It's one of the most heavily shorted shares on the S&P/ ASX200 (ASX: XJO) but if the analysts at Goldman Sachs are on the money anyone shorting JB Hi-Fi Limited (ASX: JBH) could be cruising for some painful losses.
On May 21 Goldmans' analysts revisited their valuation on the electronic goods retailer in the wake of the shock federal election result that many commentators believe is set to help the housing market and consumer-facing companies.
As a result of the improved outlook Goldmans has raised its short-term EBIT and like-for-like sales forecasts for JB Hi-Fi and come up with a $30 12-month share price target on the business.
Today the stock changes hands for $27.60 which is around 9% below Goldmans' price target and it also offers a one-year forward dividend yield around 5% based on Goldmans' forecasts.
I'd have to agree with the analysts on this one in thinking that JB Hi-Fi may offer market-beating returns from here.
