Australian investors are once again weighing up the nation’s largest listed names. Morgans has released fresh updates on BHP, CBA, and Rio Tinto Ltd.
The broker’s latest review offers a timely guide for anyone tracking ASX blue chip stocks Australia 2026. Each Company shows a different story heading into the new financial year.
Figure 1: Australian Securities Exchange (ASX) logo [Courtesy: ASX]
About BHP, CBA and Rio Tinto
BHP Group Ltd is one of the world’s largest diversified miners. It operates significant iron-ore, copper and coal assets around the world. Commonwealth Bank of Australia is Australia’s largest publicly owned retail bank. Rio Tinto is a leading global producer of iron ore and copper with operations on four continents.
These three names sit right at the centre of the ASX 200. Their movements often set the tone for wider sentiment on Australian equity markets.
Morgans Reviews ASX Blue Chip Stocks Australia 2026
Morgans this week updated its ratings across three of the market’s most closely watched names. The broker weighed operational updates against current valuations.
This kind of ongoing review matters to readers tracking ASX blue chip stocks Australia 2026 closely. It shapes how portfolios get positioned into the new financial year.
The timing lines up with upcoming quarterly and full-year reporting across the mining and banking sectors. Investors now await confirmation of these early broker signals.
BHP Group Ltd (ASX: BHP)
BHP delivered a fourth-quarter result that impressed the broker on operational grounds. Morgans noted the outcome came in ahead of its own estimates in several areas.
BHP’s coal operations, historically a source of volatility, posted stronger than expected numbers at both key assets. FY27 guidance also looked broadly steady against existing forecasts.
Figure 2: BHP Group headquarters [Courtesy: Fin News Network]
BHP Share Price Forecast 2026 Australia
Morgans flagged some caution around consensus expectations for group copper output. This forms a key part of the current BHP share price forecast 2026 Australia discussion.
- Rating: Hold
- Price target: A$60.20
- Copper consensus viewed as optimistic
- Coal operations beat expectations
- FY27 guidance broadly steady
The broker continues to view BHP as a best-in-breed global miner. It maintains its hold rating within what it calls a healthy resources upcycle.
Commonwealth Bank of Australia (ASX: CBA)
CBA faces a more cautious outlook ahead of its FY26 result next month. Morgans has trimmed forecasts and retained a sell rating on the shares.
Figure 3: Commonwealth Bank branch [Courtesy: Reuters]
The broker cited stretched valuation metrics as its core concern. It pointed to a high price-to-earnings ratio alongside a relatively modest cash yield for the bank.
Morgans reduced its price target slightly to A$117.63. It expects small downgrades to earnings per share across the coming two financial years.
Rio Tinto Ltd (ASX: RIO)
Rio Tinto’s quarter also pleased Morgans on several operational fronts. Pilbara iron ore shipments beat consensus expectations by a healthy margin.
The broker treated a widely reported shortfall at the Simandou project as a net positive. A slower ramp-up there tends to support broader iron ore benchmark pricing.
Figure 4: Rio Tinto office building [Courtesy: Reuters]
Rio Tinto Stock Prediction 2026 Australia
A converting furnace breach at Kennecott will hit second-half refined copper and gold output. This detail now weighs on the latest Rio Tinto stock prediction 2026 Australia commentary.
Morgans also halved its copper cost guidance for the business, citing strong by-product prices. This shift represents a meaningful margin tailwind heading into the second-half result.
The broker maintains a hold rating with a slightly lowered price target. It still regards Rio Tinto as one of the highest quality global exposures to the current resources cycle.
Share Price Snapshot
- BHP Group Ltd (ASX: BHP): Hold rating, A$60.20 price target
- Commonwealth Bank of Australia: Sell rating, A$117.63 price target
- Rio Tinto Ltd: Hold rating, A$163.00 price target, down from A$165.00
As per the mining sector, activity remains a key driver of these calls. Similarly, the ASX banking announcement and ASX financial sector outlook shape the view on CBA.
Industry Outlook
The resources sector continues moving through what Morgans describes as a healthy multi-year upcycle.
This trend continues to be powered by iron ore, copper and coal. Banking valuations, however, look not far off historical norms. That gap is now shaping how brokers view ASX blue chip stocks Australia 2026.
Future Direction and Impact on Investor Portfolios
The coming reporting season will test whether these broker calls hold up. CBA’s August result looms as the next major catalyst for the banking major.
For miners, copper guidance and Pilbara shipment volumes remain the numbers to watch. Both BHP share price forecast 2026 Australia and Rio Tinto stock prediction 2026 Australia views will adjust from there.
Portfolios weighted toward ASX blue chip stocks Australia 2026 may see continued divergence between resources and banking exposures. Investors should watch upcoming ASX announcements closely.
FAQs
Q1. What rating does Morgans have on BHP shares?
Ans. Morgans retains a hold rating with an A$60.20 price target.
Q2. Why did Morgans keep a sell rating on CBA?
Ans. Stretched valuation metrics continue to concern the broker.
Q3. What is Morgans’ current Rio Tinto price target?
Ans. The broker holds a A$163.00 target, down slightly from A$165.00.
Q4. What issue affected Rio Tinto’s copper output?
Ans. A furnace breach at Kennecott will hit second-half production.
Q5. Are these three companies considered ASX blue chip stocks?
Ans. Yes, all three rank among Australia’s largest listed companies.
Disclaimer
This article is meant only for informational purposes. All data published in the content is sourced from broker commentary and external sources. Kindly verify all information related to share price and market data before making decisions. Any investment should be made at the investor’s own risk. Colitco does not hold any position in the above-mentioned companies.
Source
https://www.fool.com.au/2026/07/18/buy-hold-sell-bhp-cba-and-rio-tinto-shares/#google_vignette
Luke Carlino is a seasoned Copywriter, Content Strategist, and Social Media Manager specialising in Mining, Finance, and Business journalism. With more than a decade of industry experience, he brings rigorous editorial standards and commercial acuity to every project.
