BHP Billiton's share price has had its fair share of ups and downs over the years. The company has a long history of stability and growth, with a market capitalization of over $100 billion.
BHP Billiton's diversified portfolio of assets has been a key driver of its success. The company's iron ore and copper operations are among the largest in the world, and its coal and oil operations are also significant contributors to its bottom line.
Despite some volatility in recent years, BHP Billiton's share price has generally trended upwards over the long term. The company's commitment to innovation and sustainability has helped it stay ahead of the curve in a rapidly changing industry.
Financial Analysis
BHP Billiton's financial performance has been a mixed bag in recent years. Revenue for 2024 was $56.03 billion, a 3.40% increase from the previous year.
The company's gross profit on sales has also been steadily increasing, with a 3.88% rise in 2024 to $28.739 billion. This growth is a positive sign for the company's financial health.
However, the operating income has not fared as well, with a 4.46% increase in 2024 to $23.044 billion. This relatively modest growth may indicate some challenges for the company in terms of operational efficiency.
The income before tax has been more volatile, with a 25.45% decrease in 2024 to $15.672 billion. This decline may be a concern for investors, as it suggests that the company is facing some significant headwinds.
Here is a summary of the company's income after tax for the past few years:
Financial Performance
Financial Performance is a crucial aspect of any company's success. BHP Group's revenue in 2024 was $56.03 billion, a 3.40% increase from the previous year's $54.18 billion.
The company's earnings, however, took a hit, decreasing by 38.88% to $7.90 billion. This significant drop in earnings is a notable trend that warrants closer examination.
BHP Group's sales have been steadily increasing, with a 3.42% change in 2024 compared to the previous year. This growth is a positive sign for the company's financial health.
Here's a breakdown of the company's sales and gross profit on sales over the past few years:
The company's operating income has also been on the rise, with a 4.46% increase in 2024 compared to the previous year. This trend suggests that BHP Group is becoming more efficient in its operations.
Analyst Forecast
Their optimistic outlook is reflected in the 12-month stock price forecast, which stands at $68.0. This represents a significant increase of 38.18% from the latest price.
Calendar
In financial analysis, staying on top of company events is crucial. BHP Billiton has a few key dates to keep in mind.
The company's Q2 2025 Earnings Report is estimated to be around 2.331 USD and will be released on February 17, 2025.
BHP Billiton's Q4 2025 Earnings Report is expected to be higher, at an estimated 2.696 USD. It's scheduled for August 26, 2025.
Their Q2 2026 Earnings Release date is set for February 24, 2026. However, the estimated earnings are unknown, as indicated by a dash in the estimate column.
Similarly, the Q4 2026 Earnings Release date is August 25, 2026, with no estimated earnings provided.
Lastly, the Q2 2027 Earnings Release date is set for February 23, 2027, with no estimated earnings provided.
Market Outlook
In the current market landscape, BHP Billiton's share price has been influenced by global economic trends.
The company's diversified portfolio, spanning iron ore, copper, and coal, has helped it navigate market fluctuations.
BHP Billiton has been able to maintain a strong market position despite the decline in commodity prices.
Its ability to adapt to changing market conditions has been key to its success.
Copper's Next Big Surge?
The copper market is at a crossroads as the world transitions to an electrified future. Copper's demand is expected to surge due to the increasing adoption of electric vehicles.
The Fundão tailings dam collapse in Brazil is a significant event that may impact the copper market. A lower court has ruled that BHP Group's unit and other firms are liable for the disaster.
Copper's role in the electrified future is crucial, as it's a key component in electric vehicles. The metal's high conductivity makes it essential for EVs' power systems.
The electrified future is not the only driver of copper's next big surge. New technologies, such as renewable energy systems, also rely heavily on copper.
Competitors
In the competitive landscape of the industry, several key players are vying for market share.
One major competitor is XYZ Corporation, which has a strong presence in the market with a portfolio of products that overlap with our own offerings.
Another significant competitor is ABC Inc., which has been aggressively expanding its operations and has a large customer base.
Our own market research suggests that these two companies are the most significant threats to our business.
Both XYZ and ABC have a strong track record of innovation, with a history of introducing new products and services that have disrupted the market.
However, our unique value proposition and strong brand recognition give us a competitive edge.
Frequently Asked Questions
Is BHP a buy hold or sell?
BHP has a consensus rating of Moderate Buy, indicating a balanced view among analysts. Six analysts recommend buying, six suggest holding, and none advise selling.
Is BHP listed in the US?
Yes, BHP is listed in the US, specifically on the New York Stock Exchange (NYSE) under its American Depositary Receipts (ADRs).
What happens to BHP lse shares?
BHP shares will continue to be traded on the London Stock Exchange. They will remain listed in sterling, unaffected by the unification process.
How much are BHP shares to buy?
As of now, BHP shares can be bought for $39.72. Check the latest market trends to make an informed investment decision.
What is the BHP forecast for 3 years?
BHP Group's revenue is forecast to decline by 3.1% annually, while its earnings are expected to grow by 6.1% per year over the next 3 years. This growth is driven by a 4.5% annual increase in earnings per share (EPS) and a return on equity of 19.4% in 3 years.
Sources
Featured Images: pexels.com