Costain - even more contract winning adds to record Order Book, shares hit 211.50p, SQC TP 245p

Mark Watson-Mitchell - 18.06.2026

This morning, Costain Group (LON:COST) has confirmed the news that was declared within the construction sector yesterday, that it has been awarded a contract by Norfolk County Council to design and build new road infrastructure for the West Winch Housing scheme, a significant part of the overall £122m project.

Design work will commence this year, with construction expected to start in 2027, and the new road will connect the A47 with the A10 to support up to 4,000 new homes.

This contract further strengthens Costain's existing infrastructure delivery in the east of England, including road upgrades, water pipeline projects, gas mains upgrades, and consultancy services for London Stansted Airport.

Management Comment

CEO Alex Vaughan stated that:

"This award is built on our long-established highways delivery expertise and our proven track record in delivering best-in-class, value-for-money services for local authorities across the UK.

The West Winch Housing Road is an exciting project that will significantly improve people's lives and help support the local economy in the east of England and we're looking forward to working closely with our supply chain partners to deliver this new road safely and efficiently."

My View

This morning's announcement only confirms my view that the group is continuing to build up its already record Order Book, as I suggested in my article of last Monday when the shares were 194p.

Upon today's news, they have peaked at 211.50p and are now back to 209.75p - at which level I continue to rate the group's shares as a very attractive growth investment.

(Profile 05.09.19 @ 155p set a Target Price of 250p)

(Profile 02.08.21 @ 55p set a Target Price of 69p*)

(Profile 24.08.23 @ 50p set a Target Price of 62p*)

(Profile 20.08.25 @ 139p set a Target Price of 175p*)

(Profile 21.01.26 @ 160p set a Target Price of 199.50p*)

(Profile 02.03.26 @ 182p set a Target Price of 210p*)

(Profile 14.05.26 @ 196p set a Trading Range of 230p/260p)

Costain Roads