BHP: Oddo BHF remains neutral after H2 results
(CercleFinance.com) - Oddo BHF confirms its 'neutral' rating on BHP shares, along with its target price of 2,400 pence, following the Anglo-Australian mining group's publication of slightly better-than-expected H2 results (period ended June).
According to the broker, the slight improvement in underlying EBITDA reflects higher raw material prices (mainly copper) and better exchange rates, offsetting slightly lower volumes and higher controllable costs.
While acknowledging that BHP suffers from its dependence on China, Oddo BHF considers this to be increasingly offset by growth in copper. It adds that it appreciates the group's well-balanced profile, although considers the stock fully valued, trading at 6x EBITDA.
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The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
According to the broker, the slight improvement in underlying EBITDA reflects higher raw material prices (mainly copper) and better exchange rates, offsetting slightly lower volumes and higher controllable costs.
While acknowledging that BHP suffers from its dependence on China, Oddo BHF considers this to be increasingly offset by growth in copper. It adds that it appreciates the group's well-balanced profile, although considers the stock fully valued, trading at 6x EBITDA.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.