BHP GroupCHIX:BHPL -4.07%82 ROE % is 23.50% as of Dec. 2025, which is 32% above its 10-year median of 17.82. 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. Among 2,389 Metals & Mining companies, BHP Group ranks better than 89.58% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. BHP Group's annualized net income for the quarter that ended in Dec. 2025 was £8,426 Mil. BHP Group's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was £35,862 Mil. Therefore, BHP Group's annualized ROE % for the quarter that ended in Dec. 2025 was 23.50%.
The historical rank and industry rank for BHP Group's ROE % or its related term are showing as below:
CHIX:BHPl'
s ROE % Range Over the Past 10 Years
Min: -11.21 Med: 17.82 Max: 69.08
Current: 21.34
During the past 13 years, BHP Group's highest ROE % was 69.08%. The lowest was -11.21%. And the median was 17.82%.
CHIX:BHPl's ROE % is ranked better than 89.58% of 2389
companies
in the Metals & Mining industry
Industry Median: -16.11
vs CHIX:BHPl: 21.34
BHP Group (CHIX:BHPl) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
BHP Group ROE % Related Terms
BHP Group ROE % Historical Data
* Premium members only.
The historical data trend for BHP Group's ROE % 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.
For the Other Industrial Metals & Mining subindustry, BHP Group's ROE %, along with its competitors' market caps and ROE % 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 ROE % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, BHP Group's ROE % distribution charts can be found below:
* The bar in red indicates where BHP Group's ROE % falls into.
* 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is two times the semi-annual (Dec. 2025) net income data.
ROE % is displayed in the 30-year financial page.
BHP Group (CHIX:BHPL) has a ROE % of 23.50% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on BHP Group and its competitors. This is 32% above median its historical median of 17.82. According to the industry distribution chart, BHP Group ranks #249 out of 2389 companies in the Metals & Mining industry, placing it in the top 10.4%.
Is BHP Group's ROE % too high?
BHP Group's current ROE % of 23.50% is 32% above median its 10-year median of 17.82. Based on the distribution chart, BHP Group ranks #249 out of 2389 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 ROE % compare to competitors?
According to the Metals & Mining industry distribution chart, BHP Group ranks #249 out of 2389 companies for ROE %. This places BHP Group in the top 10% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Metals & Mining company?
A good ROE % depends on the Metals & Mining industry context. However, ROE % 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on BHP Group and its competitors. BHP Group's current ROE % is 23.50%, which is 32% above median its own 10-year median of 17.82. 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 ROE % is 23.50%, which is 32% above median its 10-year median of 17.82. 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 ROE % calculated?
ROE % is calculated from a company's financial statements. For BHP Group (CHIX:BHPL), the current ROE % is 23.50% 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:
ROE %: 23.50% (32% above median its 10-year median of 17.82)
GF Value™: £22.92 vs. price of £31.11 (35.7% 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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