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BHP Group (BHPN) Fair Value & Analysis

Basic Materials · MX · Market cap 3.6T MXN

BG BHP Group BHPN · MX
Price1,425 MXN
Fair Value942.42 MXN
Upside-33.9%
Quality64/100
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Expensive Growth
Solidly profitable · 19.0% net margin
Low debt · generates free cash flow
0.09% dividend yield
Wide moat 77/100
Evidence: Medium Range 634.22 MXN – 1,317 MXN Share as image

Fair value as of: Jul 13, 2026

From 24 valuation models · updated 28 days ago

Fair value updated Jul 13, 2026, revised from 953.36 MXN to 942.42 MXN (−1.1%) since Jun 24, 2026. Share price −8.4% over the past month.

A solid business, but screening 34% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (1,317 MXN). The favourable scenario is already priced in.
  • Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (634.22 MXN to 1,317 MXN) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

1,565 MXN 740.82 MXN Fair Value 942.42 MXN Apr 2021 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 13, 2026.

How to read this chart

60‑month range 740.82 MXN – 1,565 MXN · fair‑value band 634.22 MXN – 1,317 MXN · the 1,425 MXN price screens above the 942.42 MXN fair value. Dashed = 300-day average. As of Jul 13, 2026.

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Analysis

BHP Group (BHPN) currently trades at 1,425 MXN, while our model-based Fair Value estimate is 942.42 MXN, implying the stock looks roughly 33.9% overvalued today. The Quality Score stands at 64/100 (solid quality), in the Basic Materials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, BHP Group generated revenue of 54.0B MXN at a net margin of 19.0%. Revenue grew 10.8% year over year. It earns a return on equity of 24.7%. Net debt stands at 9.7B MXN. Fundamentals as of Jul 13, 2026

Our scenario range runs from 634.22 MXN (bear case) to 1,317 MXN (bull case); at 1,425 MXN, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 9% below its 52-week high and 64% above its 52-week low, currently above its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -36% fair-value upside, at -34%, BHPN screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF 692.96 MXN 968.92 MXN 1,467 MXN 80
Residual Income 427.38 MXN 522.45 MXN 1,354 MXN 76
Rev-Margin DCF 432.01 MXN 625.31 MXN 869.95 MXN 74
All 24 models by family
DCF Models
FCF DCF 661.64 MXN 942.42 MXN 1,491 MXN 38
Owner Earnings 340.09 MXN 496.14 MXN 800.64 MXN 31
5Y Revenue Exit 432.01 MXN 611.79 MXN 871.62 MXN 39
5Y EBITDA Exit 943.72 MXN 1,485 MXN 2,195 MXN 41
5Y P/E Exit 662.94 MXN 1,006 MXN 1,412 MXN 38
10Y Revenue Exit 499.66 MXN 672.39 MXN 865.51 MXN 36
10Y EBITDA Exit 832.70 MXN 1,263 MXN 1,760 MXN 37
10Y P/E Exit 656.27 MXN 939.08 MXN 1,230 MXN 35
Earnings-Based
Graham-Dodd 447.39 MXN 772.10 MXN 944.46 MXN 54
EPV 634.58 MXN 757.46 MXN 866.62 MXN 59
Dividend Discount
Gordon GGM 449.43 MXN 576.20 MXN 710.38 MXN 70
DDM Multi-Stage 449.43 MXN 618.27 MXN 833.07 MXN 61
Multiples
P/E Multiple 839.00 MXN 1,119 MXN 1,398 MXN 63
P/S Multiple 420.71 MXN 561.00 MXN 701.30 MXN 58
P/B Multiple 758.75 MXN 1,012 MXN 1,265 MXN 55
EV/EBIT 1,400 MXN 1,887 MXN 2,374 MXN 53
EV/EBITDA 1,286 MXN 1,735 MXN 2,184 MXN 54
EV/Revenue 331.38 MXN 499.66 MXN 667.94 MXN 43
Asset-Based
NCAV (Graham) 168.65 MXN 225.92 MXN 337.31 MXN 50
Growth DCF
Growth DCF 692.96 MXN 968.92 MXN 1,467 MXN 80
Rev-Margin DCF 432.01 MXN 625.31 MXN 869.95 MXN 74
Economic Profit
Residual Income 427.38 MXN 522.45 MXN 1,354 MXN 76
ROIC Compounder 648.67 MXN 796.19 MXN 957.62 MXN 72
Growth Earnings
Growth-Adj P/E 597.70 MXN 853.83 MXN 1,110 MXN 68

