BHP Group Limited

OTCPK:BHPL.F Stock Report

Market Cap: US$142.2b

BHP Group Valuation

Is BHPL.F undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of BHPL.F when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BHPL.F ($28.09) is trading below our estimate of fair value ($30.32)

Significantly Below Fair Value: BHPL.F is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BHPL.F?

Other financial metrics that can be useful for relative valuation.

BHPL.F key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.9x
Enterprise Value/EBITDA5.9x
PEG Ratio1.4x

Price to Earnings Ratio vs Peers

How does BHPL.F's PE Ratio compare to its peers?

The above table shows the PE ratio for BHPL.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average35.2x
SCCO Southern Copper
38x8.3%US$89.2b
MTRN Materion
26.6x31.3%US$2.2b
FCX Freeport-McMoRan
43.9x19.3%US$72.5b
LIN Linde
32.3x8.7%US$203.6b
BHPL.F BHP Group
19.4x14.0%US$215.0b

Price-To-Earnings vs Peers: BHPL.F is good value based on its Price-To-Earnings Ratio (19.4x) compared to the peer average (35.2x).

Price to Earnings Ratio vs Industry

How does BHPL.F's PE Ratio compare vs other companies in the US Metals and Mining Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a17.1%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a17.1%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: BHPL.F is expensive based on its Price-To-Earnings Ratio (19.4x) compared to the US Metals and Mining industry average (13.3x).

Price to Earnings Ratio vs Fair Ratio

What is BHPL.F's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BHPL.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.4x
Fair PE Ratio34x

Price-To-Earnings vs Fair Ratio: BHPL.F is good value based on its Price-To-Earnings Ratio (19.4x) compared to the estimated Fair Price-To-Earnings Ratio (34x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst BHPL.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$28.27
US$30.70
+8.6%
8.9%US$34.47US$26.41n/a11
Apr ’25US$28.92
US$30.81
+6.5%
7.5%US$34.54US$27.56n/a16
Mar ’25US$29.78
US$30.87
+3.7%
7.2%US$34.40US$27.56n/a16
Feb ’25US$30.76
US$31.78
+3.3%
9.1%US$39.38US$28.39n/a15
Jan ’25US$35.20
US$31.41
-10.8%
10.6%US$37.75US$25.99n/a15
Dec ’24US$31.42
US$30.41
-3.2%
11.1%US$37.75US$25.99n/a15
Nov ’24US$28.30
US$29.87
+5.6%
9.7%US$37.77US$25.99n/a16
Oct ’24US$29.46
US$29.13
-1.1%
12.6%US$37.77US$23.31n/a16
Sep ’24US$29.83
US$28.97
-2.9%
12.0%US$37.77US$23.31n/a17
Aug ’24US$31.08
US$30.39
-2.2%
11.0%US$37.77US$24.73n/a17
Jul ’24US$30.51
US$30.70
+0.6%
10.8%US$37.77US$24.73n/a16
Jun ’24US$27.51
US$30.62
+11.3%
11.6%US$37.77US$24.75n/a18
May ’24US$29.28
US$30.80
+5.2%
11.6%US$37.77US$25.42US$27.5018
Apr ’24US$32.24
US$31.21
-3.2%
11.6%US$37.81US$23.96US$28.9217
Mar ’24US$31.82
US$30.99
-2.6%
11.1%US$37.81US$24.75US$29.7817
Feb ’24US$35.08
US$31.65
-9.8%
11.4%US$41.05US$26.88US$30.7618
Jan ’24US$30.11
US$29.58
-1.8%
10.6%US$36.90US$22.61US$35.2018
Dec ’23US$31.50
US$28.58
-9.3%
10.8%US$36.90US$22.61US$31.4218
Nov ’23US$24.30
US$27.24
+12.1%
8.8%US$32.65US$22.61US$28.3018
Oct ’23US$25.46
US$28.96
+13.7%
10.3%US$34.34US$24.29US$29.4618
Sep ’23US$24.72
US$29.44
+19.1%
10.3%US$35.24US$24.44US$29.8318
Aug ’23US$26.21
US$29.84
+13.8%
11.5%US$36.62US$24.44US$31.0819
Jul ’23US$26.50
US$32.74
+23.5%
9.9%US$38.03US$26.39US$30.5119
Jun ’23US$32.00
US$34.70
+8.4%
12.3%US$42.84US$25.47US$27.5118
May ’23US$33.56
US$38.37
+14.3%
8.9%US$43.98US$31.95US$29.2816

Analyst Forecast: Target price is less than 20% higher than the current share price.

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