JB Hi-Fi fails to impress

In companies news today, retailer JB Hi-Fi announced first-half results, reporting a 29 per cent increase in net profit for the first half of 2009-10 and announced chief executive Richard Uechtritz would step down later this year.


JB Hi-Fi shares fell 92 cents, or 4.6 per cent, to $19.18. Rival Harvey Norman rose 5 cents to $3.67, David Jones added 4 cents to $4.66 and Myer gained 6 cents to $3.20.

Patersons Securities associate director John Curtin said while the result showed JB H-Fi was ‘‘moving in the right direction’’ it failed to beat the market’s already high expectations.

‘‘The stock is down 4 per cent today, but it does look a little bit of 'buy the rumour, sell the fact' in that regard,’’ Mr Curtin said. ‘‘It was a great result but it actually was very well priced into the market.


‘‘You see a lot of results come out and if they meet expectations and they don’t better expectations, you generally see a bit of a short-term sell off.’'

Mining giant BHP Billiton was up 51 cents, or 1.3 per cent, at $40.06, while Rio Tinto had advanced 76 cents, or 1.1 per cent, at $67.36.

Among the major banks, ANZ added 9 cents to $20.99, CBA was up 56 cents at $53.23, NAB was 13 cents higher at $25.44 and Westpac rose 28 cents to $22.89.

AMP is considering its takeover bid for fellow insurer AXA Asia Pacific Holdings, following the expiry of an exclusivity agreement with the target’s French parent. AMP added 9 cents to $6.24 and AXA was up 1 cent at $6.46.