Street View: JB Hi-Fi's resilient earnings prompt consensus PT hikes

JB Hi-Fi

12/08/2024 20:39

** Shares of Australia's consumer electronics retailer JB
Hi-Fi  JBH.AX  closed at an all-time high of A$72.980 on Monday
    ** JBH posted smaller-than-expected drop in FY24 profit, a
solid start to FY25; announced acquisition of a white goods
retailer E&S Trading
    ** Company declared special dividend citing "elevated" net
cash position
    ** JBH up 37.6% YTD, outperforming ASX consumer
discretionary index's  .AXDJ  15% gains
    
    SOLID GROWTH, MORE SHAREHOLDER RETURNS FORECAST
    ** Citi hikes PT for JBH stock to A$85.00 from A$74.00,
retains "buy"
    ** Says expects 80 Australian cents/shr special dividends
annually till FY27; hikes FY25-26 EBIT view by 9% to 14%
    ** JBH best-performing stock under coverage YTD - brokerage
    ** "Believe investors are still underweight discretionary" -
Citi
    ** Jefferies hikes PT for JBH stock to A$61 from A$55.50,
retains "underperform"
    ** Says JBH is a "very-well-run business, which has scope to
return more capital to shareholders"
    ** Brokerage hikes underlying NPAT view by 5% to 6% for
fiscals 2025 and 2026
    ** Morningstar sees "rising wages and fiscal stimulus to
underpin better trading conditions" in FY25 vs FY24
    ** Four of 14 analysts rate JBH "buy" or higher, five "hold"
and five "sell" or lower; median PT is A$64.50 - LSEG data
    

 (Reporting by Sameer Manekar in Bengaluru)
 ((Sameer.Manekar@thomsonreuters.com; Twitter: https://twitter.com/sameer_manekar))