Bhp Billiton Stock Buy Hold or Sell Recommendation

BHP -  USA Stock  

USD 65.20  1.73  2.73%

Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Bhp Billiton is 'Strong Hold'. Macroaxis provides Bhp Billiton buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding BHP positions. The advice algorithm takes into account all of Bhp Billiton's available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from Bhp Billiton's buy-and-hold perspective. Continue to Bhp Billiton Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Bhp Billiton and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Bhp Billiton.

Execute Bhp Billiton Buy or Sell Advice

The Bhp Billiton recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Bhp Billiton. Macroaxis does not own or have any residual interests in Bhp Billiton or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Bhp Billiton's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Bhp BillitonBuy Bhp Billiton
Strong Hold

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

OvervaluedDetails

Odds of Distress

LowDetails

Economic Sensitivity

Almost mirrors the marketDetails

Analyst Consensus

HoldDetails

Financial Strenth (F Score)

FrailDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Bhp Billiton has a Risk Adjusted Performance of (0.01991), Jensen Alpha of 0.0774, Total Risk Alpha of 0.2097 and Treynor Ratio of (0.06)
Macroaxis provides unbiased investment recommendation on Bhp Billiton that should be used to complement current analysts and expert consensus on Bhp Billiton. Our trade advice engine determines the company's potential to grow exclusively from the perspective of an investors' current risk tolerance and investing horizon. To make sure Bhp Billiton is not overpriced, please confirm all Bhp Billiton fundamentals, including its price to book, total debt, beta, as well as the relationship between the ebitda and cash flow from operations . Given that Bhp Billiton has a price to earning of 14.07 X, we suggest you to validate Bhp Billiton market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Bhp Billiton Trading Alerts and Improvement Suggestions

Bhp Billiton generated a negative expected return over the last 90 days
Bhp Billiton was previously known as BHP Group PlcSponsored and was traded on NYQ Exchange under the symbol BBL.
Bhp Billiton has a frail financial position based on the latest SEC disclosures
Latest headline from uk.investing.com: Peering Into Activision Blizzards Recent Short Interest By Benzinga - Investing.com UK

Bhp Billiton current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Bhp Billiton analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Bhp Billiton analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price59.90
Target Median Price59.90
Target High Price60.80
Recommendation Mean1.70
Number Of Analyst Opinions2
Target Low Price59.00
Average Consensus Hold
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Bhp Billiton Returns Distribution Density

The distribution of Bhp Billiton's historical returns is an attempt to chart the future uncertainty of Bhp Billiton's future price movements. The chart of the probability distribution of Bhp Billiton stock daily returns describes the distribution of returns around its average expected value. We use Bhp Billiton price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Bhp Billiton returns is essential to provide solid investment advice for Bhp Billiton stock.
Mean Return-0.05Value At Risk-4.86
Potential Upside4.13Standard Deviation2.51
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Bhp Billiton historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Bhp Billiton Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(5.12 B)(6.46 B)(6.86 B)(5.51 B)(6.34 B)(6.84 B)
Depreciation Amortization and Accretion6.29 B5.83 B6.11 B5.08 B4.58 B5.09 B
Net Cash Flow or Change in Cash and Cash Equivalents1.65 B(10.48 B)(1.66 B)1.47 B1.69 B1.82 B
Issuance Repayment of Debt Securities(3.88 B)(2.51 B)(1.69 B)(7.62 B)(6.86 B)(7.04 B)
Payment of Dividends and Other Cash Distributions(5.22 B)(11.39 B)(6.88 B)(7.9 B)(7.11 B)(7.67 B)
Net Cash Flow from Financing(10.89 B)(20.53 B)(9.75 B)(17.92 B)(16.13 B)(16.55 B)
Net Cash Flow from Investing(5.92 B)2.61 B(7.62 B)(7.84 B)(9.02 B)(9.73 B)
Net Cash Flow Investment Acquisitions and Disposals204 M(630 M)(618 M)(553 M)(497.7 M)(510.8 M)
Net Cash Flow from Operations18.46 B17.87 B15.71 B27.23 B24.51 B21.58 B
Effect of Exchange Rate Changes on Cash56 M(170 M)(505 M)353 M317.7 M342.78 M

