` Comparison: NEXT vs BHP - Alpha Spread

NEXT
vs
BHP

Over the past 12 months, NEXT has underperformed BHP, delivering a return of -10% compared to the BHP's +51% growth.

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NEXT
BHP
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Valuation Comparison

NEXT Intrinsic Value
0.393 CAD
Undervaluation 27%
Intrinsic Value
Price CA$0.285
BHP Intrinsic Value
41.555 AUD
Overvaluation 24%
Intrinsic Value
Price AU$54.345
Company Last Price Intrinsic Value DCF Value Multiples-Based Value Wall St Target
NextSource Materials Inc
TSX:NEXT
0.285 CAD
BHP Group Ltd
ASX:BHP
54.345 AUD
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Valuation Scenario:
Bear Case
Base Case
Bull Case

Growth Comparison

Growth Over Time
NEXT, BHP

NEXT
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
NextSource Materials Inc
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
NEXT, BHP

NEXT
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
NextSource Materials Inc
TSX:NEXT
BHP Group Ltd
ASX:BHP
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What is Free Cash Flow?

Gross Margin

NEXT
-215.2%
BHP
0%

Operating Margin

NEXT
-1 162.7%
BHP
41.3%

Net Margin

NEXT
-2 713.3%
BHP
19%

FCF Margin

NEXT
-2 059.9%
BHP
18.3%

ROE

NEXT
-84.2%
BHP
21.4%

ROA

NEXT
-37.1%
BHP
9.5%

ROIC

NEXT
-17.6%
BHP
15.1%

ROCE

NEXT
-22.2%
BHP
23.7%

Solvency Comparison

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Balance Sheet Comparison
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Stocks Performance

Stocks Performance
NEXT, BHP

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Performance Gap
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NEXT
BHP
Difference
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Performance By Year
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NEXT
BHP
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Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett