With sincere respect too Roger, we will have to agree to disagree I think.
I have received the most terrible advice from Craig's in the past… actually, all the brokers at different times. Their role in this game is by its nature a conflict of interest. They need to convince people (through fear and greed) to buy and sell otherwise they don't make any money.
Only today, RYM's new whizz bang director George Savvides just put his money where RYM's mouth is. Purchased over NZ$100 Grand and bought at $8.42/share.
https://www.nzx.com/companies/RYM/announcements/250763 . I think George has a better idea about RYM's business than any broker out there.
The measure of cost-of-housing is subjective as there are many ways of measuring it. The graphs I have posted tell the story there. Not once, ever, has it been cheaper to buy a house than it was 7 years earlier, either here or across the ditch.
RYM doesn't sign up with customers under 70 year olds (Actually, I think 75 might be the number) except under special circumstances so there won't be an impact due to Aussies retirement age. Also in Oz, many retiree's have retirement bonds thus aiding affordability for them. Committed interest in Wheelers Hill was more than double the requirement in RYM's business model to enter Australia.
RYM's PE is higher than others because its EPS growth rate is far more predictable and it has the history to prove it. I bought in 2007 when PE was historically high (over 22 but don't have the exact figures on me). Dividends alone will give me a pre-tax cash payback in under 14 years. And with earnings more than double dividend payouts (I recall), that makes an actual PE of 7. ie. My shares have already earned me more than they cost me to buy. I think the same ratios will apply now... Buy at a PE of 35 today. Actual PE will be about 10 or 11.
Here is NZ's population growth. The trend is the same for Victoria, Australia. There will not be a shortage of tenants.
Attachment 5843
You will not find a sweeter graph in all of the NZX (and probably the ASX too) than this one:
Attachment 5842
All said and done. You may be right Roger. Market sentiment is the great unknown lurking at all times. As SparkyTheClown stated 'The market giveth, and the market taketh away'. Never a truer word said.