BHP/WDS dividends and growth potential.

Hi Peter,

BHP and WDS both report on the 27th of this month with WDS going ex-dividend on the 4th Sep & BHP trading XD on the 5th Sep.

• BHP is forecast to pay US78cps for this final dividend, having paid US72cps at the half. In AUD terms, that’s ~$1.19 upcoming.
• WDS will be interesting, as you rightly point out, they have a few balls in the air creating some pressure on the balance sheet. This is their interim dividend upcoming, and consensus is for US75c or ~$1.14 in AUD for the half, which is big, however, we think there is risk around that along with future payouts, given increasing leverage that could prompt lower distributions.
• A number of subscribers have been asking our view towards WDS with the stock down nearly 20% year-to-date but as we covered in late July it’s unlikely MM will be a buyer in the foreseeable future. We think the story and balance sheet is getting more complex and for now we prefer BHP.
• In line with our commentary through 2024, we own BHP, looking to increase our exposure below $40 whereas we have removed WDS from our Active Growth Hitlist.

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BHP Group (BHP) v Woodside Energy Group (WDS)

LAST UPDATED 09/08/2024 15:16

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BHP Group (BHP) v Woodside Energy Group (WDS)

LAST UPDATED 09/08/2024 15:16