Weak construction, real estate demand hurt Cera Sanitaryware

Cera Sanitaryware Ltd shares have slipped around 22% since mid-April over concerns of a slowing real estate and housing market. They had, however, touched an all-time high in April on expectations of upbeat revenue growth buoyed by the government’s cleanliness campaign—Swachh Bharat Abhiyan for building toilets.

https://www.livemint.com/Money/je7Y...eal-estate-demand-hurt-Cera-Sanitaryware.html

 

Then what about somany ceramics and HSIL? Somany Ceramics is running upwards.

 

I am holding stock from 1200. And still holding it
Is the prospective gonna change after2,3 year point of view.. thanks..

 

Cera is a very strong stock. Excellent brand, management, etc. Such stocks revive first with real estate recovery. This is time to buy such strong stocks IMHO.

 

real estate seems to be take a quite long time to revive. interest rates should go down considerably to stimulte new home buyers. i think it will take 2-3 years to r.e. to pick up really.keep a close watch? which stocks do you like from r.e.?

 

Good stock but over priced presently,But Quality is at premium every where .I don't have but can think of If it realy go down around1200.I always keep a watch on sector leaders to catch in any blood bath.

 

@kharb sir cera is still at 37 pe. will you invest at 30 pe?

 

If you can catch sector leader with reasonable growth and good quality management below 30 PE,it will have margin of safety.I think on bad days and in blood bath you get these bargains.

 

yes sir. but since real estate sector and tile business is closely linked , when real estate takes time to revive, tile business will also lag behind. this is my personal opinion.