Core Viewpoint - BHP Group Ltd's share price has increased by 0.48% since January 2025, indicating potential interest for investors to consider BHP shares for their watchlist [1][2]. Company Overview - BHP Group, established in 1885, is a diversified natural resources company that produces commodities for energy and manufacturing [2]. - The company's primary business lines include mineral exploration and production, focusing on copper and related minerals, iron ore, and coal, while also diversifying into areas like fertilizer [3]. Financial Performance - BHP reported an annual revenue of $56,027 million, with a compound annual growth rate (CAGR) of -0.7% over the last three years [6]. - The latest gross margin reported by BHP was 82.3%, indicating strong profitability from core products [7]. - The profit for the last financial year was $7,897 million, down from $11,304 million three years ago, reflecting a CAGR of -11.3% [8]. Financial Health - BHP's current net debt stands at $9,467 million, indicating the company's total debt minus cash holdings [9]. - The debt/equity ratio is 45.3%, suggesting that BHP has more equity than debt, indicating a relatively lower leverage [11]. - The return on equity (ROE) for BHP in FY24 was 19.7%, suggesting effective capital allocation and value generation [12]. Investment Consideration - Despite the high ROE, the negative trends in profit and revenue may warrant caution for potential investors [13].