Major construction-related stocks led by realty giant DLF, Jaiprakash Associates, HDIL, IVRCL Infra and Indiabulls Real Estate helped increase investor wealth by $1.5 billion as around 50 shares representing the sector rose by an average 4.7% on Thursday as the benchmark index rescaled 10000 peak.
This surprised market men as they see no new reason for construction-related stocks, especially real estate, to go up as challenges confronting these companies remain. However, the investors and traders at the markets were bullish on real estate as the BSE Realty index, (which is down 21% for the year), gained 150 points or 9.13%. Except Unitech (unchanged) and Akruti (5% down), all the other 12 constituents were up between 3-16%, BSE data shows. The BSE Realty index captures price movements of only 14 stocks. But a bigger action was witnessed in the construction-related counters with companies involved in contracting, civil construction, housing and real estate finding favour with investors.
While Delhi-based DLF topped the investor wealth added list with Rs 4,537 cr (15% up), Jaiprakash Associates (engaged more in the civil construction side) added Rs1,338 cr to its investor kitty as its stock rose 13%. The stock of Mumbai-based HDIL gained 13% adding Rs 323 cr to its investor wealth, IVRCL Infra gained Rs 250 cr by virtue of its 14.7% stock rise, Indiabulls Real Estate added Rs 238 cr with its 9.2% stock jump.
Courtesy:- TOI dtd:- 03-04-09