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Market Cap

AU$5.3b

Last Updated

2021/05/07 08:11 UTC

Data Sources

Company Financials +

Executive Summary

JB Hi-Fi Limited, together with its subsidiaries, retails home consumer products. More Details


Snowflake Analysis

Outstanding track record with flawless balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has JB Hi-Fi's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: JBH is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: JBH's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

1.2%

JBH

-3.1%

AU Specialty Retail

0.3%

AU Market


1 Year Return

32.8%

JBH

82.5%

AU Specialty Retail

35.9%

AU Market

Return vs Industry: JBH underperformed the Australian Specialty Retail industry which returned 89.9% over the past year.

Return vs Market: JBH underperformed the Australian Market which returned 37.3% over the past year.


Shareholder returns

JBHIndustryMarket
7 Day1.2%-3.1%0.3%
30 Day-10.5%-0.6%1.8%
90 Day-8.3%5.7%2.8%
1 Year40.5%32.8%90.6%82.5%39.9%35.9%
3 Year147.6%112.4%94.7%71.2%30.1%14.7%
5 Year149.4%92.1%110.3%67.1%60.1%29.9%

Long-Term Price Volatility Vs. Market

How volatile is JB Hi-Fi's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is JB Hi-Fi undervalued compared to its fair value and its price relative to the market?

8.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: JBH (A$46.83) is trading below our estimate of fair value (A$51.17)

Significantly Below Fair Value: JBH is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: JBH is good value based on its PE Ratio (12x) compared to the AU Specialty Retail industry average (18.1x).

PE vs Market: JBH is good value based on its PE Ratio (12x) compared to the Australian market (20.6x).


Price to Earnings Growth Ratio

PEG Ratio: JBH's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: JBH is overvalued based on its PB Ratio (4.1x) compared to the AU Specialty Retail industry average (3.4x).


Future Growth

How is JB Hi-Fi forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

-8.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JBH's earnings are forecast to decline over the next 3 years (-8.8% per year).

Earnings vs Market: JBH's earnings are forecast to decline over the next 3 years (-8.8% per year).

High Growth Earnings: JBH's earnings are forecast to decline over the next 3 years.

Revenue vs Market: JBH's revenue is expected to decline over the next 3 years (-0.5% per year).

High Growth Revenue: JBH's revenue is forecast to decline over the next 3 years (-0.5% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JBH's Return on Equity is forecast to be high in 3 years time (23.3%)


Past Performance

How has JB Hi-Fi performed over the past 5 years?

19.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JBH has high quality earnings.

Growing Profit Margin: JBH's current net profit margins (5.1%) are higher than last year (3.6%).


Past Earnings Growth Analysis

Earnings Trend: JBH's earnings have grown by 19.4% per year over the past 5 years.

Accelerating Growth: JBH's earnings growth over the past year (72.5%) exceeds its 5-year average (19.4% per year).

Earnings vs Industry: JBH earnings growth over the past year (72.5%) exceeded the Specialty Retail industry 49.8%.


Return on Equity

High ROE: JBH's Return on Equity (34.1%) is considered high.


Financial Health

How is JB Hi-Fi's financial position?


Financial Position Analysis

Short Term Liabilities: JBH's short term assets (A$2.0B) exceed its short term liabilities (A$1.9B).

Long Term Liabilities: JBH's short term assets (A$2.0B) exceed its long term liabilities (A$637.5M).


Debt to Equity History and Analysis

Debt Level: JBH is debt free.

Reducing Debt: JBH has no debt compared to 5 years ago when its debt to equity ratio was 0.6%.

Debt Coverage: JBH has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: JBH has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is JB Hi-Fi current dividend yield, its reliability and sustainability?

4.04%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: JBH's dividend (4.04%) is higher than the bottom 25% of dividend payers in the Australian market (2.03%).

High Dividend: JBH's dividend (4.04%) is low compared to the top 25% of dividend payers in the Australian market (5.25%).


Stability and Growth of Payments

Stable Dividend: JBH's dividend payments have been volatile in the past 10 years.

Growing Dividend: JBH's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (69%), JBH's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: JBH's dividends in 3 years are forecast to be covered by earnings (70.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.8yrs

Average management tenure


CEO

Richard Murray

6.83yrs

Tenure

AU$3,895,586

Compensation

Mr. Richard Murray, BCom, Grad. Dip. Applied Finance & Investment, C.A., ASIA, F.C.A., has been the Group Chief Executive Officer of JB Hi-Fi Limited ("Company") since July 1, 2014 and served as its Interi...


CEO Compensation Analysis

Compensation vs Market: Richard's total compensation ($USD3.03M) is above average for companies of similar size in the Australian market ($USD1.72M).

Compensation vs Earnings: Richard's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: JBH's management team is seasoned and experienced (6.8 years average tenure).


Board Members

Experienced Board: JBH's board of directors are considered experienced (4.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

JB Hi-Fi Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: JB Hi-Fi Limited
  • Ticker: JBH
  • Exchange: ASX
  • Founded: 1974
  • Industry: Computer and Electronics Retail
  • Sector: Retail
  • Market Cap: AU$5.309b
  • Shares outstanding: 114.88m
  • Website: https://www.jbhifi.com.au

Number of Employees


Location

  • JB Hi-Fi Limited
  • Podium Level
  • 60 City Road
  • Southbank
  • Victoria
  • 3006
  • Australia

Listings


Biography

JB Hi-Fi Limited, together with its subsidiaries, retails home consumer products. It operates through three segments: JB Hi-Fi Australia, JB Hi-Fi New Zealand, and The Good Guys. The company offers consume...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/07 08:11
End of Day Share Price2021/05/07 00:00
Earnings2020/12/31
Annual Earnings2020/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.