BHP Group Ltd (AU:BHP)
ASX:BHP
Top Page
BHP Group Ltd
(Sydney:BHP)
Select Model
Select Model
Rating:71Outperform
Price Target:
AU$61.00
▲(21.10% Upside)
Action:UpgradedDate:02/05/26
The score is driven primarily by strong margins and returns with a stable balance sheet, supported by bullish technical trend signals. Offsetting factors are the declines in revenue and free cash flow growth, alongside a valuation that appears fair rather than compelling.
Positive Factors
High profitability and margins
Sustained high gross, EBIT and EBITDA margins indicate structurally efficient operations and pricing power across BHP’s asset base. High margins support durable cash generation, fund capital allocation choices (dividends, capex, M&A) and provide a buffer through commodity cycles.
Negative Factors
Declining revenue trend
Negative revenue growth signals weaker volumes or realized prices and can erode long-term free cash flow if prolonged. For a commodity producer, sustained revenue declines limit capacity for reinvestment, dividends and deleveraging, increasing strategic risk over months.
Read all positive and negative factors
Positive Factors
Negative Factors
High profitability and margins
Sustained high gross, EBIT and EBITDA margins indicate structurally efficient operations and pricing power across BHP’s asset base. High margins support durable cash generation, fund capital allocation choices (dividends, capex, M&A) and provide a buffer through commodity cycles.
Read all positive factors
BHP Group Ltd (BHP) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$255.79B
Dividend Yield3.75%
Average Volume (3M)11.62M
Price to Earnings (P/E)6.7
Beta (1Y)1.21
Revenue Growth-6.74%
EPS Growth15.92%
CountryAU
Employees38,962
SectorBasic Materials
Sector Strength58
IndustryIndustrial Materials
Share Statistics
EPS (TTM)1.74
Shares Outstanding5,078,913,000
10 Day Avg. Volume12,894,620
30 Day Avg. Volume11,622,220
Financial Highlights & Ratios
PEG Ratio0.96
Price to Book (P/B)2.65
Price to Sales (P/S)2.39
P/FCF Ratio13.20
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
AU$51.84Price Target Upside2.91% Upside
Rating ConsensusHold
Number of Analyst Covering15
EPS Forecast (FY)2.57
Revenue Forecast (FY)AU$56.46B
BHP Group Ltd Business Overview & Revenue Model
Company Description
BHP Group Limited operates as a resources company in Australia, Europe, China, Japan, India, South Korea, the rest of Asia, North America, South America, and internationally. The company operates through Copper, Iron Ore, and Coal segments. It eng...
How the Company Makes Money
BHP generates revenue primarily through the sale of its mineral and energy products. The company's revenue model is largely based on the extraction and production of commodities, which are then sold to various industries worldwide. Key revenue str...
BHP Group Ltd Financial Statement Overview
Summary
Income Statement
75
Positive
Balance Sheet
70
Positive
Cash Flow
68
Positive
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 54.50B | 51.26B | 56.03B | 53.82B | 65.10B | 56.92B |
| Gross Profit | 45.08B | 36.73B | 46.10B | 27.66B | 39.71B | 34.04B |
| EBITDA | 27.16B | 25.77B | 23.52B | 28.61B | 39.96B | 30.23B |
| Net Income | 10.35B | 9.02B | 7.90B | 12.92B | 30.90B | 11.30B |
Balance Sheet | ||||||
| Total Assets | 116.09B | 108.79B | 102.36B | 101.30B | 95.17B | 108.93B |
| Cash, Cash Equivalents and Short-Term Investments | 13.82B | 12.04B | 12.65B | 12.46B | 17.54B | 15.25B |
| Total Debt | 31.55B | 24.46B | 20.18B | 24.10B | 16.79B | 21.57B |
| Total Liabilities | 60.59B | 56.57B | 53.24B | 52.77B | 46.40B | 53.32B |
| Stockholders Equity | 50.44B | 46.23B | 44.81B | 44.50B | 44.96B | 51.26B |
Cash Flow | ||||||
| Free Cash Flow | 10.17B | 9.29B | 11.85B | 11.62B | 26.06B | 21.43B |
| Operating Cash Flow | 19.92B | 18.69B | 20.66B | 18.70B | 32.17B | 27.23B |
| Investing Cash Flow | -14.27B | -13.35B | -8.76B | -13.06B | -6.96B | -7.84B |
| Financing Cash Flow | -2.18B | -5.97B | -11.67B | -10.31B | -22.77B | -17.92B |
BHP Group Ltd Technical Analysis
Positive
50.37
Price Trends
50.71
Negative
47.00
Positive
43.24
Positive
Market Momentum
-0.62
Positive
49.45
Neutral
93.44
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:BHP, the sentiment is Positive. The current price of 50.37 is below the 20-day moving average (MA) of 51.13, below the 50-day MA of 50.71, and above the 200-day MA of 43.24, indicating a neutral trend. The MACD of -0.62 indicates Positive momentum. The RSI at 49.45 is Neutral, neither overbought nor oversold. The STOCH value of 93.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:BHP.
