` Comparison: WF3 vs BHP - Alpha Spread

WF3
vs
BHP

Over the past 12 months, WF3 has underperformed BHP, delivering a return of +9% compared to the BHP's +30% growth.

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WF3
BHP
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Valuation Comparison

WF3 Intrinsic Value
35.536 EUR
Overvaluation 29%
Intrinsic Value
Price
BHP Intrinsic Value
37.44 AUD
Overvaluation 30%
Intrinsic Value
Price
Company Last Price Intrinsic Value DCF Value Relative Value Wall St Target
Wesfarmers Ltd
SWB:WF3
49.995 EUR
BHP Group Ltd
ASX:BHP
53.46 AUD
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Valuation Scenario:
Bear Case
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Bull Case

Growth Comparison

Growth Over Time
WF3, BHP

WF3
BHP
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Revenue
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Company LTM Historical Growth Growth Streak % Positive Years Max Drawdown Volatility Forecasted Growth
3 Years 5 Years 10 Years 1 Year 3 Years
Wesfarmers Ltd
Revenue
BHP Group Ltd
Revenue

All metrics are calculated based on data from the last 10 years.

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Profitability Comparison

Free Cash Flow
WF3, BHP

WF3
BHP
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Free Cash Flow
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Company LTM Average Historical Growth FCF Margin Conversion
3 Years 5 Years 3 Years 5 Years 10 Years
Wesfarmers Ltd
SWB:WF3
BHP Group Ltd
ASX:BHP
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What is Free Cash Flow?

Gross Margin

WF3
34.5%
BHP
0%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

Operating Margin

WF3
8.9%
BHP
41.3%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

Net Margin

WF3
6.4%
BHP
19%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

FCF Margin

WF3
7.5%
BHP
18.3%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

ROE

WF3
32.9%
BHP
21.4%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

ROA

WF3
10.6%
BHP
9.5%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

ROIC

WF3
13.7%
BHP
15.1%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

ROCE

WF3
21%
BHP
23.7%
LTM 3Y Avg 5Y Avg 10Y Avg
Wesfarmers Ltd
BHP Group Ltd

Solvency Comparison

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Balance Sheet Comparison
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Stocks Performance

Stocks Performance
WF3, BHP

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Performance Gap
WF3, BHP

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WF3
BHP
Difference
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Performance By Year
WF3, BHP

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WF3
BHP
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