Weekly Tactical Pick: HG Infra Engineering
Robust growth and diversification in new segments key re-rating triggers for HG Infra Engineering
November 26, 2021 / 09:52 AM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
With COVID-19 pandemic receding and a significant population (about 60 percent) getting vaccinated, the government focus has now shifted to accelerating economic growth. The government has identified infrastructure development as a key focus area as it creates jobs and support ancillary industries such as cement and steel. The construction sector contributes about 10 percent to the country’s gross domestic product and is vital to bring the economy back on high growth path. Hence, we are recommending HG Infra Engineering...