Property platform DHG continues to play second fiddle to REA Group (REA) but after almost halving since November some degree of value is returning to the on-line platform although the trifecta combination of a high valuation, tech sector and negative sentiment towards property outlook has weighed significantly on investors’ appetite for the stock. We are already seeing lower property prices in the big cities which is usually followed by lower sales listings which by definition will negatively impact DHG’s earnings hence while we are at an early stage in the rising interest rate cycle MM is more comfortable being observer with regard to DHG.
MM is neutral DHG around $3.30
Add To Hit List
