• 3 reasons to buy BHP shares for 2027

    A man and woman sit next to each other looking at each other and feeling excited and surprised after reading good news about their shares on a laptop.

    BHP Group Ltd (ASX: BHP) is one of the ASX shares I would be happy to own heading into 2027.

    The mining giant already has a collection of large, high-quality assets, but I think there are also some interesting growth opportunities ahead.

    Here are three reasons I would buy BHP shares.

    Copper could become increasingly important

    Copper is probably the part of BHP I am most interested in over the next decade.

    The metal is needed across electricity networks, renewable energy, electric vehicles, data centres, and a wide range of other infrastructure.

    At the same time, bringing major new copper mines into production can take many years.

    That puts established producers such as BHP in a strong position.

    The company already has significant copper operations and the expertise to invest further as demand grows. I think that could make copper a much bigger contributor to BHP over time.

    Commodity prices will always move around, but I like owning an established producer rather than trying to guess which early-stage copper project might eventually succeed.

    BHP is still investing for the future

    I also like that BHP is not relying solely on its existing mines.

    The company continues to put capital into projects that could support production for decades.

    Its Jansen potash development in Canada is one example. Potash is used in fertiliser, giving BHP exposure to a market driven by global food production rather than the same forces that influence iron ore or copper.

    For me, this is an interesting addition to the portfolio.

    BHP already has enormous exposure to metals and minerals used in construction and industrial activity. Building a meaningful potash business could give it another source of earnings over the long term.

    Major projects come with execution risks and require substantial investment before they begin generating returns.

    But BHP has the financial strength to pursue opportunities of this scale, which is one of the reasons I am comfortable taking a long-term view.

    Scale gives BHP plenty of options

    The final reason is BHP’s existing strength.

    Its large iron ore operations can generate substantial cash flow when market conditions are supportive, while the company also has exposure to copper and other commodities.

    That cash gives management choices.

    BHP can reinvest in existing assets, develop new projects, pursue acquisitions when opportunities arise, strengthen the balance sheet, or return money to shareholders.

    I think that flexibility is particularly valuable in mining, where commodity cycles can create opportunities for companies with the financial capacity to keep investing when conditions become more difficult.

    There will still be weaker periods for commodity prices, and BHP’s earnings and dividends will move around with them.

    But I think its scale puts the company in a strong position to keep building the business through those cycles.

    Foolish takeaway

    BHP is the type of share I would be comfortable buying heading into 2027 and then leaving alone for years.

    I like the growing copper opportunity, investment in new areas such as potash, and the financial strength of the existing business.

    There will inevitably be ups and downs along the way, but I think BHP has plenty of ways to be a bigger and stronger company a decade from now.

    The post 3 reasons to buy BHP shares for 2027 appeared first on The Motley Fool Australia.

    Should you invest $1,000 in BHP Group right now?

    Before you buy BHP Group shares, consider this:

    Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and BHP Group wasn’t one of them.

    The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    And right now, Scott thinks there are 5 stocks that may be better buys…

    * Returns as of 1 August 2026

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    Motley Fool contributor Grace Alvino has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

  • Capstone Copper shares take off on $542 million divestment news

    Two workers working with a large copper coil in a factory.

    Capstone Copper Corp (ASX: CSC) shares are marching higher today.

    Shares in the S&P/ASX 200 Index (ASX: XJO) copper stock closed yesterday trading for $14.55. In morning trade on Tuesday, shares are changing hands for $14.78 apiece, up 1.6%.

    For some context, the ASX 200 is up 0.4% at this same time.

    Here’s what’s catching investor interest today.

    Capstone Copper shares lift on asset sale

    Capstone Copper shares are lifting after the miner announced that it has entered into a definitive agreement to sell its Cozamin copper-silver zinc-lead mine, located in Mexico.

    Capstone said that Luca Mining Corp will pay up to US$385 million (AU$542.3 million) in total consideration for the mine.

    The ASX 200 copper stock noted that figure is comprised of:

    • US$275 million in upfront cash, subject to customary closing adjustments
    • US$15 million in Luca shares, to be issued to Capstone at closing
    • US$35 million in deferred consideration, to be received on the first anniversary of closing
    • And up to US$60 million in contingent cash consideration tied to annual average copper prices

    Capstone said it will use the fund to strengthen its balance sheet and as well as support its growth pipeline.

