CRH below €18

shnaek

What are your opinions on this? To me it looks as if they are undervalued. Construction in the US, UK and Ireland will definitely be slower for the next few years - but what are the factors behind its recent share price drop?

Idu

you answered your own question

justfortherecor

While residential construction will be slower, it isn't the main source of income for CRH.

Highway construction in the US is actually increasing in value and CRH are market leaders over there. They've also been investing heavily in China recently which shows further diversification of activities.

shnaek

janets_on_clubs wrote: »

you answered your own question

I should have been more specific. I meant it's drop in the last month, and particularly the last couple of weeks. Its origional drop from mid €30's down to low €20's I can understand, based on weakness in housing. So I guess your thinking is that the current weakness in bank stocks and the latest bad news on the housing market in the US and UK is also pulling CRH lower? So effectively CRH is being caught up in the tide of bad news on the housing market, but not based on its core business.

shnaek

CRH shares were down €1.67 to €15.64 in Dublin this morning - jebus!

If they didn't go down elsewhere, you have yourself a nice little op!

However, I looked at CRH and AIB and how their shares moeved on different markets. While there was deviation in price paths, it wasn't enough to make anything on as the transactions costs were always bigger then the gain.