It was not that long ago the JB Hi-Fi Limited (ASX: JBH) share price could seemingly do no wrong. This was a company that rose by 120% between March 2019 and March 2022, after all.
Not only that, but JB also managed to dramatically ramp up its dividends too. This ASX 200 retailer paid out $1.32 in dividends per share in 2018. But by 2021, this had risen to $2.87 in dividends per share.
And yet, the past financial year has been one of the toughest in recent memory for this company. FY22 saw JB fall from the $50.58 share price it was commanding at the start of the last financial year to the $38.46 it was left with when FY22 wrapped up earlier this month. That's a painful drop of almost 24%.
As my Fool colleague Tristan went through earlier this month, JB was hurt by falling profits and sales in its report covering the six months to 31 December 2021.
The company also did not exactly inspire investors when it admitted there was "ongoing disruption to stock availability and operations arising from COVID-19 and other local and global uncertainties" during its third-quarter update for FY22.
So with such a painful loss over the financial year just gone, can the JB Hi-Fi share price recover over the new financial year we have just begun?
What's next for the JB Hi-Fi share price in FY23?
Well, there is one ASX broker who reckons the worst might be behind the JB Hi-Fi share price. As we covered just yesterday, broker Citi has just upgraded JB shares to a buy rating.
That came with a 12-month share price target of $47. That would represent a potential upside of around 9.5% from the $42.92 JB is commanding today (at the time of writing).
Citi anticipates that household spending will remain strong, despite the recent inflation we have seen in the economy, helping to prop up JB's sales. As such, it sees the current JB share price as favourable.
But other ASX brokers have not been as kind. We've also recently covered how Ord Minnet has cut its rating from buy to hold, with a share price target of $42.
Ord Minnet doesn't have the optimism that Citi does when it comes to inflation and rising interest rates, which it sees as a potential spanner in JB Hi-Fi's works.
So time will only tell which ASX broker is on the money when it comes to JB shares.
In the meantime, the current JB Hi-Fi share price gives this ASX 200 retailer a market capitalisation of $4.69 billion, with a dividend yield of 6.3%.
