i am wondering if those who are selling now are taking advantage of increased liquidity in the stock and selling down the shares they got as employees of MEA in the float. they would see the property market slowing and talk of interest rates and with the relative strength of the SP vs a couple of years ago want to cash out. John would know this and hence the buy back to clear those shorter term investors out. the share register can do with more longer term holders who understand the cyclical nature of the property market.
I still see pretty good volumes going through and given property prices are up around 20% yoy that should make FY22 a good year with enough cash to ride out the downturn and maybe pick up some additional market share but acquisition. There is still upside in Qld and VIC markets to expand the footprint.
I also agree that for existing shareholders the lower the price at the moment means we need less cash to knockout 10% of shares on issue which should improve dividend yield going forward.
MEA Price at posting:
41.5¢ Sentiment: Hold Disclosure: Held
