Vale (VALE) Competitors

Vale (NYSE:VALE) and BHP Group (NYSE:BHP) are both large-cap basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, valuation, media sentiment, analyst recommendations, community ranking, institutional ownership and dividends.

Does the media prefer VALE or BHP?

In the previous week, BHP Group had 4 more articles in the media than Vale. MarketBeat recorded 14 mentions for BHP Group and 10 mentions for Vale. BHP Group's average media sentiment score of 1.26 beat Vale's score of 1.17 indicating that BHP Group is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Vale	7 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
BHP Group	11 Very Positive mention(s)	1 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community prefer VALE or BHP?

BHP Group received 85 more outperform votes than Vale when rated by MarketBeat users. Likewise, 66.21% of users gave BHP Group an outperform vote while only 60.89% of users gave Vale an outperform vote.

Company	Underperform	Outperform
Vale	Outperform Votes 791 60.89%	Underperform Votes 508 39.11%
BHP Group	Outperform Votes 876 66.21%	Underperform Votes 447 33.79%

Which has more risk & volatility, VALE or BHP?

Vale has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500. Comparatively, BHP Group has a beta of 0.9, indicating that its stock price is 10% less volatile than the S&P 500.

Is VALE or BHP a better dividend stock?

Vale pays an annual dividend of $0.75 per share and has a dividend yield of 7.4%. BHP Group pays an annual dividend of $1.97 per share and has a dividend yield of 4.0%. Vale pays out 52.1% of its earnings in the form of a dividend. BHP Group pays out 44.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Which has preferable valuation and earnings, VALE or BHP?

Vale has higher earnings, but lower revenue than BHP Group. Vale is trading at a lower price-to-earnings ratio than BHP Group, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vale	$38.06B	1.20	$7.98B	$1.44	6.99
BHP Group	$53.60B	2.35	$7.90B	$4.40	11.29

Do institutionals and insiders believe in VALE or BHP?

21.9% of Vale shares are owned by institutional investors. Comparatively, 3.8% of BHP Group shares are owned by institutional investors. 0.0% of BHP Group shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Is VALE or BHP more profitable?

Vale has a net margin of 16.15% compared to BHP Group's net margin of 0.00%. Vale's return on equity of 17.38% beat BHP Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Vale	16.15%	17.38%	7.62%
BHP Group	N/A	N/A	N/A

Do analysts recommend VALE or BHP?

Vale presently has a consensus price target of $13.26, indicating a potential upside of 31.64%. BHP Group has a consensus price target of $53.00, indicating a potential upside of 6.68%. Given Vale's higher probable upside, equities research analysts clearly believe Vale is more favorable than BHP Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vale	0 Sell rating(s)	7 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.30
BHP Group	0 Sell rating(s)	2 Hold rating(s)	2 Buy rating(s)	2 Strong Buy rating(s)	3.00

Summary

BHP Group beats Vale on 13 of the 21 factors compared between the two stocks.