With these companies, such as SYD, TCL and APA are another two, the market including many analysts, fundies and others connected to them, forget IMHO that the cash flow can't really deteriorate too far and the effect of higher interest rates on the debt is usually hedged as a mandatory matter of course.
In fact, hedging the rate of the debt is usually a requirement either soft or hard put out by the banks, which are the lenders, of companies such as SYD, TCL and APA.
So the only question is rate of dividend growth, the PE is a useless statistic, the only thing to be concerned about is dividend yield and growth in earnings. The debt and the comparative short to medium term rate is pretty much a constant.
SYD as well as TCL and APA should be making hay while the rates are low to gain and complete assets (that tend to become monopolistic if u gain them and manage them cyclically) as only these companies with pre-existing assets can afford to take on the debt.
Once completed, the assets become cash cows or more aptly dividend cows IMHO but pls DYOR.
They have all been sold off too much as the market reacts to the downside.
SYD, TCL and APA are all oversold IMHO and it is FOMO time which is not to say there is not a little more SP weakness in store for them as markets overreact and it is notoriously hard to bottom pick.