Bhp Billiton Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Bhp Billiton or Basic Materials sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Bhp Billiton stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Bhp Billiton stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.08
β
Beta against DOW0.99
σ
Overall volatility
2.56
Ir
Information ratio 0.0316

Bhp Billiton Volatility Alert

Bhp Billiton exhibits very low volatility with skewness of -0.39 and kurtosis of 0.55. However, we advise investors to further study Bhp Billiton technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Bhp Billiton's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Bhp Billiton's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Bhp Billiton Implied Volatility

Bhp Billiton's implied volatility exposes the market's sentiment of Bhp Billiton stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Bhp Billiton's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Bhp Billiton stock will not fluctuate a lot when Bhp Billiton's options are near their expiration.

Bhp Billiton Fundamentals Vs Peers

Comparing Bhp Billiton's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Bhp Billiton's direct or indirect competition across all of the common fundamentals between Bhp Billiton and the related equities. This way, we can detect undervalued stocks with similar characteristics as Bhp Billiton or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Bhp Billiton's fundamental indicators could also be used in its relative valuation, which is a method of valuing Bhp Billiton by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Bhp Billiton to competition
FundamentalsBhp BillitonPeer Average
Return On Equity24.96 %(0.31) %
Return On Asset17.39 %(0.14) %
Profit Margin18.46 %(1.27) %
Operating Margin58.75 %(5.51) %
Current Valuation176.31 B16.62 B
Shares Outstanding2.53 B571.82 M
Shares Owned by Institutions4.06 %39.21 %
Number of Shares Shorted32.73 M4.71 M
Price to Earning14.07 X28.72 X
Price to Book3.10 X9.51 X
Price to Sales2.59 X11.42 X
Revenue61.23 B9.43 B
Gross Profit54.01 B27.38 B
EBITDA35.97 B3.9 B
Net Income11.3 B570.98 M
Cash and Equivalents15.27 B2.7 B
Cash per Share6.04 X5.01 X
Total Debt21.57 B5.32 B
Debt to Equity0.39 %48.70 %
Current Ratio1.63 X2.16 X
Book Value Per Share20.27 X1.93 K
Cash Flow from Operations27.23 B971.22 M
Short Ratio9.71 X4.00 X
Earnings Per Share4.46 X3.12 X
Number of Employees40.11 K18.84 K
Beta0.77-0.15
Market Capitalization158.88 B19.03 B
Total Asset118.95 B29.47 B
Retained Earnings57.21 B9.33 B
Working Capital5.37 B1.48 B
Current Asset17.71 B9.34 B
Current Liabilities12.34 B7.9 B
Z Score4.28.72

Bhp Billiton Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Bhp Billiton . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution648.9
Daily Balance Of Power7.521739
Rate Of Daily Change1.03
Day Median Price65.27
Day Typical Price65.24
Market Facilitation Index0.0
Price Action Indicator0.8

About Bhp Billiton Buy or Sell Advice

When is the right time to buy or sell Bhp Billiton? Buying financial instruments such as Bhp Billiton Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Bhp Billiton investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Current Assets21.47 B26.69 B30.7 B29.25 B
Total Assets105.73 B108.93 B98.03 B101.77 B

Use Investing Ideas to Build Portfolios

In addition to having Bhp Billiton in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Run Basic Utilities Thematic Idea Now

Basic Utilities
Basic Utilities Theme
Companies involved in production and distribution of electric, gas, water, and other energy utilities. The Basic Utilities theme has 30 constituents.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Basic Utilities Theme or any other thematic opportunities.
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Continue to Bhp Billiton Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Bhp Billiton information on this page should be used as a complementary analysis to other Bhp Billiton's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try CEO Directory module to screen CEOs from public companies around the world.

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Is Bhp Billiton's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Bhp Billiton. If investors know Bhp Billiton will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Bhp Billiton listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Bhp Billiton is measured differently than its book value, which is the value of Bhp Billiton that is recorded on the company's balance sheet. Investors also form their own opinion of Bhp Billiton's value that differs from its market value or its book value, called intrinsic value, which is Bhp Billiton's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Bhp Billiton's market value can be influenced by many factors that don't directly affect Bhp Billiton's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Bhp Billiton's value and its price as these two are different measures arrived at by different means. Investors typically determine Bhp Billiton value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Bhp Billiton's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.