BHP Group Ltd (ASX: BHP) shares have been on my buy list for some time, and its latest quarterly update has given me a few more reasons to remain positive.

There were some challenges during the quarter, but I also found several encouraging developments that I think investors should be paying attention to.

Here are three reasons I would be happy buying BHP shares today.

Higher commodity prices could make a big difference

One thing that caught my attention in BHP’s latest update was the prices it received for its commodities.

Copper production fell 19% compared with the same quarter last year, reflecting lower ore grades, maintenance, and operational disruptions.

Yet the average price BHP received for its copper increased by an impressive 53%.

Steelmaking coal prices were also considerably stronger, increasing 34% year on year.

I think this is worth considering because mining profits depend on much more than production volumes.

When commodity prices rise, miners can generate significantly more revenue from the same amount of production, potentially delivering substantial earnings growth.

Of course, costs also influence profitability, and prices can fall just as quickly as they rise. But with BHP maintaining its full-year production guidance, I think the stronger pricing environment could provide meaningful support for earnings if it continues.

There could be more value in its existing assets

Another thing I like about BHP is that it still has considerable opportunities to grow production from assets it already owns.

Its latest announcement provided an interesting example at Olympic Dam in South Australia.

BHP reported a substantial increase in the mine’s mineral resource base, including a newly classified underground resource that could potentially support different mining methods in the future.

I think this highlights something important about owning a company with large, established mining operations.

As technology improves and further exploration is completed, opportunities can emerge to extract more value from deposits that have already been producing for decades.

BHP is also progressing plans to substantially increase copper production across its South Australian operations by 2035.

There is a lot of work still to be done, and mineral resources do not automatically become economically recoverable reserves.

Nevertheless, I like that BHP has opportunities to expand its business by building on its existing infrastructure and geological knowledge.

Important investments are getting closer to delivering results

My third reason to buy BHP shares is the progress it is making on projects that could start contributing over the next couple of years.

Its Jansen development in Canada is a good example. After years of investment, Stage 1 is now 87% complete, with first production expected in mid-2027.

I think reaching that milestone could be significant, as attention gradually shifts from construction spending towards production and eventually earnings.

There are also developments underway in Western Australia, including infrastructure improvements designed to support higher iron ore volumes and improve operational efficiency.

These projects won’t all deliver immediate financial benefits, but I like that BHP has several investments approaching important milestones.

Delivering them on time and within budget will be important, particularly given the capital involved.

Foolish takeaway

I would be happy buying BHP shares around $59. Its earnings will always be influenced by commodity prices, and there will inevitably be setbacks along the way.

But I think there is more happening at BHP than investors might appreciate from a quick look at its quarterly production figures.

The company has opportunities to improve its earnings, make better use of its existing assets, and bring major investments into production. I think that gives shareholders plenty to look forward to over the coming years.

The post 3 reasons I would buy BHP shares today appeared first on The Motley Fool Australia.

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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.

With 2027 approaching, I’ve been thinking about where some of the best opportunities for long-term investors might be.

There are several areas of the global share market that I think have particularly promising prospects, and Vanguard has some excellent exchange-traded funds (ETFs) for gaining exposure to them.

Here are three I would be happy buying today.

Vanguard Global Technology Index ETF (ASX: VTEK)

One thing I’m particularly interested in heading into 2027 is how businesses will continue investing in technology.

Artificial intelligence (AI) has attracted enormous attention, but I think the opportunity extends well beyond the companies developing AI models.

Businesses are also investing in more powerful computing infrastructure, better software, and the systems needed to manage growing amounts of information.

The VTEK ETF offers a way to participate in that spending across several parts of the technology industry.

It holds approximately 300 technology stocks from developed and emerging markets, giving investors exposure to businesses involved in everything from semiconductors to enterprise software.

I like that approach because it reduces the need to predict which individual technology company will become the biggest winner.

Of course, technology shares can be expensive, and investors may face considerable volatility if earnings disappoint.

But I think the long-term potential of this industry makes the VTEK ETF a strong buy for 2027 and beyond.

Vanguard S&P 500 US Shares Index ETF (ASX: V500)

Another Vanguard ETF I would buy for 2027 is the V500 ETF.

What I like about America’s biggest businesses is how many of them have become part of everyday life around the world. Whether it’s the software people use at work, the payment networks handling transactions, or the healthcare products people rely on, American companies have built enormous international businesses.

