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What is the expected rate of return to bhp billiton ltd?


I'm an university student and doing an analysis on BHP Billiton ltd.can you give me the information to calculate return on investment using CAPM,WACC,Treasurry bill rate plus and estimated rate.

The formula to use is:
R_s = R_f + beta x (R_m - R_f)

Here
R_s = expected return stock
R_f = risk free rate
R_m = expected market return

You can use the Treasurry bill rate for a ten year period for R_f.
R_m - R_f (the market premium) can be estimated at 5 or 6 %.
Beta you can estimated with Excel using the annual returns for BHP Billiton and those of its market index. The slope of the linear regression between the two is beta.

I do not have this information, but I know who can have it: Investor Relations department at BHP. They will be happy of giving you these figures.

You can contact them by email or phone, the details are at:
http://www.bhpbilliton.com/bb/investorsA...

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