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Jefferies stock recommendations: Housing sector revival: Godrej Prop, HDFC & ACC among Jefferies’ top picks

Mumbai: Jefferies mentioned , HDFC, , L&T and are its prime bets on the anticipated revival within the nation’s housing sector. The brokerage mentioned the upcycle within the sector, which is rising from an eight-year downturn, may see an upcycle over the following 5 to seven years.

“The final 25-year historical past means that Indian property up/down cycles usually final 7-9 years,” mentioned Jefferies in a word to purchasers. “We imagine that the sector is now rising from an 8-year downturn and we imagine that 2020 was the underside.”

Jefferies mentioned the housing sector is seeing its finest affordability up to now 20 years. “During the last 9 years, property costs have moved up by solely 25% whereas the cumulative earnings development has been 70%. Low mortgage charges additionally assist,” the brokerage mentioned. Jefferies mentioned property builders, housing finance firms, cement and constructing supplies makers would be the key beneficiaries.

ET Bureau

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