Dig up roads and pave them back: That was apparently the prescription to get the economy going after the US had gone into a big freeze during the Great Depression. As India begins to unshackle itself after an unprecedented lockdown, roads are set to top the list of money-makers — yet again.
So, which are the surest bets? Analysts expect 7-20 per cent in improvement in estimated EPS of construction and roads companies such as KNR Constructions, PNC Infratech, Larsen & Toubro (L&T), Ashoka Buildcon and IRB Infrastructure.
Their confidence isn’t unfounded. Construction activities have resumed and reached about 60 per cent of pre-Covid levels. Even toll collections have reached about 80 per cent of what’s considered normal, select developers said.