Evaluating market performance charts
Markets

BHP Billiton H1 Profit Surges 71.5%; Doubles Buyback; Boosts Dividend (BHP)

The world's largest mining company, BHP Billiton Limited ( BHP ), on Wednesday reported sharply higher first half profits and unveiled $80 billion worth of expansion plans.

The Melbourne, Australia-based company reported first half net income of $10.52 billion, compared with $6.14 billion in the same period a year ago. Revenue surged 39% from last year to $34.17 billion, helped by rising iron ore and copper prices.

BHP said it would doubled its share buyback plan from its previously-announced $4.2 billion level. It expects to complete the new buybacks by the end of 2011.

Instead of looking to take over smaller firms, BHP said it would pour some $80 billion into expansion plans over the next five years. The company also boosted its semi-annual dividend payout to 46 cents per share, up from a prior level of 42 cents.

BHP Billiton shares fell $1.91, or -2%, in premarket trading Wednesday.

The Bottom Line

Shares of BHP Billiton ( BHP ) have a 1.95% dividend yield, based on last night's closing stock price of $94.56. The stock has technical support in the $87-$90 price area. The shares are trading near all-time highs and have little overhead resistance.

BHP Billiton Limited ( BHP ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Created by Dividend.com


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

BHP

Other Topics

Stocks

Latest Markets Videos