SCCO vs BHP

For growth investors, Southern Copper Corporation (SCCO) is the stronger pick with 17.

4% revenue growth year-over-year, versus -7. 9% for BHP Group Limited (BHP). BHP Group Limited (BHP) offers the better valuation at 23. 2x trailing P/E (16. 3x forward), making it the more compelling value choice. Analysts rate Southern Copper Corporation (SCCO) a "Hold" — based on 30 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, BHP Group Limited (BHP) is the cheapest at 23.

2x versus Southern Copper Corporation at 34. 3x. On forward P/E, BHP Group Limited is actually cheaper at 16. 3x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Southern Copper Corporation wins at 1. 22x versus BHP Group Limited's 5. 82x — a reasonable growth-adjusted valuation.

Over the past 5 years, Southern Copper Corporation (SCCO) delivered a total return of +167.

4%, compared to +45. 5% for BHP Group Limited (BHP). Over 10 years, the gap is even starker: SCCO returned +668. 4% versus BHP's +391. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), BHP Group Limited (BHP) is the lower-risk stock at 1.

22β versus Southern Copper Corporation's 1. 78β — meaning SCCO is approximately 45% more volatile than BHP relative to the S&P 500. On balance sheet safety, BHP Group Limited (BHP) carries a lower debt/equity ratio of 47% versus 67% for Southern Copper Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Southern Copper Corporation (SCCO) is pulling ahead at 17.

4% versus -7. 9% for BHP Group Limited (BHP). On earnings-per-share growth, the picture is similar: Southern Copper Corporation grew EPS 24. 5% year-over-year, compared to 14. 1% for BHP Group Limited. Over a 3-year CAGR, SCCO leads at 10. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Southern Copper Corporation (SCCO) is the more profitable company, earning 32.

3% net margin versus 17. 6% for BHP Group Limited — meaning it keeps 32. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SCCO leads at 52. 2% versus 38. 0% for BHP. At the gross margin level — before operating expenses — BHP leads at 82. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Southern Copper Corporation (SCCO) is the more undervalued stock at a PEG of 1. 22x versus BHP Group Limited's 5. 82x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, BHP Group Limited (BHP) trades at 16. 3x forward P/E versus 25. 4x for Southern Copper Corporation — 9. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for SCCO: -12. 9% to $156. 40.

All stocks in this comparison pay dividends.

BHP Group Limited (BHP) offers the highest yield at 3. 0%, versus 1. 7% for Southern Copper Corporation (SCCO).

For long-horizon retirement investors, BHP Group Limited (BHP) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1.

22), 3. 0% yield, +391. 8% 10Y return). Southern Copper Corporation (SCCO) carries a higher beta of 1. 78 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (BHP: +391. 8%, SCCO: +668. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Basic Materials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: SCCO is a mid-cap high-growth stock; BHP is a large-cap income-oriented stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.