    What did management say?

    Commenting on the $542 million divestment helping boost Capstone Copper shares today, president and CEO Cashel Meagher said, “Cozamin has been an important part of our portfolio, providing stability and strong cash flows as Capstone has matured into a diversified copper producer.”

    Meagher added:

    The transaction optimises our portfolio and further strengthens our balance sheet, enabling us to redeploy capital into our high-return growth projects and allowing leadership to focus on the opportunities we believe will create the most value for our shareholders. It is an ideal time to streamline our portfolio through this divestiture as we advance towards transformational copper growth in Chile and the United States.

    We are also pleased to retain exposure to the exploration upside at Cozamin, through our shareholding in Luca, following completion of the Transaction. Given the strong operational track record of the Luca team in Mexico, we believe they will be excellent stewards of the mine and are well placed to unlock its full potential.

    What’s happening with the copper price?

    Capstone Copper shares have surged 33.5% since this time last year, supported in part by soaring global copper prices.

    The red metal is back near all-time highs today, trading for US$14,661 per tonne. That sees the copper price up a whopping 47% in 12 months, spurred by spiking demand from data centres, EVs and the ongoing energy transition.

    The post Capstone Copper shares take off on $542 million divestment news appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Capstone Copper right now?

    Before you buy Capstone Copper shares, consider this:

    Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Capstone Copper wasn’t one of them.

    The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    And right now, Scott thinks there are 5 stocks that may be better buys…

    * Returns as of 1 August 2026

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    Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

  • Could the WiseTech share price reach $50 in 2027?

    Couple using their digital tablet together.

    WiseTech Global Ltd (ASX: WTC) shares have fallen a long way from their previous highs.

    The logistics software company is trading around $31.77 on Tuesday, leaving the WiseTech share price well below where it has traded in recent years.

    Could it recover to $50 in 2027?

    The earnings outlook is interesting

    At first glance, a move from $31.77 to $50 looks ambitious. It would require the WiseTech share price to rise around 57%.

    But I think the earnings outlook could be supportive of a major re-rating that underpins a large rise.

    Consensus forecasts point to earnings per share of $1.42 in FY27, followed by $1.88 in FY28 and $2.28 in FY29.

    At today’s price, WiseTech is trading on a PE ratio of around 22 times forecast FY27 earnings. That falls to roughly 17 times FY28 earnings and only 14 times FY29 earnings.

    For a global technology business expected to grow earnings at that sort of rate, those multiples look quite low to me.

    In fact, I think the current valuation suggests the market is not fully convinced WiseTech will deliver those forecasts.

    That is understandable. Forecasts can change, and investors have good reason to wait for evidence that the expected earnings growth is actually coming through.

    But it also creates an opportunity if WiseTech does deliver.

    What would $50 look like?

    At $50, the WiseTech share price would trade at around 35 times forecast FY27 earnings.

    That would be a much higher valuation than today, but the picture changes as we look further ahead.

    Based on the current forecasts, a $50 share price would represent around 27 times FY28 earnings and 22 times FY29 earnings.

    I do not think those valuations would look unreasonable if WiseTech were clearly on track to produce the expected growth.

    That is why I can see a path to $50.

    There is still plenty of uncertainty

    WiseTech still has to deliver the earnings growth analysts are expecting. If profits fall short, the valuation at $50 would quickly become much harder to justify.

    That is probably one reason the shares are trading where they are today.

    For me, the opportunity comes from the gap between what the market appears willing to pay for WiseTech now and what the business could be worth if earnings grow as expected.

    However, I would not assume that gap closes quickly, and there could be plenty of volatility along the way.

    Foolish takeaway

    I think $50 is within reach for the WiseTech share price in 2027.

    The shares have a long way to go from $31.77, but the earnings forecasts give me a reason to believe a strong recovery is possible.

    There is still uncertainty around whether WiseTech can deliver those numbers. But if the business starts showing that the expected earnings growth is on track, I think today’s share price could end up looking very cheap.

    The post Could the WiseTech share price reach $50 in 2027? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in WiseTech Global right now?

    Before you buy WiseTech Global shares, consider this:

    Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and WiseTech Global wasn’t one of them.

    The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    And right now, Scott thinks there are 5 stocks that may be better buys…

    * Returns as of 1 August 2026

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    Motley Fool contributor Grace Alvino has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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