MRV Rises With Homebuilders on Growth Outlook: Sao Paulo Mover
Stock Chart for MRV Engenharia e Participacoes SA (MRVE3)
MRV Engenharia & Participacoes SA (MRVE3), Brazil’s second-biggest homebuilder by market value, rallied as economists increased their projections for economic growth this year, fueling optimism on real-estate demand.
The shares advanced 5.2 percent to 8.76 reais at the close of trading in Sao Paulo, the highest level since April 23. The BM&FBovespa Real Estate Index added 3.5 percent.
Nineteen out of 20 stocks in the real-estate gauge rose today. Gafisa SA climbed 5 percent to 2.94 reais, PDG Realty SA gained 6.5 percent to 2.45 reais and Brookfield Incorporacoes SA (BISA3) advanced 7.6 percent to 1.83 reais. Cyrela Brazil Realty SA, the nation’s biggest homebuilder by market value, rose 2.2 percent to 16.06 reais.
“A scenario of bigger growth for Brazil is positive for homebuilders as it should mean higher revenue,” Felipe Rocha, an analyst at brokerage firm Omar Camargo, said by phone from Curitiba, Brazil.
Economists covering Brazil raised their growth forecasts for this year to 2.32 percent from 2.20 percent, according to the median of about 100 estimates in a central bank survey published today.
Brazil’s gross domestic product advanced 1.5 percent in the second quarter from the prior three months, the national statistics agency reported Aug. 30. The expansion exceeded the projections of all of the 44 analysts surveyed by Bloomberg.
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