BHP Group's (ASX:BHP) near-term earnings are expected to be impacted by weaker iron ore and coal prices, according to a Friday note from Argus.
Iron ore prices have fallen 7% year-to-date, while coal has dropped 12%, Argus said, adding that the prices of both commodities are on a downward trend.
The lowered prices pressured the company's earnings and revenue, leading to lower year-over-year results and a reduced dividend, Argus noted.
Argus lowered BHP's rating to hold from buy.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.