APA vs BlueScope: Which Big ASX Stock Is Leading the Uptrend?

Following are the top 2 ASX stocks with upside potential, supported by a new business update and solid recent results.

APA Group (ASX: APA) is one of the leading ASX utilities stocks, which is currently trading at a market capitalisation of $15.42 billion and has a current annual partly franked dividend yield of 5.01%.

APA had announced on 22 October 2026 that it had reached a final investment decision on the Bulloo Interlink Pipeline (BIL) and had entered into a five year east coast gas transport and storage agreement with Origin Energy.

BIL represents an underground, high pressure natural gas transmission pipeline with an 800 TJ/day maximum capacity, linking APA’s South West Queensland Pipeline in Queensland to the Moomba to Sydney Pipeline in New South Wales.

The final investment decision commits $700 million for the construction and commissioning of the BIL. It is an addition to the earlier decision taken by the company in February 2026 to invest $220 million to progress early works, with line pipe procurement, engineering, approvals and related development activities well progressed.

APA had announced on 30 September 2026 that it had completed the execution of full form agreements with CS Energy for APA to acquire a majority ownership stake in the Peaking Power Plant, a 400MW gas power station next to CS Energy’s Kogan Creek Power Station near Chinchilla, Queensland.

The project has a total expected cost of ~$1.3 billion. APA will acquire 80% of the project, making its cost to ~$1.02 billion. The amount will be funded from existing balance sheet capacity and will lead to delivery under a construction management agreement.

APA Group had also announced on 20 August 2026 its FY26 results. Underlying EBITDA grew by 8.3% year on year to $2.2 billion, with an underlying EBITDA margin of 77.9%, up 370 bps year on year. Free cash flow grew by 3.2% year on year to ~$1.12 billion. FY26 distribution per share reached 58 cents

APA is given FY27 underlying EBITDA guidance of $2.26-$2.34 billion, with a distribution per share of 59 cents.

BlueScope Steel Limited (ASX: BSL) is one of the leading material based ASX stocks which is currently trading at a market capitalisation of 14.34 billion and a current annual unfranked dividend yield of 9.16%.

BSL had announced on 17 August 2026 its FY26 results for the period ended June 2026. Total revenue rose to ~$16.7 billion. Underlying EBIT increased by $535 million to $1.27 billion. The reported NPAT has grown by $718 million to $802 million.

It has an underlying EBIT return on invested capital of 10.7%, an increase from 6.2% in FY25. Net cash flow rose by 60 million to $240 million, and net debt reached $600 million. It has distributed a shareholder return of $3 per share in CY2026, including a dividend of $1.35 per share in FY26.

BSL is expected to generate an underlying EBIT of $860-$960 million in H1 FY2027. It has also planned a shareholder return of $3 per share in CY2027.

Conclusion

BSL appears to have more upside potential, supported by solid earnings growth and cash flow generation ability. BlueScope has a 12 months trailing EV/EBITDA of 7.27x compared to the industry median of -4.48x. APA has a trailing 12 months EV/EBITDA of 12.76x, which is at par to the industry median. It highlights BSL's potential to have more upside compared to APA.

(Source: Company Announcement)