In our “HOT” stock column today, Head of Asian Desk at Morgans Financial Limited, Raymond Chan, explains why Morgans maintains its “ACCUMULATE” rating for BHP.
“BHP Group production report was the focal point of the market,” Raymond said.
“BHP didn’t disappoint by delivering a solid fourth-quarter result, meeting or exceeding full-year production guidance across all major divisions, with copper being the standout performer, thanks to strong output at Escondida and Pampa Norte.
“Iron ore, metallurgical coal, and thermal coal also met or slightly beat expectations, reinforcing confidence in BHP’s cash flow ahead of its August results.
“While the Jansen potash project saw a significant cost overrun and timeline delay, this was offset by steady FY26 guidance and flat capex expectations, suggesting reallocation of resources.
“Despite the Jansen setback, the company’s strong operational performance and positive cash flow outlook support the maintained “ACCUMULATE” rating,” Raymond said.