Widest divergence: Multiples (1,012 MXN) versus Asset-Based (225.92 MXN). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 54.0B MXN
Revenue growth (YoY) +10.8%
Net margin 19.0%
Return on equity 24.7%
Free cash flow 9.3B MXN FY2025
P/E ratio 20.2
More key figures
Operating margin 40.7%
EPS (TTM) 70.54 MXN
Dividend yield 0.1%
EPS growth (YoY) +27.5%
Net debt 9.7B MXN FY2025

Figures from reported company fundamentals · as of Jul 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 64/100

Of which business quality 62 · Market factors (momentum, volatility) 83

Profitability 58
Margins and returns on capital today
Quality Growth 22
Are margins and returns improving?
Cashflow 75
Earnings quality: real cash, not paper profit
Fin. Strength 66
Balance sheet, leverage, solvency risk
Investment 61
Disciplined investing over empire-building
Low Volatility 77
Calm price path (market factor)
Momentum 83
Price trend over the last 3–12 months (market factor)
52W Momentum 89
Distance to the 52-week high (market factor)
Net Issuance 81
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

BHP Group Limited operates as a resources company in Australia, Europe, China, Japan, India, South Korea, rest of Asia, North America, South America, and internationally. The company operates through Copper, Iron Ore, and Coal segments.

Full company description

BHP Group Limited operates as a resources company in Australia, Europe, China, Japan, India, South Korea, rest of Asia, North America, South America, and internationally. The company operates through Copper, Iron Ore, and Coal segments. It also engages in the mining of copper, uranium, gold, zinc, lead, molybdenum, silver, iron ore, cobalt, and metallurgical and energy coal. In addition, the company is involved in the mining, smelting, and refining of nickel, as well as potash development activities. Further, it provides towing, freight, marketing and trading, marketing support, finance, administrative, and other services. BHP Group Limited was founded in 1851 and is headquartered in Melbourne, Australia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

BHP Group reported revenue of 51.3B MXN in FY2025 versus 60.8B MXN in FY2021, a compound −4.2%/yr. Reported net income was 9.0B MXN in FY2025, compounding −5.5%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
51.3B MXN
Latest YoY
−7.9%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−7.7%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.6%
Avg. growth/yr (11Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−1.0%
Revenue −4.2%/yr
FY21 60.8B MXN
FY22 65.1B MXN
FY23 53.8B MXN
FY24 55.7B MXN
FY25 51.3B MXN
Net income −5.5%/yr
FY21 11.3B MXN
FY22 30.9B MXN
FY23 12.9B MXN
FY24 7.9B MXN
FY25 9.0B MXN

BHPN screens 34% overvalued. Compare with Rio Tinto Group →

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Cite: Fair Value Calculator (2026). "BHP Group Fair Value". https://www.fairvalue-calculator.com/stock/BHPN

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Other Industrial Metals & Mining stocks, each showing price versus our Fair Value estimate (as of Jul 13, 2026).

Stock Price Fair Value vs Fair Value
Rio Tinto Group RIO A$164.89 A$81.76 -50%
Grupo México, S.A. GMEXICOB 199.23 MXN 187.72 MXN -6%
Vale S.A VALE $14.19 $9.14 -36%
Saudi Arabian Mining Company 1211 58.05 SAR 33.87 SAR -42%
CMOC Group 603993 ¥18.20 ¥16.15 -11%
Fortescue Ltd FMG A$18.47 A$18.62 +1%
China Tungsten And Hightech Materials Co 000657 ¥74.71 ¥9.55 -87%
Hindustan Zinc Limited HINDZINC ₹521.95 ₹576.80 +11%
China Northern Rare Earth (Group) High-Tech Co 600111 ¥39.56 ¥10.59 -73%
Western Mining Co 601168 ¥43.07 ¥25.99 -40%

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Frequently asked questions

Is BHP Group (BHPN) overvalued or undervalued?
As of Jul 13, 2026, our model estimates a fair value of 942.42 MXN versus a price of 1,425 MXN, about −34% (overvalued).
What is the fair value of BHPN?
Our model-based fair value for BHP Group is 942.42 MXN (as of Jul 13, 2026), built from audited fundamentals. The current price is 1,425 MXN.
What is the quality score of BHPN?
BHP Group has a Quality Score of 64/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of BHP Group (BHPN)?
BHP Group reported trailing-twelve-month revenue of about 54.0B MXN (latest available figure, as of Jul 13, 2026).
What is the net profit margin of BHPN?
The net profit margin of BHP Group is about 19.0%, meaning it keeps roughly 19.0% of revenue as net income. Based on the latest reported figures.
Does BHP Group pay a dividend?
BHP Group currently shows a dividend yield of about 0.09% relative to its recent price (as of Jul 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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