JB Hi-Fi

(AI video summary)

This video was created on 16 February 2026 for IG audiences by ausbiz.

ASX code: JBH

Srong earnings amid challenging retail environment

JB Hi-Fi reported record sales and strong earnings for the first half (H1) of the financial year. Demand for technology and consumer electronics, such as mobile phones, lifted sales by 7% to $6.1 billion for the period. Net profit rose 7.1% to approximately $306 million, resulting in a higher dividend payout of $2.10 per share for this period.

While growth continued in January, some analysts note slowing momentum and weaker trading. January is often a seasonally softer month, with ongoing retail market uncertainty and competition adding challenges.

JB Hi-Fi's 7.8% rise

JB Hi-Fi shares have surged 7.8%, which may have surprised some market participants. While the results were generally in line with expectations, the recent interest rate rise and pressure in the consumer sector are viewed as potential challenges. A 'lightening' recommendation is placed on JB Hi-Fi, with a target price of $96. The recent share price bounce is viewed more as a correction from previous sell-offs rather than a result of the company's performance.

Investment outlook

While JB Hi-Fi had been richly valued, its current price-to-earnings (P/E) ratio of around 17–18 times is not considered overly expensive. Despite sector pressure and negative sentiment, JB Hi-Fi is suggested as a 'hold' due to a solid half-year report and dividend increase.