Latest Ratios: P/E Ratio 22.5x · EV/EBITDA 8.9x · ROE 17.8%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $203.7B | $122.2B | $144.9B | $151.4B | $142.4B | $164.6B | $112.4B | $134.6B | $119.0B | $84.7B | $67.8B |
| Enterprise Value | $216.3B | $134.8B | $152.7B | $161.3B | $141.6B | $170.3B | $126.0B | $143.8B | $129.9B | $101.0B | $93.9B |
| P/E Ratio → | 22.54 | 13.51 | 18.30 | 11.70 | 7.04 | 14.24 | 14.31 | 15.61 | 17.98 | 13.34 | — |
| P/S Ratio | 3.97 | 2.38 | 2.60 | 2.81 | 2.19 | 2.87 | 2.87 | 3.02 | 2.76 | 2.36 | 2.34 |
| P/B Ratio | 3.90 | 2.34 | 2.95 | 3.12 | 2.92 | 2.96 | 2.15 | 2.60 | 1.96 | 1.35 | 1.13 |
| P/FCF | 21.96 | 13.17 | 12.23 | 13.03 | 5.47 | 7.68 | 13.94 | 12.52 | 8.83 | 6.75 | 18.42 |
| P/OCF | 10.92 | 6.55 | 7.01 | 8.09 | 4.43 | 6.04 | 7.16 | 7.53 | 6.45 | 5.04 | 6.38 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.63 | 2.74 | 3.00 | 2.18 | 2.97 | 3.22 | 3.23 | 3.01 | 2.81 | 3.24 |
| EV / EBITDA | 8.91 | 5.55 | 6.91 | 5.87 | 3.65 | 5.71 | 6.87 | 6.55 | 5.81 | 5.45 | 10.41 |
| EV / EBIT | 11.11 | 7.24 | 6.86 | 7.66 | 4.35 | 5.88 | 9.42 | 8.79 | 8.35 | 8.13 | 19.63 |
| EV / FCF | — | 14.53 | 12.89 | 13.88 | 5.43 | 7.95 | 15.62 | 13.38 | 9.64 | 8.05 | 25.52 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 82.2% | 82.2% | 82.2% | 79.7% | 85.7% | 86.5% | 81.1% | 82.8% | 84.8% | 82.6% | 76.7% |
| Operating Margin | 38.0% | 38.0% | 31.5% | 42.6% | 52.4% | 44.6% | 34.9% | 36.2% | 37.1% | 34.9% | 9.7% |
| Net Profit Margin | 17.6% | 17.6% | 14.2% | 24.0% | 47.5% | 19.7% | 20.3% | 18.6% | 8.6% | 16.4% | -22.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.8% | 17.8% | 16.2% | 26.6% | 59.2% | 21.0% | 15.3% | 14.8% | 6.0% | 9.6% | -9.8% |
| ROA | 8.5% | 8.5% | 7.8% | 13.2% | 30.3% | 10.5% | 7.7% | 7.8% | 3.2% | 5.0% | -5.2% |
| ROIC | 24.0% | 24.0% | 22.8% | 32.3% | 46.8% | 30.1% | 16.2% | 18.2% | 15.9% | 11.4% | 2.3% |
| ROCE | 21.5% | 21.5% | 20.6% | 28.6% | 39.9% | 27.8% | 15.3% | 17.3% | 15.7% | 11.8% | 2.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.47 | 0.47 | 0.41 | 0.46 | 0.34 | 0.38 | 0.52 | 0.48 | 0.44 | 0.49 | 0.61 |
| Debt / EBITDA | 1.01 | 1.01 | 0.91 | 0.81 | 0.42 | 0.70 | 1.47 | 1.13 | 1.20 | 1.64 | 4.04 |
| Net Debt / Equity | — | 0.24 | 0.16 | 0.20 | -0.02 | 0.10 | 0.26 | 0.18 | 0.18 | 0.26 | 0.43 |
| Net Debt / EBITDA | 0.52 | 0.52 | 0.35 | 0.36 | -0.02 | 0.19 | 0.74 | 0.42 | 0.49 | 0.88 | 2.90 |
| Debt / FCF | — | 1.36 | 0.66 | 0.85 | -0.03 | 0.27 | 1.69 | 0.86 | 0.81 | 1.30 | 7.09 |
| Interest Coverage | 21.26 | 21.26 | 15.42 | 26.48 | 66.71 | 49.07 | 15.30 | 14.46 | 14.45 | 11.94 | 3.29 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.46 | 1.46 | 1.70 | 1.23 | 1.69 | 1.63 | 1.45 | 1.89 | 2.51 | 1.85 | 1.44 |
| Quick Ratio | 1.11 | 1.11 | 1.29 | 0.95 | 1.40 | 1.36 | 1.17 | 1.58 | 2.24 | 1.53 | 1.16 |
| Cash Ratio | 0.78 | 0.78 | 0.88 | 0.65 | 1.04 | 0.93 | 0.91 | 1.27 | 1.15 | 1.25 | 0.85 |
| Asset Turnover | — | 0.47 | 0.54 | 0.53 | 0.68 | 0.53 | 0.37 | 0.44 | 0.39 | 0.31 | 0.24 |
| Inventory Turnover | 1.65 | 1.65 | 1.70 | 2.10 | 1.89 | 1.75 | 1.80 | 2.00 | 1.74 | 1.70 | 1.98 |
| Days Sales Outstanding | — | 33.19 | 35.96 | 31.16 | 30.42 | 38.63 | 31.36 | 28.35 | 26.20 | 30.78 | 46.84 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.1% | 5.2% | 5.3% | 8.8% | 12.5% | 4.8% | 6.1% | 8.5% | 4.4% | 3.4% | 6.1% |
| Payout Ratio | 70.9% | 70.9% | 97.2% | 102.7% | 57.8% | 69.9% | 86.4% | 137.2% | 140.9% | 49.6% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.4% | 7.4% | 5.5% | 8.5% | 14.2% | 7.0% | 7.0% | 6.4% | 5.6% | 7.5% | — |
| FCF Yield | 4.6% | 7.6% | 8.2% | 7.7% | 18.3% | 13.0% | 7.2% | 8.0% | 11.3% | 14.8% | 5.4% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.1% | 0.1% | 0.1% | 0.1% | 3.9% | 0.1% | 0.1% | 0.2% |
| Total Shareholder Yield | 3.1% | 5.2% | 5.3% | 8.8% | 12.6% | 4.9% | 6.2% | 12.3% | 4.5% | 3.6% | 6.3% |
| Shares Outstanding | — | $2.5B | $2.5B | $2.5B | $2.5B | $2.5B | $2.5B | $2.6B | $2.7B | $2.7B | $2.7B |
Chinese industrial demand volatility
