BHP Becomes Australia's Most Valuable Company, Overtaking CBA

The mining giant BHP has officially become Australia's most valuable company, surpassing the Commonwealth Bank (CBA) on the Australian Securities Exchange (ASX). This significant shift marks a new leader in the nation's corporate landscape.

BHP achieved a market capitalization of $254.2 billion, which exceeded CBA's valuation of $251.5 billion by nearly $3 billion. The mining company has seen its value surge by over 25 percent in the past year alone.

BHP's market capitalization reached $254.2 billion, exceeding CBA's valuation of $251.5 billion by nearly $3 billion.

Share Price Dynamics

On the day of this consolidation, BHP's share price experienced a 0.62 percent rise, closing at $50.060 per share. In contrast, CBA's shares also saw an increase, albeit a more modest 0.15 percent. A key factor in BHP's higher overall valuation is the approximate 5 billion shares held by investors, significantly more than CBA's 1.67 billion shares.

Market Confidence Shifts

Over the last three months, CBA's share price has seen a decline, falling from nearly $180 per share in November to around $150. This period has coincided with a notable increase in investor confidence in BHP, which experienced a resurgence from a November low of $40.62 per share.

Top Companies on the ASX

Despite being overtaken, CBA maintains its robust position as one of Australia's top five largest companies by market capitalization. Other major banks, including Westpac, ANZ, and NAB, are also ranked within the top six on the ASX2000. The third position on the exchange is held by another prominent mining company, Newmont, with a current valuation of $138.59 billion.