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Is STERLING INFRASTRUCTURE INC (NASDAQ:STRL) suited for quality investing?

By Mill Chart

Last update: Sep 11, 2023

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if STERLING INFRASTRUCTURE INC (NASDAQ:STRL) is suited for quality investing. Investors should of couse do their own research, but we spotted STERLING INFRASTRUCTURE INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Some of the quality metrics of NASDAQ:STRL highlighted

  • STERLING INFRASTRUCTURE INC has achieved substantial revenue growth over the past 5 years, with a 13.06% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
  • With a notable ROIC excluding cash and goodwill at 78.29%, STERLING INFRASTRUCTURE INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
  • STERLING INFRASTRUCTURE INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 1.24, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
  • The Profit Quality (5-year) of STERLING INFRASTRUCTURE INC stands at 140.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
  • STERLING INFRASTRUCTURE INC has experienced impressive EBIT growth over the past 5 years, with 43.73% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
  • STERLING INFRASTRUCTURE INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Fundamental analysis of NASDAQ:STRL

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

STRL gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 37 industry peers in the Construction & Engineering industry. STRL scores excellent points on both the profitability and health parts. This is a solid base for a good stock. STRL has a decent growth rate and is not valued too expensively. With these ratings, STRL could be worth investigating further for quality investing!.

Our latest full fundamental report of STRL contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

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STERLING INFRASTRUCTURE INC

NASDAQ:STRL (12/24/2024, 7:39:36 PM)

Premarket: 171 -3.89 (-2.22%)

174.89

-0.02 (-0.01%)

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