Why investors are wary of investing in Real Estate companies?

04 Aug 2021 CW Team

There have been debates around investing in physical real estate investment v/s investing in equity shares of listed entities in the real estate sector. Unlike in real estate, the players from the other sectors like banking, IT, and automobile managed to show consistency in financial performance. One of the key reasons why investors are pulling back from investing in real estate is due to inconsistency in terms of performance on the bourses. If we look at the performance of realty companies for the past one and half decades, it clearly shows they have eroded the wealth most of the time. Another reason is that very few companies in the real estate segment are listed companies. DLF was one of the few companies that directly got an entry on a listing day to become a part of Sensex.

Another major setback is that some of the leading real estate companies could not execute large and ambitious projects successfully. A lot of restructuring has happened, and as a result, the investors have lost their confidence in these companies.

On one hand, where the execution of large projects has been a challenge, there are many other factors that are keeping the investors away from investing in the realty sector. What are the reasons behind realty companies not enjoying valuation premium on the bourses?

To know more click here.....

As the world begins to recover from the after-effects of the pandemic, many real-estate investors are eagerly waiting to know what will happen next. The demand in the Indian real estate sector has always been outpacing the supply, especially in urban cities. It is noteworthy that many investors have managed to generate significant returns by just investing in real estate. Having said that, it is a big question --Why is it that a sector which has got all demand drivers in place - has never enjoyed premium on the bourses? A few of the real estate companies offered bonds paying 14-18 percent interest rates, but there were few takers of such offering. Despite having a good demand, the organised players hardly enjoy a premium on the bourses.? There have been debates around investing in physical real estate investment v/s investing in equity shares of listed entities in the real estate sector. Unlike in real estate, the players from the other sectors like banking, IT, and automobile managed to show consistency in financial performance. One of the key reasons why investors are pulling back from investing in real estate is due to inconsistency in terms of performance on the bourses. If we look at the performance of realty companies for the past one and half decades, it clearly shows they have eroded the wealth most of the time. Another reason is that very few companies in the real estate segment are listed companies. DLF was one of the few companies that directly got an entry on a listing day to become a part of Sensex. Another major setback is that some of the leading real estate companies could not execute large and ambitious projects successfully. A lot of restructuring has happened, and as a result, the investors have lost their confidence in these companies. On one hand, where the execution of large projects has been a challenge, there are many other factors that are keeping the investors away from investing in the realty sector. What are the reasons behind realty companies not enjoying valuation premium on the bourses?To know more click here.....

Infrastructure Urban

05 Nov 2025

TBO Tek Q2 Profit Climbs 12%, Revenue Surges 26% YoY

TBO Tek Limited one of the world’s largest travel distribution platforms, reported a solid performance for Q2 FY26 with a 26 per cent year-on-year increase in revenue to Rs 5.68 billion, reflecting broad-based growth and improving profitability.The company recorded a Gross Transaction Value (GTV) of Rs 8,901 crore, up 12 per cent YoY, driven by strong performance across Europe, MEA, and APAC regions. Adjusted EBITDA before acquisition-related costs stood at Rs 1.04 billion, up 16 per cent YoY, translating into an 18.32 per cent margin compared to 16.56 per cent in Q1 FY26. Profit after tax r..

Infrastructure Energy

05 Nov 2025

Northern Graphite, Rain Carbon Secure R&D Grant for Greener Battery Materials

Northern Graphite Corporation and Rain Carbon Canada Inc, a subsidiary of Rain Carbon Inc, have jointly received up to C$860,000 (€530,000) in funding under the Canada–Germany Collaborative Industrial Research and Development Programme to develop sustainable battery anode materials.The two-year, C$2.2 million project aims to transform natural graphite processing by-products into high-performance, battery-grade anode material (BAM). Supported by the National Research Council of Canada Industrial Research Assistance Programme (NRC IRAP) and Germany’s Federal Ministry for Economic Affairs a..

Infrastructure Urban

05 Nov 2025

Antony Waste Q2 Revenue Jumps 16%; Subsidiary Wins Rs 3,200 Cr WtE Projects

Antony Waste Handling Cell Limited (AWHCL), a leading player in India’s municipal solid waste management sector, announced a 16 per cent year-on-year increase in total operating revenue to Rs 2.33 billion for Q2 FY26. The growth was driven by higher waste volumes, escalated contracts, and strong operational execution.EBITDA rose 18 per cent to Rs 570 million, with margins steady at 21.6 per cent, while profit after tax stood at Rs 173 million, up 13 per cent YoY. Revenue from Municipal Solid Waste Collection and Transportation (MSW C&T) reached Rs 1.605 billion, and MSW Processing re..