BHP Group Ltd Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | AU$62.13B | 5.80 | 18.83% | 4.96% | -13.65% | -39.85% | |
71 Outperform | AU$255.79B | 6.71 | 21.41% | 3.75% | -6.74% | 15.92% | |
68 Neutral | AU$215.38B | 15.43 | 16.59% | 3.93% | 0.38% | -3.57% | |
63 Neutral | AU$18.03B | 5.91 | 3.36% | 2.67% | 6.53% | ― | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
54 Neutral | AU$11.12B | 5.40 | 11.50% | ― | -15.27% | -817.26% | |
45 Neutral | AU$5.99B | -45.43 | -9.95% | ― | -37.23% | -32433.33% |
* Basic Materials Sector Average
AU:BHP
BHP Group Ltd
50.37
13.70
37.36%
AU:S32
South32
4.03
0.94
30.34%
AU:FMG
Fortescue Metals Group Ltd
20.19
5.74
39.67%
AU:IGO
IGO
7.93
3.97
100.25%
AU:MIN
Mineral Resources Limited
56.69
32.72
136.50%
AU:RIO
Rio Tinto Limited
153.23
44.73
41.23%
BHP Group Ltd Corporate Events
BHP Updates Dividend Details With Multi‑Currency Conversion Rates
Mar 8, 2026
BHP Group Ltd has issued an updated notification regarding its latest dividend for ordinary fully paid shares, relating to the six‑month period ended 31 December 2025. The update, dated 9 March 2026, revises the previous 2 March 2026 announc...
BHP Updates Dividend Notice to Clarify South African Rand Conversion
Mar 1, 2026
BHP Group Limited has updated its previously announced dividend notification for its ordinary fully paid shares, relating to the six‑month period ended 31 December 2025. The update, dated 2 March 2026, advises changes tied to the South Afric...
BHP Lifts Copper Guidance on Record Output as Iron Ore and Coal Operations Hit New Highs
Jan 19, 2026
BHP reported a strong operational performance for the half year to 31 December 2025, highlighted by record copper and iron ore output at key assets and stable unit costs across the portfolio. Copper production guidance for FY26 has been raised for...
BHP Lifts Jansen Potash Budget to US$8.4bn and Delays First Output to 2027
Jan 19, 2026
BHP has raised the total investment estimate for Stage 1 of its Jansen potash project in Canada to US$8.4 billion and pushed the first production date back to mid-2027, citing additional construction hours and materials, prior inflationary and cos...
BHP Reports Lapse of 88,844 Performance Rights After Conditions Not Met
Jan 15, 2026
BHP Group Ltd has notified the market that 88,844 performance rights (security code BHPAC) have lapsed as of 31 December 2025 because the conditions attached to these rights were not met or became incapable of being satisfied. The cessation of the...
BHP Issues 16,492 New Ordinary Shares on Conversion of Unquoted Securities
Jan 14, 2026
BHP Group Limited has notified the market of the issue of 16,492 new ordinary fully paid shares following the exercise or conversion of previously unquoted equity securities. The new shares, dated 31 December 2025, reflect routine equity-related a...
BHP Issues Nearly 4 Million Unquoted Performance Rights Under Incentive Scheme
Jan 12, 2026
BHP Group Limited has notified the market of the issue of 3,963,655 unquoted performance rights under its employee incentive scheme, with an issue date of 31 December 2025. The new performance rights, which are not intended to be quoted on the ASX...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.