What Happened to the JB Hi-Fi Ltd Share Price?
Shares in electronics retailer JB Hi-Fi Ltd [ASX:JBH] soared by 9% today, racing ahead of a mixed Aussie stock market. Earlier in the session, the stock was up by as much as 11.6%, taking back some of its year-to-date losses.
Why Did This Happen to JBH Shares?
At today’s AGM, JB Hi-Fi said it remained on target to meet its 3.4% sales growth target for the year ending 30 June 2015.
The company’s new CEO, Richard Murray, highlighted that comparable sales growth in September and October showed a solid improvement on the previous two months.
This has cheered investors, who had become strongly negative on this stock over the past few months. Today’s news shows that negativity was overdone.
What Now for JB Hi-Fi Ltd?
JB Hi-Fi is a proven, resilient performer through good times and bad. It offers a reasonable fully franked dividend, growth prospects through its new ‘Home’ format stores and value return through the share buyback programs it has carried out over the years.
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You should take any indications that Australians are getting happier to open their wallets as a positive for this stock.
Cheers, Tim Dohrmann+
Small-Cap Analyst, Australian Small-Cap Investigator
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The post Why JB Hi-Fi Ltd Shares Jumped Today appeared first on Stock Market News, Finance and Investments | Money Morning Australia.
