Dara Hiwatt's questions to Howard Hughes Holdings Inc (HHH) leadership • Q3 2024
Question
Dara Hiwatt from Black Oak highlighted the company's strong performance and rising liquidity, asking how management compares new development returns against the stock's perceived low valuation and whether the company might hold its high liquidity for an extended period.
Answer
CEO David O'Reilly acknowledged the disconnect between the company's underlying value and its share price, which makes buybacks attractive. He stressed a balanced, long-term approach to capital allocation, weighing share repurchases against strategic, value-creating developments. O'Reilly suggested a potential shift towards fewer developments and more buybacks could occur depending on market conditions, but a balance is necessary to continue improving the communities.