Realistically, the answer lies in the broader market. Goodman is fluctuating aruond similar cycles to the rest of the market. Aussie stocks have stalled badly. Given how our economy was supposedly so much stronger than the USA, why has our market stalled while the DOW has gone from strength to strength? I think the answer lies in the fear that is holding everything back in Australia at the moment. Small business is still hurting. People are saving rather than spending. Confidence is extremely low. We are the official two speed economy. Once this turns around (hey, it should eventually turn around), the value of stocks such as Goodman will go with it. When everyone is positive, they have no problem paying around NTA (or higher) for shares. At the moment, everyone wants to buy at a discount. I just sold my holding (@.715), hoping that I will pick it up a bit cheaper over the coming week. I am not entirely confident that will happen, but I have made very good money out of Goodman, so my worst case scenario is that I just locked in a nice profit. I believe this is a company with solid fundamentals, which is why there is only one direction it can go (provided we don't have another GFC or a total confidence melt-down in Australia).
GMG Price at posting:
$3.50 Sentiment: Buy Disclosure: Held
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