Business · Markets · 20 hrs ago
Woolworths and JB Hi-Fi offer investors different risks and returns
Woolworths and JB Hi-Fi are Australian retailers listed on the ASX.
Woolworths mainly sells groceries and essentials through supermarkets in Australia and New Zealand, and also owns Big W. JB Hi-Fi sells electronics, appliances and home entertainment through its JB Hi-Fi, The Good Guys and e&s stores.
Grocery demand is generally less sensitive to economic conditions than spending on electronics and household goods, so Woolworths is described as the more defensive business.
Through 7 October 2026, Woolworths shares were up 33.1% for the year, while JB Hi-Fi shares were down 23.5%.
JB Hi-Fi had a lower price-to-earnings ratio and a higher fully franked dividend yield, but its share price had fallen amid tough consumer conditions.
The comparison favours Woolworths for investors seeking stability, while showing the different risks and potential returns of both shares.
Woolworths and JB Hi-Fi offer investors different risks, valuations and dividend yields, according to Motley Fool AU.
Woolworths sells groceries and everyday essentials, while JB Hi-Fi focuses on electronics, appliances and home entertainment.
The article presents Woolworths as the more defensive option and JB Hi-Fi as more exposed to consumer confidence and economic cycles.
As of 7 October 2026, Woolworths shares were up 33.1% year to date, while JB Hi-Fi shares were down 23.5%.
JB Hi-Fi had a lower P/E ratio and higher fully franked dividend yield than Woolworths.
The article’s author said they would choose Woolworths in the current economic climate.
- Who
- Woolworths Group and JB Hi-Fi, two Australian listed retailers.
- What
- The article compares their business risks, valuations, share performance and dividends for investors.
- When
- Published on 11 October 2026; share-price performance figures are stated as of 7 October 2026.
- Where
- Australia, where both companies are listed on the ASX; Woolworths also operates supermarkets in New Zealand.
- Why
- The comparison addresses investor choices amid uncertainty about Australia’s economic outlook.
Woolworths
JB Hi-Fi
Business risk
Woolworths
Woolworths is presented as a defensive consumer-staples business because people continue to need groceries and essentials.
JB Hi-Fi
JB Hi-Fi is more exposed to consumer confidence and economic cycles because it sells discretionary goods.
Valuation and income
Woolworths
Woolworths has a higher P/E ratio of 41.21 and a 2.54% fully franked dividend yield.
JB Hi-Fi
JB Hi-Fi has a lower P/E ratio of 15.74 and a 4.79% fully franked dividend yield.
Share performance
Woolworths
Woolworths shares were up 33.1% year to date as of 7 October 2026.
JB Hi-Fi
JB Hi-Fi shares were down 23.5% year to date as of 7 October 2026.
No direct quotes in the coverage so far.
Woolworths split off its liquor and hospitality interests to form Endeavour Group.
Woolworths closed at $38.22 and JB Hi-Fi closed at $70.36, according to the article.
Motley Fool AU published its comparison of Woolworths and JB Hi-Fi shares.
- Woolworths market capitalisation
- $46.69 billion
- JB Hi-Fi market capitalisation
- $7.69 billion
- Woolworths P/E ratio
- 41.21
- JB Hi-Fi P/E ratio
- 15.74
- Woolworths / JB Hi-Fi dividend yield
- 2.54% / 4.79%, fully franked
- Year-to-date share returns
- Woolworths: 33.1%; JB Hi-Fi: -23.5%
Sources
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