Emaar, the Dubai real estate company, has fallen over 75% this year. All the fundamentals point down. Land has turned negative, the secondary market is bad, developers are in trouble, discount rates are rising, and construction costs are up.
Emaar has grown thanks to its international sales. The company therefore has to turn to cash preservation and cost rationalisation, something they have not been good at in the past.
Time to buy? Not yet!