BHP Group Limited (BHP) AI Stock Analysis

Headquartered in Melbourne, Australia, BHP Group Limited is a global resources company operating primarily through three core segments: Copper, Iron Ore, and Coal. Its mining portfolio includes copper, silver, zinc, molybdenum, uranium, gold, iron ore, and both metallurgical and energy coal. The company also participates in nickel mining, smelting, and refining, as well as potash development projects. Beyond resource extraction, BHP provides towing, freight logistics, commodity marketing and trading, financial services, and administrative support to facilitate its global supply chains.

In FY2026, BHP generated revenue of $58.76B, representing growth of 14.6% following a decline of 7.9% in FY2025 to $51.26B. Gross margin was 75.6% in FY2026, down from 82.2% in FY2025, while operating margin expanded to 43.4% from 38.0%. Net income reached $9.83B with a net margin of 16.7% in FY2026, up from $9.02B in FY2025 but below the $30.90B reported in FY2022. Across the five years from FY2021 to FY2026, revenue recorded a compound annual growth rate of 0.5%. In the latest quarter ended June 30, 2026, quarterly revenue grew 18.3% year over year, while quarterly earnings declined 9.0%.

As of June 30, 2026, BHP held $18.60B in cash and short-term investments against total debt of $27.12B, resulting in net debt of $8.52B. The company closed the period with a current ratio of 1.88, shareholders' equity of $50.92B, and a debt-to-equity ratio of 0.53. In FY2026, operating cash flow stood at $21.78B, funding $9.85B in capital expenditures and leaving free cash flow of $11.93B. During the same fiscal year, the company paid $6.76B in dividends.

BHP trades at a trailing P/E of 21.6x and a forward P/E of 17.2x, compared to the median of its US-listed Basic Materials peers of 19.7x and 13.4x, respectively. Its price-to-sales multiple is 3.6x, above the peer median of 1.8x, while its EV-to-EBITDA ratio of 7.5x is below the peer median of 10.5x. Over the past year, BHP returned 54.2%, outperforming the S&P 500 (SPY) return of 16.8%. Over a five-year period, the stock gained 119.8% compared to 83.0% for the index.

BHP pays a semiannual dividend with an annualized forward payout of $3.96, yielding 4.75% as of October 16, 2026. The company has paid dividends for 43 consecutive years, with a 5-year annualized dividend growth rate of 0.4% and a payout ratio of 1.6%. Its last ex-dividend date was September 4, 2026.

Wall Street analysts coverage consists of 2 Strong Buy, 0 Buy, 4 Hold, 2 Sell, and 0 Strong Sell ratings. The mean price target is $77.92, representing a 6.5% decrease from the last close of $83.29. For the fiscal year ending June 30, 2027, consensus estimates project revenue of $58.43B and EPS of $4.68, reflecting an EPS growth estimate of -10.1%. BHP recorded 0 EPS beats over the last 4 quarters, and its next earnings date is November 17, 2026.

This page is an AI-written research summary of BHP Group Limited (BHP). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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