According to current market data, BHP trades at a trailing P/E of 22.76, which appears elevated relative to its historical averages and suggests that investors are pricing in a recovery in commodity demand that may not materialize given the current 7.90% revenue decline reported in recent filings.
The forward P/E of 15.78 indicates that the market expects a significant earnings rebound, yet this valuation assumes a level of price stability in iron ore that remains highly sensitive to Chinese steel production. Investors should monitor whether this premium valuation is justified by the company's pivot to copper or if it reflects an over-optimistic outlook on long-term commodity pricing.
Based on reported figures, BHP's ROIC has trended from a peak of 26.4% in 2022Q4 down to 13.0% in 2026Q2, indicating that the company's ability to compound returns on invested capital is currently being challenged by rising capital intensity and the ongoing integration of new, non-producing assets.
The decline in ROIC suggests that the capital deployed into large-scale projects like Jansen is not yet generating returns commensurate with the company's historical performance. This trend warrants further investigation into whether the current capital allocation strategy will successfully offset the natural depletion of higher-grade ore bodies.
As reported in financial statements, the company's cash conversion cycle has fluctuated significantly, reaching 66 days in 2026Q2, a trend that highlights the inherent difficulty in managing inventory and receivables across a global, multi-commodity supply chain subject to frequent logistical and trade-related disruptions.
The erratic nature of the CCC, driven by volatile inventory days, suggests that operational efficiency is frequently masked by timing differences in shipments and port logistics. Analysts should look past these quarterly swings to determine if the underlying management of trade receivables is deteriorating as global trade conditions tighten.
Based on recent balance sheet data, BHP maintains a debt-to-equity ratio of 0.57, which, while rising from 0.32 in 2023Q2, remains well within the bounds of a fortress balance sheet that provides the company with significant capacity to fund its long-term growth initiatives without external financing.
The interest coverage ratio of 28.26 in 2026Q2 confirms that debt service remains comfortable despite the recent increase in total debt. This financial cushion is critical for navigating the cyclical downturns inherent in the mining sector, allowing the company to maintain its dividend policy even when operating cash flows are under pressure.
The P/E ratio is frequently misapplied to BHP, as it fails to account for the massive non-cash depreciation and impairment charges that distort net income, making EV/EBITDA a far more reliable metric for assessing the true operational cash-generative capacity of this capital-intensive business model.
Relying on P/E ignores the significant impact of accounting provisions for mine rehabilitation and asset write-downs, which do not reflect the actual cash flow available to shareholders. Investors should prioritize EV/EBITDA and free cash flow yields to better understand the company's ability to fund its capital-intensive growth projects.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying BHP stock.
BHP Group Limited's current P/E ratio is 22.5x. The historical average is 13.3x. This places it at the 89th percentile of its historical range.
BHP Group Limited's current EV/EBITDA is 8.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.0x.
BHP Group Limited's return on equity (ROE) is 17.8%. The historical average is 17.8%.
Based on historical data, BHP Group Limited is trading at a P/E of 22.5x. This is at the 89th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
BHP Group Limited's current dividend yield is 3.13% with a payout ratio of 70.9%.
BHP Group Limited has 82.2% gross margin and 38.0% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
BHP Group Limited's Debt/EBITDA ratio is 1.0x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.