BHP Group (CHIX:BHPL) ROCE %: 26.16% (As of Dec. 2025)


CHIX:BHPL BHP Group Ltd CHIX:BHPL
82 GF Score
Price £31.11
GF Value £22.92
Valuation Significantly Overvalued
! 7 Warning Signs
View Full Analysis

What is BHP Group ROCE %?

BHP Group CHIX:BHPL -4.07% 82 ROCE % is 26.16% as of Dec. 2025. GuruFocus rates CHIX:BHPL with a GF Score™ of 82/100 and a GF Value™ of £22.92 (Significantly Overvalued). The stock has 7 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. BHP Group's annualized ROCE % for the quarter that ended in Dec. 2025 was 26.16%.

BHP Group  (CHIX:BHPl) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

BHP Group ROCE % Related Terms

BHP Group ROCE % Historical Data

* Premium members only.

The historical data trend for BHP Group's ROCE % 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 ROCE % Chart

BHP Group Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.87 42.99 28.99 21.33 21.62

BHP Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.17 30.33 21.81 22.62 26.16
CHIX:BHPL
82GF Score
BHP Group Ltd CHIX:BHPL
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

BHP Group ROCE % Calculation

BHP Group's annualized ROCE % for the fiscal year that ended in Jun. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=14907.299/( ( (80456.532 - 11236.656) + (80178.23 - 11525.943) )/ 2 )
=14907.299/( (69219.876+68652.287)/ 2 )
=14907.299/68936.0815
=21.62 %

BHP Group's ROCE % of for the quarter that ended in Dec. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=18778.086/( ( (80178.23 - 11525.943) + (86660.964 - 11747.322) )/ 2 )
=18778.086/( ( 68652.287 + 74913.642 )/ 2 )
=18778.086/71782.9645
=26.16 %

(1) 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 26.16% mean?
BHP Group (CHIX:BHPL) has a ROCE % of 26.16% as of Dec. 2025.
Is BHP Group's ROCE % too high?
BHP Group's current ROCE % is 26.16%. 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 ROCE % compare to competitors?
BHP Group's ROCE % of 26.16% can be compared against companies in the Metals & Mining industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Metals & Mining company?
A good ROCE % depends on the Metals & Mining industry context. However, ROCE % 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. BHP Group's current ROCE % is 26.16%. 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 £22.92, compared to a current price of £31.11 — trading 35.7% above its estimated fair value. The current ROCE % is 26.16%. 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 ROCE % calculated?
ROCE % is calculated from a company's financial statements. For BHP Group (CHIX:BHPL), the current ROCE % is 26.16% 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 £31.11 is trading 35.7% above its estimated GF Value™ of £22.92. GuruFocus considers BHP Group to be Significantly Overvalued.

Key valuation signals for CHIX:BHPL:

  • ROCE %: 26.16%
  • GF Value™: £22.92 vs. price of £31.11 (35.7% above fair value)
  • GF Score™: 82/100 with 7 warning signs

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 Group Business Description

Address 171 Collins Street, Level 18, Melbourne, VIC, AUS, 3000
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

Get the complete analysis for CHIX:BHPL

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£31.11
Price
£22.92
GF Value