend Yield (Trailing)
3.33%
Dividend Yield (Forward)
3.33%
Total Yield
3.33%

Company Profile

BHP is a global diversified miner mainly supplying iron ore and copper. The merger of BHP Limited and Billiton PLC created the present-day BHP Group. The dual-listed structure from the 2001 BHP and Billiton merger was collapsed in 2022. Major assets include Pilbara iron ore and Escondida copper. Onshore US oil and gas assets were sold in 2018, and the remaining Petroleum assets were spun off and merged with Woodside in 2022, with BHP vesting the Woodside shares it received to BHP shareholders. It purchased copper miner Oz Minerals in fiscal 2023 and half of the Vicuna copper joint venture in fiscal 2025. It is entering the potash market through the development of its Jansen project in Canada. However, due to low prices, BHP placed its nickel business on care and maintenance in 2024.
Sector
Basic Materials
Industry
Other Industrial Metals & Mining
Stock Style Box
Large Core
Total Number of Employees
90,000

Competitors

Valuation

Metric
BHP
FMG
RIO
Price/Earnings (Normalized)
18.109.6215.91
Price/Book Value
4.041.832.87
Price/Sales
3.782.253.00
Price/Cash Flow
9.525.069.94
Price/Earnings
BHP
FMG
RIO

Financial Strength

Metric
BHP
FMG
RIO
Quick Ratio
1.252.190.78
Current Ratio
1.653.031.44
Interest Coverage
11.5416.128.93
Quick Ratio
BHP
FMG
RIO

Profitability

Metric
BHP
FMG
RIO
Return on Assets (Normalized)
10.39%12.28%9.27%
Return on Equity (Normalized)
23.83%18.66%18.56%
Return on Invested Capital (Normalized)
15.85%15.15%14.60%
Return on Assets
BHP
FMG
RIO

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