The revised cooling measures implemented in the middle of 2018 has finally pushed Q418 sales to a dip since Q217. It was only slightly down by 0.1% quarter on quarter and most of the decline was mainly due to landed sales so in all essence the demand for private property is still pretty buoyant.
With the introduction of the new cooling measures, which coincides along with the increase in tandem in interest rates, it brings the share price of City Development down from the 52 week high of $13.6 to the last closing price of $8.08.
That is a very sharp decline and if you are an investor who buys at the peak and it can get very painful to see your portfolio colored in a patriotic sea of red.
But is there value now in the company after such a steep decline?