Ann: Dividend/Distribution - HVN, page-45

But Buffett also likes low cost retailers, ie. retailers with a lean cost base and resultant low selling prices like Walmart or Nebraska Furniture Mart. To him, that's a "moat" that allows the retailer to thrive no matter what the economic conditions are. In that regard, HVN is probably not a Buffett stock as sticker prices on Harvey Norman's goods are usually higher than its competitors.

I think the comment from someone else than recession is a real risk to HVN is fair. The other day someone from the RBA said the current unemployment rate - among the lowest in history - is incompatible with stable prices and low inflation. Implication being, people must start losing jobs, businesses firing workers, etc. So it's pretty clear to me, RBA will take rates to as high as needed to cause some economic pain. Maybe when that happens, and HVN's profits tank, might be a better time to buy.