Reece is the latest stock to get smashed after failing to meet expectations. But as the AFR highlights, there is a lot more going on.

By the sounds of it, the earnings call was full of drama, with the CEO laying it all out in a less than strategic manner.

I have not followed Reece too closely, but this feels like yet another example of how chasing growth can end up destroying value, especially when it involves large offshore acquisitions. It also hints at deeper cultural issues within the business.

I cannot help but wonder how much of Reece's past success was a function of having a strong tailwind from decades of relentless property growth. When everyone is mad for renos after binging property porn, and cashed up with loads of equity to spend, business gets a lot easier. Not to take anything away from them, the company has clearly been run well for most of its history. But it is always easier to look good in a boom.

It makes you wonder what other companies might be exposed if the property juggernaut ever slows, although with Albo's latest housing pump scheme, that may still be a way off yet.