How to Buy BHP Group (BHP) Shares
Learn how to become one of the newest shareholders in the biggest mining company in the world.
This article focuses on how to buy specific securities, however, it is not a recommendation to invest in them and should not be taken as financial advice. Do your own research and make your own decisions, or even consider getting advice from a licensed financial adviser before investing.
- BHP Group Limited is by far the biggest mining company in existence.
- Founded in 1851, BHP is active in most resources, actively mining copper, gold, iron ore, uranium, zinc and energy coal to name a few.
- Stake make it as simple as possible to buy BHP Group shares and invest in Australian stocks with a brokerage account.
BHP Group Limited (BHP) is by far the biggest mining company in existence. Iron ore, copper, gold, silver, rare earths, you name it: BHP is likely to be a key player in every metals and mining sector.
How to buy BHP Group (BHP) stock
Want to start buying BHP shares but not sure how? Learn how to buy BHP Group Limited stock on the Stake stock trading platform below.
1. Find a stock trading platform
Find a brokerage firm that offers American and Australian stock exchanges, like Stake, which will probably cover all your needs for a diversified portfolio. Make sure you choose a low cost, CHESS-sponsored broker so that you own the shares under your own HIN. Remember: future returns are uncertain, while costs are fixed. Lowering your costs will always help improve your investment returns.
2. Fund your account
Depending on the platform you chose, available funding methods will differ. The most common one is a bank transfer, but some brokers offer funding through debit/credit cards and other means like Apple and Google Pay. Stake offers instant funding to speed up the process so you don’t miss any trading opportunities. Once your account has been funded, you’re ready to invest in BHP shares.
3. Search for BHP Group Limited or BHP
Enter the stock ticker or company name when searching on the Stake app. Do your own research to ensure it is the right investment product for your own circumstances.
4. Choose an order type and buy BHP stock
Sending a market order will buy the stock at any available price. However, your order might be filled for a higher price than you wished for, due to market impact and other liquidity issues.
If you want to make sure you do not overpay for the shares, you should use a limit order. A limit order will set the price for which you’re willing to buy the shares, and unless the current market price is lower than that, your order will not be executed. Remember, there’s a chance that your order will not be filled and the market could rally higher before you actually manage to get a hold of your shares.
5. Monitor your investment
It’s best not to monitor your portfolio every day, but you shouldn’t sleep on it either. Keep in touch with the latest earnings reports and utilise Stake Black to check price targets set by analysts of the biggest financial institutions to know whether it’s time to buy more BHP shares or if it’s time to close your position.
Gain access to shares like BHP Group and more when you sign up to Stake today.
BHP Group Limited (BHP) overview
One of the longest-standing mining companies in the world, BHP was founded in New South Wales in 1885. More than a century later, it has become the world’s biggest mining company, with over 80,000 employees and operations spreading across 10 different countries: Australia, Canada, Colombia, Trinidad and Tobago, Peru, Chile, Brazil, Algeria, Mexico and the United States.
Though most of its revenue comes from iron ore mining, the company also produces a significant amount of copper, coal, nickel and potash, with other commodities playing a smaller role in the company’s focus and revenue. For FY22, BHP’s revenues were over US$65.4b, with gross profits hitting over AUD$54.7b.
Mining is not a sector usually considered to be ESG-friendly, however, BHP is trying to change this. They are focused on reducing carbon emissions, investing in the Great Barrier Reef recovery and working alongside indigenous populations in the countries it operates.
BHP Group Limited share performance
Since it’s IPO on the ASX in 1990, the BHP share price has risen over 5,700%, which means that AUD$100 invested in it would have become over AUD$5,700 by now. It began trading at AUD$0.70 and its all-time-high was hit recently, in November 2022, at AUD$45.79. Its current market cap sits north of US$227b, and its biggest drawdown lasted over 12 years, from October 2007 to December 2019, when it reached new all-time highs once again.
BHP Group stock P/E ratio
BHP Non-GAAP forward P/E ratio is currently 11.97. Its 5 year average is 13.12.
BHP Group stock EBITDA
BHP’s EBITDA in Q2 2022 was US$37.6b.
Does BHP Group Limited shares pay dividends?
Yes. Since 2000 BHP has regularly paid dividends twice every year. In September 2022, BHP paid US$3.50 per share, totalling US$6.50 in the total amount paid over the year.
Has BHP Group Limited (BHP) ever had a stock split?
BHP has gone through three stock splits: one in 1996, another in 2001 and the last one in June 2022.
BHP Group Limited FAQs
Who is the major shareholder of BHP shares?
BHP has no major shareholder, which means that no single person or entity controls over 50% of the company. Only two shareholders have more than 1% of the shares, which are Vanguard and BlackRock, two of the biggest ETF providers in the world.
How many BHP Group Limited shares are there?
There are around 5.06b limited outstanding shares of $BHP.