INFRASTRUCTURE :Allz is WELL: No It’s not looking good

Have you looked at the infra stocks. They have now been hammered beyond recognition. Just have a look at the charts of major infra companies


GMR Infra Chart

When UPA Government came to power in 2009: GMR Infra stock price was 82. Today it is 12 – down 85%. Stock market is writing off the company

GVK Power

When UPA Government came to power in 2009: GVK Power stock price was 45.8. Today it is 5.8 – down 87%. Can the company survive?

Lanco Infra

When UPA Government came to power in 2009: Lanco Infra stock price was 37. Today it is 5.2 – down 85%. Can the company survive?

JP Associates

When UPA Government came to power in 2009: JP Associates stock price was 138. Today it is 37 – down 73%. The company is leveraged and market is worried about state of finances and completion of projects.

Conclusion
There is very important lesson that these stocks give us. When things start turning bad, never underestimate how bad they can get. That’s the same problem people are making with Indian market as a whole and Indian economy. You cannot imagine how bad or worse things can get. So, better watch from sidelines than be brave.