JB-Hi Fi's sales up, share price down | Trump's tariff on Australian goods | Musk's godfather offer for OpenAI

actually GST three. But now the ATO has said that if you want to sell sunscreen GST three, the product needs to be marketed principally as sun protection, not a strawberry lip farm with SBF fifteen fox A. Did you know the ASX index in January wrotes four point six percent, which is a pretty good flex for the first month

of the year. There are some seriously top performing stocks in ASX from January and we have it all covered in the Flux out, so make sure to check it out to see what were the best performing stocks in January this year. Three Beta stories today, Chuzzy boy, Let's do it for our first. JB Hi Fi has announced better than expected sales growth for the past six months, but its share price still fell five percent. Robo Vacuum's really leading from the frontier for JB High Fi. So

what's going on? Well? Jbhigh Fi is obviously the ossie electronics of retailer that's been around since nineteen seventy four YEP. Back in the day, it was selling twenty inch TVs and Elton Junker setts that got schewed up in your cartterea. Nowadays we're talking everything from iPhones to smart home devices, TV's washing machines with Wi fi that practically does your

taxes for you and men man. Jbhigh Fi also owns the Good Guys and more recently n S, which had acquired in September last year, and now jbhi Fi has announced sales growth of nearly ten percent for the six months to December and net profit rows eight percent as well. But while that sounds good, it's share price fell five percent y jbco was a little cautious. He said they're expecting rising prices from suppliers and that will be passed on to consumers and it might impact their upcoming results

and be man. Might I remind you that JB has been trading on a forward profit multiple of just over twenty three times YEP. Compare that to a long term average for the consumer discretionary sector of about eighteen times, so be Man, investors were thinking, maybe it's time to reconsider this stock. So what is the key learning here? Investors don't just look at what companies have done in

the past, but also they look at what's next. And when a company's share price has jumped seventy percent in a year a hem JB high five, expectations go through the roof and that's where forward profit multiples come in. A forward profit multiple compares a company's share price to its expected future earnings. If the profit multiple is high compared to the sector's average, it means that investors are

betting on strong future growth. But if growth starts to slow down, even slightly, the market can punish the company, and that is what happened here with JB Hello five percent drop in share value. For our second story, Donald Trump has warned of a fresh set of tariffs and this time it could affect the Australian economy in a big way. Strap on your heart, hat b Man, because we're back in the era of Trump tariffs. So tell

me what well, Jasi boy. We spoke on the pod the other week about Trump's plan to put twenty five percent tariffs on Canada and Mexico which temporarily pause, and a ten percent tariff on Chinese goods, which has already kind of started a bit of a trade war. Yes, but now Donald Trump has warned of a new tariff on any steel and aluminium that comes into the US, or is the US like to call it aluminum. He's planning to put a twenty five percent tariff on these imports.

That's a tax on imported goods. Now, in the past, be Man Australia has got a get out of tariff jail free car. By this time, Trump's saying no exception. So next minute Albert gave Trump a call and begged for an exemption, which is supposedly under consideration. So what's the key learning here? There is an age old debate between free trade and protectionism. Free trade means countries remove barriers like tariff, which makes it easier to buy and

sell goods across borders. Now, protectionism, on the other hand, is when a country places trade barriers on imports to protect their local industries from foreign competition and be man. The US has traditionally supported free trade, but under Trump, tariffs have become his go to economic weapon. But does this boy Unfortunately, Australia is particular vulnerable to global trade wars, and that's because we export everything around the world, from

einor to the US and wine to China back. Australia exported one billion dollars in aluminium, iron and steel to the US in twenty twenty three. So if tariff's are introduced, the government needs to throw on its hide his vest and hustle hard to protect Australia's interests on the global stage.

For our third and final story, a group of investors are led by Elon Musk, has made a ninety seven point four billion US dollar offer to buy the non profit organization that controls chat GPT, who clearly Elon not happy enough with his XAI. So what is going on here? Well, the company behind chat GPT is called open Ai and it was initially launched in twenty fifteen as a non profit research lab and b man. It was co founded by a man called Sam Holtman and Elon Musk, but Juzboy.

In twenty nineteen, Elon left open AI and Altman created a capped profit subsidiary which allowed open ai to raise capital from external investors, and since then it's been an all out war between Musk and Altman because Elon Musk, for lease, open ai has violated its founding mission to

remain as a nonprofit. But now Musk and a group of investors have put a ninety seven point four billion US dollar offer to open ai, the nonprofit organization which also happens to own a portion of the for profit part. And just as this offer sent the Internet into a spin, open Ai CEO Sam Altman responded on X no, thank you to your offer, but we will buy Twitter for nine point seventy four billion if you want just a reminder, Elon Musk acquired X for forty four billion dollars in

twenty twenty two. Ouch and be man. Well, this might just look like another tech profud it actually highlights the challenge of scaling nonprofit tech businesses. So what's the key learning here? Balancing mission and money is one of the

trickiest challenges for fast growing companies. Multiple well known tech companies started out as mission driven nonprofits but later shifted to for profit models in order to scale the business and be man This can create a heap of tension for employees, the comp the directors, and the financial backers of these companies and Jaseyboy. OpenAI ain't the first company to face this non profit verse profit conundrum. Nope. Mozilla,

which is the web browser. They started as a nonprofit initiative, but then it created a for profit subsidiary called Mozilla Corporation to compete better with Google Chrome and Microsoft Edge. Then there's also deep Mind, which was an AI research lab originally focused on ethical AI development, which was acquired by Google for four hundred million US dollars in twenty fourteen. So b man, it'll be interesting to see if open ai will prioritize cash or return to its original mission.

Flux maam the ASEX two hundred indexecute is an all time high at the end of January and has continued to go up and up and up. We take a look at the four best performing ASX stocks in January twenty twenty five, and you might be surprised who's up there. To make sure to check out the Flux out to see the winners from January. Thanks for listening and we'll see you on for Friday