Did BHP shares smash the market in FY 2026?

Was it a good year for this mining giant's shares? Let's run the numbers.

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I think it is fair to say that BHP Group Ltd (ASX: BHP) shares had a very strong FY 2026.

Over the 12 months to 30 June, the mining giant's share price rose by around 60%.

That made it a standout year for one of the ASX's biggest blue chips.

Middle age caucasian man smiling confident drinking coffee at home.

Image source: Getty Images

Why did BHP shares rise?

The main reason was a rotation back into resources shares from large investors.

After a difficult period for parts of the mining sector, investors became more positive on companies exposed to commodities like copper.

BHP benefited from that shift. Copper is increasingly viewed as a long-term winner from electrification, artificial intelligence, data centres, grid upgrades, and the broader energy transition.

The Big Australian's own updates supported that optimism. In its first-half results, the company said copper prices were up 32% year on year, while iron ore prices were 4% higher.

This gave investors more confidence that BHP was not simply relying on one old earnings engine.

Its iron ore business remained important, but copper became a much bigger part of the market's thinking. BHP has also been investing behind its copper growth strategy, including assets and projects across South Australia, Chile, Argentina, and other key regions.

Another positive was that in its March quarter update, BHP said strong performance at Escondida and Antamina supported expectations that group copper production would land in the upper half of FY 2026 guidance.

Growth optimism helped

Investors also responded positively to signs that BHP is unlocking value in other ways.

During the year, the company completed a silver streaming agreement with Wheaton Precious Metals, receiving US$4.3 billion in upfront consideration relating to its share of Antamina silver production.

This strengthened its balance sheet and highlighted the value sitting inside BHP's broader portfolio.

What about dividends?

BHP also rewarded shareholders with dividends during FY 2026.

The company paid approximately 91.9 cents per share in September and then $1.04 per share in March.

That means shareholders received around $1.96 per share in dividends across the financial year, in addition to the strong share price performance. Not a bad outcome!

A strong year for BHP

Overall, FY 2026 was a very good year for BHP shares.

The company benefited from improving sentiment toward resources, stronger copper prices, resilient iron ore prices, and growing optimism about its long-term copper strategy.

Time will tell if that momentum can continue in FY 2027. But here's hoping it will.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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