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BHP Group Ltd
ASX:BHP

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BHP Group Ltd
ASX:BHP
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Price: 55.54 AUD -1.1% Market Closed
Market Cap: AU$282.2B

P/B

3.9
Current
27%
More Expensive
vs 3-y average of 3.1

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
3.9
=
Market Cap
AU$285.4B
/
Total Equity
$50.4B

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
3.9
=
Market Cap
AU$285.4B
/
Total Equity
$50.4B

Valuation Scenarios

BHP Group Ltd is trading above its 3-year average

If P/B returns to its 3-Year Average (3.1), the stock would be worth AU$43.9 (21% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-32%
Maximum Upside
No Upside Scenarios
Average Downside
24%
Scenario P/B Value Implied Price Upside/Downside
Current Multiple 3.9 AU$55.54
0%
3-Year Average 3.1 AU$43.9
-21%
5-Year Average 2.9 AU$41.13
-26%
Industry Average 3.2 AU$45.44
-18%
Country Average 2.7 AU$37.66
-32%

Forward P/B
Today’s price vs future total equity

Not enough data available to calculate forward P/B

Peer Comparison

All Multiples
P/B
P/E
All Countries
Close
Market Cap P/B P/E
AU
BHP Group Ltd
ASX:BHP
285.2B AUD 3.9 19.4
AU
Rio Tinto Ltd
ASX:RIO
280.8B AUD 3.6 19.9
UK
Rio Tinto PLC
LSE:RIO
119.4B GBP 2.7 15.8
MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
1.6T MXN 3.9 17.8
CH
Glencore PLC
LSE:GLEN
64.8B GBP 2.2 237.4
SA
Saudi Arabian Mining Company SJSC
SAU:1211
248.9B SAR 4 33.9
CN
CMOC Group Ltd
SSE:603993
406.5B CNY 4.8 19.6
UK
Anglo American PLC
LSE:AAL
42.8B GBP 3.1 -14.8
CN
China Molybdenum Co Ltd
OTC:CMCLF
51.8B USD 4.3 17.5
ZA
African Rainbow Minerals Ltd
JSE:ARI
44.5B ZAR 0.7 34.6
IN
Vedanta Ltd
NSE:VEDL
2.9T INR 7.1 20.2
P/E Multiple
Earnings Growth PEG
AU
BHP Group Ltd
ASX:BHP
Average P/E: 43.6
19.4
11%
1.8
AU
Rio Tinto Ltd
ASX:RIO
19.9
13%
1.5
UK
Rio Tinto PLC
LSE:RIO
15.8
11%
1.4
MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
17.8
3%
5.9
CH
Glencore PLC
LSE:GLEN
237.4
161%
1.5
SA
Saudi Arabian Mining Company SJSC
SAU:1211
33.9
10%
3.4
CN
CMOC Group Ltd
SSE:603993
19.6
23%
0.9
UK
Anglo American PLC
LSE:AAL
Negative Multiple: -14.8 N/A N/A
CN
C
China Molybdenum Co Ltd
OTC:CMCLF
17.5
24%
0.7
ZA
A
African Rainbow Minerals Ltd
JSE:ARI
34.6
156%
0.2
IN
Vedanta Ltd
NSE:VEDL
20.2
28%
0.7

Market Distribution

In line with most companies in Australia
Percentile
67th
Based on 2 062 companies
67th percentile
3.9
Low
0 — 1.6
Typical Range
1.6 — 4.3
High
4.3 —
Distribution Statistics
Australia
Min 0
30th Percentile 1.6
Median 2.7
70th Percentile 4.3
Max 2 199.4

BHP Group Ltd
Glance View

BHP Group Ltd., often perceived as a colossus in the world of mining, stands as a paragon of effective resource management and operational excellence. Originally rooted in Melbourne, this behemoth of a company has built an empire on the extraction and processing of essential raw materials. Its operations span the globe, with a portfolio primarily focusing on four pillars: iron ore, copper, coal, and petroleum. Each of these commodities serves critical roles in global industries—iron ore for steel production, copper for electrical systems, coal for energy, and petroleum for fuel and chemical products. BHP's extensive mining infrastructure and advanced technological integration enable it to efficiently extract and transport these materials to markets worldwide, capitalizing on scale, safety, and sustainability to enhance profitability. At the heart of BHP's financial engine lies its strategic emphasis on cost efficiency and expanding high-margin operations. The company systematically invests in innovation and development to optimize ore grades and extend the life of its mines, ensuring a steady stream of production that aligns with market demand. By hedging against the volatility typical of commodity markets through long-term contracts and judicious price management, BHP achieves a remarkable balance between risk and reward. Furthermore, the group's diversified portfolio mitigates exposure to downturns in any single commodity market. This approach not only fortifies its revenue streams but also positions BHP as a resilient entity amidst shifting global economic landscapes—a mining titan continually adapting to the minutes of time.

BHP Intrinsic Value
45.05 AUD
Overvaluation 19%
Intrinsic Value
Price AU$55.54
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