BHP 0.90% $43.56 bhp group limited

no doubt bhp is a great company.obviously, with most great...

  1. 164 Posts.
    no doubt bhp is a great company.
    obviously, with most great companies there are a great diversity of shareholders, sensitive to a great variety of stimuli.
    mass popularity (especially when volatile confidence) might explain the predictably unpredictable volatility IN the SP from day to day on this faster cycle, but at a slower (longer term) cycle more influential factors tend to steer the ship, as it were.
    I'll probably stir some criticism, but i wonder wether bhp hasn't become a bit too big for it's boots, so to speak.
    I mean, growth and expansion surely has an upper limit somewhere, especially if there is an unlimited supply in resources on this planet.
    Not to say bhp has reached this limit yet, but how many 'tier one' assets are left out ther waiting to be exploited.
    There may be a case that bhp risks outgrowing some of its assets. If there is a finite number of top quality assets, then how does a company keep fullfilling (self imposed and market imposed) growth expectations decade to decade.
    personally, i think, perhaps like a sun, or supernova, there must be a climax, crescendo, or whatever, when things get so big there own gravity impels there retraction or implosion.
    Is bhp approaching this sort of equilibrium?
    when assets like the cannington silver/lead/zinc mine, a seriously freakish and monstrous (even considering it half mined out now) orebody in terms of grade, are seen introspectively as an asset bhp would not now pursue had it been discovered last week, then i have to wonder if this 'obesity' is not a possibility, and that the company may need to recalibrate its ambitions and strategy somewhat. (ok iron ore is probably an exeption for another 20 years or so).
    they might have to take a leaf from biology and divide and (re)-conquer.....or find another planet.

 
watchlist Created with Sketch. Add BHP (ASX) to my watchlist
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.