The BHP Group Ltd (ASX: BHP) share price jumped 15% in February 2026 after it reported its FY26 half-year result.
BHP is one of the largest miners in the world, producing commodities like iron ore, copper and coal. The business is working on a potash project in Canada called Jansen.
Excellent February for the BHP share price
Impressively, the ASX mining giant’s share price rose from $50.57 at the end of January 2026 to $58.41 at the end of February 2026.
During the month, BHP reported its FY26 half-year result, which may have been better than some investors were expecting.
The resources business revealed revenue grew by 11% to US$27.9 billion, underlying EBITDA (EBITDA explained) grew 25% to US$15.5 billion, profit from operations jumped 34% to US$12.3 billion and net profit climbed 28% to US$5.6 billion.
BHP attributed the rise in revenue primarily to a significant increase in copper prices, as well as a rise in the iron ore price.
I thought the fact that the copper division’s underlying EBITDA jumped by 58% to US$8 billion was pleasing (on the back of a 32% rise in the price per pound to US$5.28). This meant that copper contributed 51% of underlying EBITDA, up from 39% in HY25.
Iron ore underlying EBITDA grew 4% to US$7.5 billion following a 4% rise in the iron ore price to US$84.71 per tonne.
BHP also saw operating cashflow increase 13% to US$9.4 billion and free cashflow rose to US$2.9 billion. The ASX mining share grew its interim dividend per share to US$0.73. That represented a dividend payout ratio of 60%.
Commodity demand outlook
The business gave its outlook about how the demand for commodities could play out in 2026. BHP said:
While policy and geopolitical uncertainty persisted through CY25, commodity demand was robust. The market’s concern with trade policy early in the year did lead to some front-loading of demand.
In China, supportive policy measures in CY25 underpinned steel and metals-related manufacturing activity, particularly in transport and machinery, which helped to offset ongoing housing sector weakness and the slowdown in infrastructure investment. China’s trade surplus surpassed US$1 Tn in CY25 for the first time, as strong exports to global markets offset weaker shipments to the United States. Steel exports provided support to China’s production and more than offset the slight decline in domestic steel demand. China’s copper demand growth was a particularly robust 8.8% in H1 CY25 and CY26 copper demand is expected to remain strong off its current high base.
Seaborne iron ore demand is expected to stabilise at a high level in CY26, while seaborne metallurgical coal demand could recover modestly driven by India and developing economies.
Indian commodity demand continues to grow strongly, driven by broad-based sectoral growth and underpinned by the ongoing capacity additions in the steel and metals value chain (e.g. blast furnaces in steel, smelting and refining in copper).
Over the long term, population growth, urbanisation, rising living standards, and the infrastructure required for digitisation and decarbonisation are all expected to drive demand for steel and copper. Growing global population and rising incomes will shift dietary patterns and the need to improve soil productivity, underpinning long-term potash demand.
Thoughts on the BHP share price
The more of the overall profit that copper becomes, the more attractive I think BHP shares are. Copper is likely to see demand increase over time, but supply may not rise in the same way that global iron ore supply is on track to. Plus, I think copper demand is less likely to occasionally slump like iron ore does.
Even so, I don’t think this is the best time to invest in BHP shares. When it comes to resources, overall demand can be cyclical, so it’s better to invest when demand is lower, in my view.
At the current valuations, I think there are other ASX dividend shares that I think are better buys.
