Construction and Housebuilding

Euroconstruct more cautious on growth prospects for European construction in 2020


Ratings and price correct at time of issue

Company Rating Date Previous Rating Date Closing Price
Abbey OUTPERFORM 30/06/09 N/A N/A 1370c
Barratt Developments plc NEUTRAL 24/03/14 Outperform 10/09/13 667p
Bellway plc OUTPERFORM 24/03/14 Neutral 10/09/13 3339p
Berkeley Group UNDERPERFORM 10/09/13 Under Review 21/05/13 4586p
Vistry Group OUTPERFORM 10/09/13 Under Review 21/05/13 1225p
Breedon Group OUTPERFORM 22/11/19 Neutral 25/10/17 69.6p
Buzzi Unicem OUTPERFORM 04/04/16 Neutral 05/08/15 2248c
Cairn Homes OUTPERFORM 26/08/15 N/A N/A 120c
CRH OUTPERFORM 23/05/12 Neutral 12/01/12 3473c
Ferguson NEUTRAL 10/11/17 N/A N/A 6722.0p
Forterra plc NEUTRAL 19/08/16 N/A N/A 292p
Geberit NEUTRAL 08/05/14 Underperform 09/11/12 53680chf
Glenveagh Properties OUTPERFORM 10/11/17 N/A N/A 80.0c
Grafton Group OUTPERFORM 15/12/15 Neutral 07/09/15 838p
HeidelbergCement AG OUTPERFORM 16/06/17 Neutral 05/02/14 6710c
Howden Joinery NEUTRAL 26/09/19 Outperform 29/01/15 631p
Ibstock plc NEUTRAL 04/08/17 Outperform 19/08/16 264p
Kingfisher NEUTRAL 20/08/18 Outperform 02/10/17 210p
Kingspan Group OUTPERFORM 12/05/11 Neutral 30/06/09 4892c
LafargeHolcim NEUTRAL 09/01/19 Underperform 17/11/15 5156chf
Persimmon plc UNDERPERFORM 10/09/13 Under Review 21/05/13 2558p
Redrow plc NEUTRAL 10/09/13 Under Review 21/05/13 661p
Saint-Gobain Group NEUTRAL 09/01/19 Outperform 07/09/15 3675c
SIG plc NEUTRAL 01/07/16 Outperform 15/12/15 125p
Taylor Wimpey plc OUTPERFORM 10/09/13 Under Review 21/05/13 174p
Travis Perkins plc UNDERPERFORM 01/07/16 Neutral 20/10/14 1540p
Wienerberger OUTPERFORM 09/05/18 Neutral 09/01/17 2490c


In Euroconstruct’s latest semi-annual review, there is a mixed outlook for European construction activity. It now expects volumes will have increased by 2.3% this year; back in June, a 1.9% expansion in 2019 was envisaged. However, for 2020, Euroconstruct is now forecasting volumes will rise 1.1%, down from a previous estimate of up 1.5%. The best-performing sector next year is expected to be infrastructure (+2.6%), while new residential activity is forecast to be flat. From a country perspective, Ireland is now anticipated to be the fastest growing construction market in Europe with growth of 6.3% predicted. Elsewhere, the outlook for construction in some of the important continental markets such as Germany (-0.6%), France (+0.4%) and the Netherlands (+0.5%) is very subdued for next year. However, there is more optimism in relation to the UK with construction volume growth now expected to improve to 1.4%.

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Dec 2 2019, 08:10 GMT