That means investors can benefit from their global success through a fund focused entirely on the US share market.

The V500 ETF tracks the S&P 500 Index, providing exposure to approximately 500 leading American companies.

I think the combination of established businesses, innovative companies, and opportunities to reinvest profits makes this a compelling market to own over the long term.

US shares aren’t cheap across the board, and the index has significant exposure to large technology companies. Nevertheless, I would be comfortable buying the V500 ETF today and holding it for many years.

Vanguard FTSE Asia ex Japan Shares Index ETF (ASX: VAE)

The third Vanguard ETF I would consider is the VAE ETF. I think Asia offers some fascinating opportunities for investors willing to look beyond the US and Australian share markets.

For example, India has considerable scope for economic development as incomes rise and more consumers use modern financial services.

Taiwan and South Korea also play important roles in the global technology supply chain, while China remains a huge market with significant industrial and consumer businesses.

The VAE ETF provides exposure to approximately 1,400 stocks across Asian markets, excluding Japan.

There are risks, particularly around China’s economy, geopolitical tensions, and currency movements.

But I think the region has the potential to become an increasingly important contributor to global economic growth over the coming decades.

Foolish takeaway

I would be happy buying all three Vanguard ETFs ahead of 2027.

For me, I like being able to participate in some of the world’s most important businesses and economic developments without having to pick individual winners.

And with a long investment horizon, I think these funds could reward patient investors handsomely.

The post Why I rate these Vanguard ETFs as strong buys for 2027 appeared first on The Motley Fool Australia.

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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 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.

The S&P/ASX 200 Index (ASX: XJO) share Lovisa Holdings Ltd (ASX: LOV) could be one of the best options to buy within the index for the growth potential.

Lovisa is a retailer that sells “on-trend fashion jewellery at ready-to-wear prices”. It says its trend spotting departments around the world take inspiration from couture runways and current street style to deliver new, must-have styles to customers.

Following a decline of more than 30% in Lovisa’s share price over the past year, I think it’s a good time to look at the ASX 200 share.

I think there are three great reasons to look at the business.

Store network expansion

A lot of ASX 200 share retailers are focused on Australia (and New Zealand). Lovisa is truly a global business with stores across more than 30 countries.

It has more than 10 stores in Australia, New Zealand, Singapore, Malaysia, South Africa, the UK, Ireland, France, Germany, Belgium, the Netherlands, Poland, Italy, the USA and Canada. It also has a Middle East and Africa franchise, as well as a South America franchise, that both have at least 15 stores.

The company’s store expansion is a major factor that makes me believe it can grow significantly in the next five years. In FY26, it added a net 105 new stores to its global network (a rise of 10% year over year) to reach 1,136.

Countries like the USA, Canada, the UK and Germany saw the biggest increases in the store network. With the wealth and population sizes of those countries, I think there’s room to plenty more stores across those markets considering Australia and New Zealand have 217 stores between them.

Good profit growth

The key financial metric that many investors focus on is profit growth. Current and future profitability drives the (Lovisa) share price higher or lower. A growing net profit will help send the ASX 200 share price up over the longer term, even if there’s some volatility along the way.

In FY26, the company grew its net profit after tax (NPAT) by 10.7% to $95.6 million and the net profit before tax (NPBT) rose by 13.5% to $134.1 million.

I’d say that’s a solid rate of profit expansion considering it’s investing significantly each year in growing the store network. In cash flow terms, its net cash used in investing activities was $58.5 million in FY26.

The Lovisa share price is currently valued at 24x FY27’s estimated earnings and earnings are projected to rise by 25% between FY27 and FY29, according to the forecast on Commsec.

Rising dividend

The company isn’t necessarily known for paying large dividends. But regular profit growth allows the board of directors to regularly increase the payouts to shareholders.

In FY26, the company hiked its annual dividend per share by 11.7% to 86 cents. In other words, a dividend payout ratio of just under 100%. The company’s dividend has grown by 160% since FY19.

Lovisa’s dividend is projected to increase by another 39% between FY26 and FY29.

Based on the FY26 payout, it has a dividend yield of 3.4%, excluding the franking credits, which I think is a great starting point for the passive income from the ASX 200 share.

Lovisa and a few other ASX shares are very attractive to me right now.

The post 3 reasons why this top ASX 200 share is a buy appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison 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 Lovisa. The Motley Fool Australia has recommended Lovisa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.