BHP Group Ltd
ASX:BHP

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BHP Group Ltd
ASX:BHP
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Price: 37.3 AUD -0.37% Market Closed
Market Cap: 189.3B AUD

Relative Value

The Relative Value of one BHP stock under the Base Case scenario is 53.31 AUD. Compared to the current market price of 37.3 AUD, BHP Group Ltd is Undervalued by 30%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

BHP Relative Value
Base Case
53.31 AUD
Undervaluation 30%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

vs History
46
vs Industry
48
Median 3Y
2.4
Median 5Y
2.3
Industry
1.8
Forward
2.4
vs History
33
vs Industry
20
Median 3Y
10.8
Median 5Y
10.5
Industry
16.1
Forward
22.6
vs History
44
vs Industry
22
Median 3Y
6.3
Median 5Y
6
Industry
9.6
vs History
28
vs Industry
14
Median 3Y
8.9
Median 5Y
9.4
Industry
16
vs History
49
vs Industry
23
Median 3Y
3.1
Median 5Y
2.7
Industry
1.6
vs History
39
vs Industry
46
Median 3Y
2.5
Median 5Y
2.4
Industry
2.2
Forward
2.6
vs History
vs Industry
49
Median 3Y
0
Median 5Y
0
Industry
7.3
vs History
34
vs Industry
25
Median 3Y
5
Median 5Y
4.4
Industry
10.4
Forward
5.1
vs History
39
vs Industry
24
Median 3Y
6.1
Median 5Y
5.7
Industry
13.2
Forward
6.5
vs History
42
vs Industry
24
Median 3Y
6.7
Median 5Y
6.4
Industry
11
vs History
22
vs Industry
14
Median 3Y
12.3
Median 5Y
11.7
Industry
14.6
vs History
53
vs Industry
34
Median 3Y
1.7
Median 5Y
1.6
Industry
1.4

Multiples Across Competitors

BHP Competitors Multiples
BHP Group Ltd Competitors

Market Cap P/S P/E EV/EBITDA EV/EBIT
AU
BHP Group Ltd
ASX:BHP
189.2B AUD 2.3 10.8 4.9 6.1
AU
Rio Tinto Ltd
ASX:RIO
173.9B AUD 2.1 9.8 5.4 7.4
UK
Rio Tinto PLC
LSE:RIO
69.1B GBP 1.7 8.1 24.8 34.1
CH
Glencore PLC
LSE:GLEN
34.8B GBP 0.2 -28.9 222.2 563.3
MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
833B MXN 2.7 11.9 5.1 6.1
SA
Saudi Arabian Mining Company SJSC
SAU:1211
154.3B SAR 4.6 44.8 16.5 29.4
UK
Anglo American PLC
LSE:AAL
28.3B GBP 1.4 -12.5 104.4 168.7
ZA
African Rainbow Minerals Ltd
JSE:ARI
32.5B Zac 0 0 0 0
IN
Hindustan Zinc Ltd
NSE:HINDZINC
2.1T INR 6 19.8 11.6 14.7
CN
CMOC Group Ltd
SSE:603993
168.9B CNY 0.8 11 5 5
IN
Vedanta Ltd
NSE:VEDL
1.8T INR 1.2 12 4.8 6.6
P/E Multiple
Earnings Growth PEG
AU
BHP Group Ltd
ASX:BHP
Average P/E: 16
10.8
-13%
N/A
AU
Rio Tinto Ltd
ASX:RIO
9.8
-1%
N/A
UK
Rio Tinto PLC
LSE:RIO
8.1
-1%
N/A
CH
Glencore PLC
LSE:GLEN
Negative Multiple: -28.9 N/A N/A
MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
11.9
9%
1.3
SA
Saudi Arabian Mining Company SJSC
SAU:1211
44.8
33%
1.4
UK
Anglo American PLC
LSE:AAL
Negative Multiple: -12.5 N/A N/A
ZA
A
African Rainbow Minerals Ltd
JSE:ARI
Not Available
-76%
N/A
IN
Hindustan Zinc Ltd
NSE:HINDZINC
19.8
N/A N/A
CN
CMOC Group Ltd
SSE:603993
11
12%
0.9
IN
Vedanta Ltd
NSE:VEDL
12
13%
0.9
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
AU
BHP Group Ltd
ASX:BHP
Average EV/EBITDA: 40.5
4.9
-4%
N/A
AU
Rio Tinto Ltd
ASX:RIO
5.4
5%
1.1
UK
Rio Tinto PLC
LSE:RIO
24.8
6%
4.1
CH
Glencore PLC
LSE:GLEN
222.2
17%
13.1
MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
5.1
7%
0.7
SA
Saudi Arabian Mining Company SJSC
SAU:1211
16.5
2%
8.2
UK
Anglo American PLC
LSE:AAL
104.4
7%
14.9
ZA
A
African Rainbow Minerals Ltd
JSE:ARI
Not Available
283%
N/A
IN
Hindustan Zinc Ltd
NSE:HINDZINC
11.6
N/A N/A
CN
CMOC Group Ltd
SSE:603993
5
14%
0.4
IN
Vedanta Ltd
NSE:VEDL
4.8
10%
0.5
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
AU
BHP Group Ltd
ASX:BHP
Average EV/EBIT: 84.1
6.1
-5%
N/A
AU
Rio Tinto Ltd
ASX:RIO
7.4
5%
1.5
UK
Rio Tinto PLC
LSE:RIO
34.1
4%
8.5
CH
Glencore PLC
LSE:GLEN
563.3
32%
17.6
MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
6.1
6%
1
SA
Saudi Arabian Mining Company SJSC
SAU:1211
29.4
5%
5.9
UK
Anglo American PLC
LSE:AAL
168.7
10%
16.9
ZA
A
African Rainbow Minerals Ltd
JSE:ARI
Not Available
242%
N/A
IN
Hindustan Zinc Ltd
NSE:HINDZINC
14.7
N/A N/A
CN
CMOC Group Ltd
SSE:603993
5
8%
0.6
IN
Vedanta Ltd
NSE:VEDL
6.6
12%
0.5