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BHP vs DRD

BHP
BHP Group Limited
NEUTRAL
Price
$67.52
Market Cap
$173.45B
Sector
Basic Materials
AI Confidence
72%
DRD
DRDGOLD Limited
BULLISH
Price
$29.13
Market Cap
$2.53B
Sector
Basic Materials
AI Confidence
85%

Valuation

P/E Ratio
BHP
19.07
DRD
18.55
Forward P/E
BHP
15.45
DRD
42.84
P/B Ratio
BHP
7.19
DRD
3.87
P/S Ratio
BHP
3.38
DRD
0.28
EV/EBITDA
BHP
15.39
DRD
5.24

Profitability

Gross Margin
BHP
82.21%
DRD
46.89%
Operating Margin
BHP
37.7%
DRD
46.29%
Profit Margin
BHP
17.59%
DRD
35.06%
ROE
BHP
21.99%
DRD
34.71%
ROA
BHP
11.02%
DRD
19.96%

Growth

Revenue Growth
BHP
-8.2%
DRD
32.9%
Earnings Growth
BHP
-34.0%
DRD
97.9%

Financial Health

Debt/Equity
BHP
0.49
DRD
0.0
Current Ratio
BHP
1.46
DRD
3.01
Quick Ratio
BHP
1.06
DRD
2.49

Dividends

Dividend Yield
BHP
3.26%
DRD
2.03%
Payout Ratio
BHP
69.9%
DRD
19.27%

AI Verdict

BHP NEUTRAL

BHP's Piotroski F-Score of 6/9 indicates stable financial health, but the absence of an Altman Z-Score limits distress risk assessment. The stock trades significantly above its Graham Number of $27.35 and intrinsic value of $24.78, reflecting a substantial premium. Despite strong profitability metrics like 37.7% operating margin and 21.99% ROE, earnings and revenue growth are sharply negative year-over-year. Analysts consensus is a hold with a $57.00 target, below current price, suggesting limited upside.

Strengths
High operating margin of 37.70% indicates strong cost control and pricing power
ROE of 21.99% exceeds sector average significantly, signaling efficient equity use
Debt/Equity of 0.49 is below sector average of 0.63, indicating conservative leverage
Risks
Revenue growth down 8.20% YoY and earnings down 34.00%, indicating deteriorating fundamentals
P/E of 19.07 is high relative to earnings contraction, increasing valuation risk
Price/Book of 7.19 is extremely elevated, suggesting overvaluation relative to book value
DRD BULLISH

DRD exhibits exceptional fundamental health, highlighted by a strong Piotroski F-Score of 8/9 and a pristine balance sheet with zero debt. While the stock trades at a premium to its Graham Number ($16.31), it remains significantly undervalued relative to its intrinsic value ($46.32) and analyst target price ($46.50). High profitability margins and an impressive ROE of 34.71% suggest a highly efficient operation. Despite a bearish technical trend and weak insider sentiment, the underlying financial strength and growth trajectory provide a compelling bullish case.

Strengths
Exceptional financial health with 0.00 Debt/Equity ratio
Strong Piotroski F-Score (8/9) indicating high operational efficiency
High profitability with an Operating Margin of 46.29% and ROE of 34.71%
Risks
Bearish technical trend (0/100) suggesting short-term price pressure
Forward P/E (42.84) is significantly higher than current P/E (18.55), suggesting a projected earnings decline
Low insider sentiment (40/100) may indicate internal caution

Compare Another Pair

BHP vs DRD: Head-to-Head Comparison

This page compares BHP Group Limited (BHP) and DRDGOLD Limited (DRD) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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