Strong order books and better Q2 earnings have made the stocks of these 18 construction companies a good option for investors.
While a strong order book has been the key driver, most companies believe the execution of projects has significantly improved as key flagship government projects reach the completion stage.
The correction in midcaps has bought many construction companies to reasonable-to-attractive valuations
It is prudent to remain with construction players having balance sheet strength and industry expertise, but have lower return expectations in the interim
While notifying the tax rates for central GST, IGST and Union Territory GST, the Central Board of Excise and Customs (CBEC) tweaked the tax rate and the mode for calculation.
"India Ratings and Research (Ind-Ra) has maintained a stable outlook on the construction sector for FY18, driven by the expectation that the slow but steady increase in revenue and improvement in EBITDA margins seen during FY16 and 1HFY17 will continue in FY18," the rating agency said in a statement.
Speaking to CNBC-TV18 the CFO, Paresh Mehta, said the company will not make any compromise with its margin adding that it continued to bid for Engineering, Procurement, and Construction (EPC) projects with margins of around 12-12.5 percent.
Steps taken by the government to revive the construction sector will likely release Rs 39,366 crore to contractors and concessionaires, the NITI Aayog said today.
"The recent initiatives put forth by the NITI Aayog and approved by the Cabinet Committee on Economic Affairs (CCEA) for revival of the construction sector are a key positive for the stressed construction sector," Icra Vice President Shubham Jain said.
The new announcements are within the spirit of the new government to enable â€˜ease of doing business‘.
An array of measures approved by the Cabinet Committee on Economic Affairs (CCEA), including easing of rules for quicker settlement of disputes, pump in liquidity and reinvigorate stalled projects, will revive the sector, the infrastructure major said in a statement.
In an effort to revive the construction sector in the country, the cabinet chaired by prime minister Narendra Modi, has allowed contractors to move to a new, speedier arbitration process, approved the release of R
"Real estate and construction sector in India is expected to be the third largest globally by 2030 contributing over 15 percent to the Indian GDP and emerge as the largest employer in India providing employment opportunities to over 75 million people," KPMG said in a statement.
These calls were made by an engineer and an architect at the Business Excellence & Research Group awards (BERG) held in Singapore last night.
According to the global deal tracking firm, deal making activity in the first half of the year was down 4 percent in value terms, compared to deals worth USD 18.2 billion in January-June period of 2015.
The chain, run by Ruias-promoted steel maker, provides customised services to original equipment manufacturers, retailers as well as small and medium enterprises through a chain of 100 hypermarts and 200-300 franchises.
will need around 76.5 million strong skilled workforce in Building, Construction and Real Estate by 2022.
According to India Ratings, the construction sector is likely to witness a turnaround due to a pick-up in execution and order inflow on improved economic growth of 6.5% in FY16.
Other producers such as SAIL, Essar Steel, Rashtriya Ispat Nigam and Jindal Steel and Power are also expected to hike prices in the coming days due to rise in input costs, increasing international rates of steel and demand uptick in the current quarter, industry sources said.
As the cost of sand touches all-time-highs due to a shortage in the state, the construction sector has almost come to a standstill and commercial vehicles are waiting by the wayside.
The negative outlook is in view of the continued execution and liquidity challenges facing the sector. These challenges were identified as major constraints for the sector in the beginning of the year, the rating agency said today.
AnandRathi has come out with its report on construction sector. The research firm expects the recent out-performance in the sector to continue, albeit limited to specific stocks. Key fundamental drivers are: continued reforms with focus on infra and benefits of lower interest rates translating into lower charges.
Fitch Ratings says that the outlook for the Indian construction sector remains stable for H212, despite the continued unfavourable macroeconomic environment, as some of the risks have already been factored into the ratings.
Prabhudas Lilladher has come out with its earnings forecast report on construction and engineering sector for the quarter ended June 30, 2012.
Global crude steel production touched a new record in 2010, driven by growth in emerging regions and improving manufacturing in the developed world, although the construction sector remained gloomy.