The Australian economy needs to transition to new sources of growth, and we are pinning our hopes on the housing market and infrastructure spending taking up...
The Australian economy needs to transition to new sources of growth, and we are pinning our hopes on the housing market and infrastructure spending taking up the slack. The potential listed company winners from the transition appear obvious. The candidates are construction, contracting and engineering companies. The stocks within these sectors are yet to get a price boost because the market lacks confidence that the Federal Government, which is paranoid about debt and a budget crisis, will be moving any time soon to roll out new road works and infrastructure. Winners to benefit from additional LNG investment in the coming years will include UGL and Leighton. The sustained residential construction cycle will benefit the likes of Adelaide Brighton and Brickworks. Other winners from an increase in infrastructure spending are contractors and road builders, including Leighton, UGL, Seymour White and Macmahon. Read the full report (VIEW LINK)
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