Is this as good as it gets for BHP Billiton Limited, Commonwealth Bank of Australia and Telstra Corporation Ltd?

BHP Billiton Limited (ASX:BHP), Commonwealth Bank of Australia (ASX:CBA) and Telstra Corporation Ltd (ASX:TLS) have all produced credible full year results but that alone is not a reason to buy or even hold these three stocks.

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BHP Billiton Limited (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA) and Telstra Corporation Ltd (ASX: TLS) are three of the most widely owned stocks on the ASX. Their performance plays a large and important role in the returns achieved by many investors, particularly those who have exposure through industry superannuation accounts.

Over the month of August which incorporated the major reporting season of the year, the S&P/ASX 200 Index (Index: ^AXJO) (ASX: XJO) fell just 0.1%. In contrast BHP dropped 5.2%, Commonwealth Bank fell 2.9%, while Telstra actually gained 1.3%.

Results Wrap-Up

  • BHP grew revenues by 1.9% to a staggering $67 billion. Underlying profit jumped a respectable 10.1% to $13.45 billion, however most of the excitement centred on the miner's announcement that it is planning a US$16 billion demerger of its aluminium, manganese, nickel and silver assets.
  • Commonwealth Bank reported a 12% rise in its cash profit to $8.7 billion, an increase in return on equity to a very respectable 18.7% and a 10% rise in the total dividends for the year to $4.01.
  • Telstra announced a 3.4% increase in revenues to $25.1 billion and an impressive 14.3% rise in profit to $4.27 billion. Like BHP, the highlight of Telstra's result was the capital management plans which will see the telco undertake an off-market share buyback of approximately $1 billion worth of shares.

As good as it gets?

There is no denying that these three blue-chip stocks reported solid results that are pleasing for shareholders. There is also scope to be positive about investor enthusiasm for the three stocks over the coming year. This thanks in part to capital management plans at BHP and Telstra and the ongoing demand for Commonwealth Bank's dividend. These positives however are arguably already reflected in their current share prices which may relegate the performance of these three stocks to no better than the market average.

Motley Fool contributor Tim McArthur does not own shares in any of the companies mentioned in this article.

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