LOL that's a good one but I am happy to hold long term with SUM. They have a track record of very strong underlying EPS growth and its EPS growth that counts.
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The clues were there mate.
1. Not reiterating the 450 target despite reiterating it with every previous announcement.
2. The size of the profit upgrade. Normally you simply wouldn't bother with an upgrade of that magnitude, you'd simply beat the existing target which wasn't much lower.
3. The timing of the updated guidance, just before Christmas within ten working days or so of the pending Q4 sales announcement.
Announcement was clearly intended to give the market comfort and did.
Expecting steady progress this year. SUM is cheap based on fundamental's in my opinion in a market where its hard to find value.
Underlying EPS growth of late 30's (percent) is very robust considering the timing issue with settlement of units completed but not settled and a flat real estate market in Auckland. Underscores the strength of their business model in my opinion to get profit growth like this on modest overall sales growth.
Yes Percy we are indeed well positioned. Strong tailwinds in terms of demand going forward.
Scott reiterated at some length the market dynamic that people are trading down in size and value when buying the average unit in SUM and freeing up capital.
Most free up two - several hundred thousand in the process.
According to Barfoot and Thompson Auckland real estate doing okay. http://www.sharechat.co.nz/article/4...ewer-saleshtml
https://www.nbr.co.nz/article/summer...igure-b-211604
[QUOTE=Scott reiterated at some length the market dynamic that people are trading down in size and value when buying the average unit in SUM and freeing up capital.
Most free up two - several hundred thousand in the process.
I think most people miss this very important fact.
Minimoke and Beagle.I think you are better planners than me and my friends.We all worried about retirement.What was going to be enough,$1mil,$2mil,$5mil,[always impossible,so forget it] then years of getting kids through school,married,housed,,grand kids,divorced.Then having the housed paid off and some money invested in the sharemarket.Never wealthy.Then thinking all of your house sale will be eaten up buying a retirement village unit.To me and my friends ,all of a sudden finding you have 200 to 700 thousand to spare is like winning Lotto.