BHP GroupCHIX:BHPL +2.28%82 ROC (Joel Greenblatt) % is 32.38% as of Dec. 2025, which is 30% above its 10-year median of 24.85. GuruFocus rates CHIX:BHPL with a GF Score™ of 82/100 and a GF Value™ of £23.07 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,502 Metals & Mining companies, BHP Group ranks better than 90.57% on this metric.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. BHP Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 32.38%.
The historical rank and industry rank for BHP Group's ROC (Joel Greenblatt) % or its related term are showing as below:
CHIX:BHPl'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 3.38 Med: 24.85 Max: 53.09
Current: 29.95
During the past 13 years, BHP Group's highest ROC (Joel Greenblatt) % was 53.09%. The lowest was 3.38%. And the median was 24.85%.
CHIX:BHPl's ROC (Joel Greenblatt) % is ranked better than 90.57% of 2502
companies
in the Metals & Mining industry
Industry Median: -22.105
vs CHIX:BHPl: 29.95
BHP Group's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 1.30% per year.
BHP Group (CHIX:BHPl) ROC (Joel Greenblatt) % Explanation
The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.
The historical data trend for BHP Group's ROC (Joel Greenblatt) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
BHP Group ROC (Joel Greenblatt) % Competitor Comparison
For the Other Industrial Metals & Mining subindustry, BHP Group's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
BHP Group ROC (Joel Greenblatt) % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, BHP Group's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where BHP Group's ROC (Joel Greenblatt) % falls into.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:
EBIT stands for Earnings Before Interest and Taxes.
Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.
GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.
Note:
The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
What does a ROC (Joel Greenblatt) % of 32.38% mean?
BHP Group (CHIX:BHPL) has a ROC (Joel Greenblatt) % of 32.38% as of Dec. 2025. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on BHP Group and its competitors. This is 30% above median its historical median of 24.85. Over the past decade, BHP Group's ROC (Joel Greenblatt) % has ranged from 3.38 to 53.09. According to the industry distribution chart, BHP Group ranks #236 out of 2502 companies in the Metals & Mining industry, placing it in the top 9.4%.
Is BHP Group's ROC (Joel Greenblatt) % too high?
BHP Group's current ROC (Joel Greenblatt) % of 32.38% is 30% above median its 10-year median of 24.85. Over the past 10 years, this metric has ranged from a low of 3.38 to a high of 53.09. Based on the distribution chart, BHP Group ranks #236 out of 2502 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, BHP Group has a GF Score™ of 82/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does BHP Group's ROC (Joel Greenblatt) % compare to competitors?
According to the Metals & Mining industry distribution chart, BHP Group ranks #236 out of 2502 companies for ROC (Joel Greenblatt) %. This places BHP Group in the top 9% of its industry — outperforming the majority of peers. Historically, BHP Group's own ROC (Joel Greenblatt) % has ranged from 3.38 to 53.09 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC (Joel Greenblatt) % for a Metals & Mining company?
A good ROC (Joel Greenblatt) % depends on the Metals & Mining industry context. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on BHP Group and its competitors. BHP Group's current ROC (Joel Greenblatt) % is 32.38%, which is 30% above median its own 10-year median of 24.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BHP Group stock overvalued right now?
Based on GuruFocus' analysis, BHP Group (CHIX:BHPL) is currently considered Significantly Overvalued. The stock's GF Value™ is £23.07, compared to a current price of £30.50 — trading 32.2% above its estimated fair value. The current ROC (Joel Greenblatt) % is 32.38%, which is 30% above median its 10-year median of 24.85. BHP Group's overall GF Score™ is 82/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For BHP Group (CHIX:BHPL), the current ROC (Joel Greenblatt) % is 32.38% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is BHP Group (CHIX:BHPL) Overvalued in 2026?
Based on GuruFocus' analysis, BHP Group stock appears to be overvalued.
The current stock price of £30.50 is trading 32.2% above its estimated GF Value™ of £23.07.
GuruFocus considers BHP Group to be Significantly Overvalued.
Key valuation signals for CHIX:BHPL:
ROC (Joel Greenblatt) %: 32.38% (30% above median its 10-year median of 24.85)
GF Value™: £23.07 vs. price of £30.50 (32.2% above fair value)
No single metric tells the full story. See the CHIX:BHPL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BHP is a global diversified miner mainly supplying iron ore and copper. The merger of BHP Limited and Billiton PLC created the present-day BHP Group. The dual-listed structure from the 2001 BHP and Billiton merger was collapsed in 2022. Major assets include Pilbara iron ore and Escondida copper. Onshore US oil and gas assets were sold in 2018, and the remaining Petroleum assets were spun off and merged with Woodside in 2022, with BHP vesting the Woodside shares it received to BHP shareholders. It purchased copper miner Oz Minerals in fiscal 2023 and half of the Vicuna copper joint venture in fiscal 2025. It is entering the potash market through the development of its Jansen project in Canada. However, due to low prices, BHP placed its nickel business on care and maintenance in 2024.
82GF Score
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