bottom picking implies value investing. And a critical component of value investing is NAV (the last 2 puffs of the cigarette as Buffet would say). Now it is very difficult to estimate NAV of a construction stock, compared to an asset heavy shipping company, for example. Yes they have a lot of cash - but that is misleading - as a lot of cash is tied up in warantee bonds, performance bonds, etc, so that cash is not actually free to draw on (I think!!). And they need the cash to commence a new project. So once they start chewing up their cash reserve - their ability to win big projects gets seriously effected. That is why ESR is a huge risky investment right now, for example. If you are going to pick a stock - pick a smaller player (less turnover needed to improve EPS), and pick a low PE one (because a recovery price is not factored in). BSR is my favourite - but I have fallen victim to news paper influence and hold stef stock as well.