My question is why aren't SDG buying back its shares since Feb 2011 ( still can buy 21 million shares!!).
Why are they not $1, well the forward earnings outlook is not flash. It has a number of developments in the Gold Coast, a weak market. HIA new home sales numbers have not been too flash lately too. The company may actually earn less in this half than the last half!
If management were serious about creating shareholder wealth they would wind this company up and pay out the left over capital to shareholders.
Big share buybacks are good for shareholders, but also is a way for Mr Obedian to use company money to increase his power in the company without paying a takeover premium!!!
SDG Price at posting:
62.0¢ Sentiment: Hold Disclosure: Not Held
