Executive Summary
JB Hi-Fi Limited, together with its subsidiaries, retails home consumer products. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 8.8% per year for the next 3 years
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
| JBH | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.2% | -3.1% | 0.3% |
| 30 Day | -10.5% | -0.6% | 1.8% |
| 90 Day | -8.3% | 5.7% | 2.8% |
| 1 Year | 40.5%32.8% | 90.6%82.5% | 39.9%35.9% |
| 3 Year | 147.6%112.4% | 94.7%71.2% | 30.1%14.7% |
| 5 Year | 149.4%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
2 months ago | Simply Wall St
How Many JB Hi-Fi Limited (ASX:JBH) Shares Have Insiders Sold, In The Last Year?3 months ago | Simply Wall St
With EPS Growth And More, JB Hi-Fi (ASX:JBH) Is Interesting1 year ago | Simply Wall St
Does JB Hi-Fi's (ASX:JBH) Share Price Gain of 49% Match Its Business Performance?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
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/07 08:11 |
| End of Day Share Price | 2021/05/07 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/06/30 |
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.