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JB Hi-Fi shares surge 4% to a new 52-week high

Shares in JB Hi-Fi (ASX: JBH) have jumped 4% higher to trade at another new 52-week high of close to $23.

The company, and the stock, continues to defy the many doubters who’ve long predicted its demise in the face of intense competition and Internet shopping. Its shares are up almost 130% over the past 12 months — not bad for one of the most heavily shorted S&P/ASX 200 shares. Shares in fellow retailer Harvey Norman (ASX: HVN) are also trading close to a 52-week high, up 84% in the past year.

Last month JB Hi-Fi said it was on track to grow sales by up to 8% in the 2014 financial year, buoyed by new store openings and the new HOME appliance concept stores. Same store sales, a critically important measure for retailers, grew 2.9% in the September quarter, suggesting the company could have a very merry Christmas.

JB Hi-Fi shares now trade on a forecast P/E of 19 and a forecast dividend yield of 3.4%, which suggests the upside from here will be much more limited.

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