Business Standard

Rising raw material costs make analysts cautious on realty stocks

Over the last one year, developers' average cost of construction has risen 10 - 12 per cent, owing to higher input cost due to supply-side constraints

Housing market, Homes, Real estate, Realty
Web Exclusive Premium

Puneet Wadhwa New Delhi
Analysts are turning cautious on stocks of real estate companies, which have been hit by a double whammy of rising input costs that may push them to pass on this surge to the consumers and a possible rise in interest / home loan rates over the next few months that can slow their sales.

At the bourses, the Nifty Realty index has been an underperformer, slipping nearly 7 per cent thus far in calendar year 2022 (CY22) as compared to around 1 per cent dip in the Nifty50 index. Indiabulls Real Estate, Sobha, Godrej Properties, Macrotech Developers and Sunteck Realty

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Mar 29 2022 | 10:43 AM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers.

Register to