7 Best ASX Stocks To Invest In Right Now

2. BHP Group (NYSE:BHP)

Number of Hedge Fund Investors in Q2 2024: 22  

BHP Group (NYSE:BHP) is a leader in mining, metals, and petroleum. Its operations span multiple sectors, including iron ore, copper, coal, and oil.

For the year ending June 30, BHP Group (NYSE:BHP) hit several production records, including record copper output at the Spence mine and robust iron ore production. Copper production rose by 9% year-over-year, with an EBITDA margin of 51%, while iron ore production reached 259.7 Mt. Additionally, BHP Group’s (NYSE:BHP) potash projects are also progressing well, with Jansen Stage 1 ahead of schedule at 52% completion, and Jansen Stage 2 in its early phase at 2% completion. For 2025, BHP expects a further 4% increase in copper production.

On August 30, BHP Group (NYSE:BHP) announced plans to expand its smelter and refinery operations at Olympic Dam in South Australia. BHP Group (NYSE:BHP) aims to boost copper production in South Australia from 322,000 tonnes last year to 500,000 tonnes of refined copper cathode by the early 2030s, with potential growth to 650,000 tonnes by the mid-2030s. Furthermore, BHP Group (NYSE:BHP) has declared an Inferred Mineral Resource at Oak Dam, estimated at 1.34 billion tonnes with a copper grade of 0.66% and a gold grade of 0.33 grams per tonne. This includes a section with 220 million tonnes at 1.96% copper and 0.68 grams per tonne of gold.

The World Bank projects copper prices to rise by 4% next year, and Forbes estimates copper demand will increase by 75% by 2050. The company’s valuation is also appealing, as the stock is currently trading at 10.33 times earnings, a 34.87% discount compared to the sector median of 15.86. Analysts have a consensus Buy rating on the stock, with an average price target of $61.38 which indicates a potential a 13% upside from current levels. As of the second quarter, BHP Group’s (NYSE:BHP) stock is held by 22 hedge funds, with a total stake valued at $1.25 billion. Fisher Asset Management is the largest shareholder in the company and owns shares worth $1.21 billion as of June 30.