BHP Group Limited (BHP)vsRoyal Gold Inc (RGLD)
BHP
BHP Group Limited
$79.30
+2.91%
BASIC MATERIALS · Cap: $201.45B
RGLD
Royal Gold Inc
$231.02
-2.49%
BASIC MATERIALS · Cap: $19.60B
Smart Verdict
WallStSmart Research — data-driven comparison
BHP Group Limited generates 5183% more annual revenue ($53.99B vs $1.02B). RGLD leads profitability with a 45.6% profit margin vs 19.0%. RGLD appears more attractively valued with a PEG of 1.06. RGLD earns a higher WallStSmart Score of 65/100 (B-).
BHP
Buy65
out of 100
Grade: C+
RGLD
Strong Buy65
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-84.5%
Fair Value
$43.18
Current Price
$79.30
$36.12 premium
Margin of Safety
+27.0%
Fair Value
$390.60
Current Price
$231.02
$159.58 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 40.7%
Every $100 of equity generates 25 in profit
Earnings expanding 27.5% YoY
Generating 4.3B in free cash flow
Keeps 46 of every $100 in revenue as profit
Strong operational efficiency at 60.2%
Revenue surging 86.1% year-over-year
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 28.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : BHP
The strongest argument for BHP centers on Market Cap, Operating Margin, Return on Equity. Profitability is solid with margins at 19.0% and operating margin at 40.7%. Revenue growth of 10.8% demonstrates continued momentum.
Bull Case : RGLD
The strongest argument for RGLD centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 45.6% and operating margin at 60.2%. Revenue growth of 86.1% demonstrates continued momentum.
Bear Case : BHP
The primary concerns for BHP are PEG Ratio.
Bear Case : RGLD
The primary concerns for RGLD are P/E Ratio, EPS Growth.
Key Dynamics to Monitor
BHP profiles as a mature stock while RGLD is a growth play — different risk/reward profiles.
BHP carries more volatility with a beta of 0.80 — expect wider price swings.
RGLD is growing revenue faster at 86.1% — sustainability is the question.
BHP generates stronger free cash flow (4.3B), providing more financial flexibility.
Bottom Line
BHP scores higher overall (65/100 vs 65/100), backed by strong 19.0% margins and 10.8% revenue growth. RGLD offers better value entry with a 27.0% margin of safety. Both earn "Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
BHP Group Limited
BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA
BHP Group engages in the natural resources business in Australia, Europe, China, Japan, India, South Korea, the rest of Asia, North America, South America and internationally. The company is headquartered in Melbourne, Australia.
Royal Gold Inc
BASIC MATERIALS · GOLD · USA
Royal Gold, Inc., acquires and manages precious metal flows, royalties and related interests. The company is headquartered in Denver, Colorado.
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