358.11 USD
-21.12 (-5.57%)
Last: Jan 30, 2026, 03:43 PM
STRL gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 55 industry peers in the Construction & Engineering industry. Both the health and profitability get an excellent rating, making STRL a very profitable company, without any liquidiy or solvency issues. STRL is valued quite expensive, but it does show an excellent growth. With these ratings, STRL could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- STRL had positive earnings in the past year.
- In the past year STRL had a positive cash flow from operations.
- STRL had positive earnings in each of the past 5 years.
- In the past 5 years STRL always reported a positive cash flow from operatings.
1.2 Ratios
- STRL has a better Return On Assets (12.32%) than 81.82% of its industry peers.
- STRL's Return On Equity of 30.04% is fine compared to the rest of the industry. STRL outperforms 80.00% of its industry peers.
- STRL has a Return On Invested Capital of 16.82%. This is amongst the best in the industry. STRL outperforms 81.82% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for STRL is in line with the industry average of 15.97%.
- The 3 year average ROIC (13.99%) for STRL is below the current ROIC(16.82%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.32% | ||
| ROE | 30.04% | ||
| ROIC | 16.82% |
ROA(3y)9.32%
ROA(5y)7.49%
ROE(3y)25.57%
ROE(5y)22%
ROIC(3y)13.99%
ROIC(5y)12.52%
1.3 Margins
- STRL's Profit Margin of 14.14% is amongst the best of the industry. STRL outperforms 92.73% of its industry peers.
- STRL's Profit Margin has improved in the last couple of years.
- With an excellent Operating Margin value of 15.96%, STRL belongs to the best of the industry, outperforming 92.73% of the companies in the same industry.
- In the last couple of years the Operating Margin of STRL has grown nicely.
- STRL's Gross Margin of 23.05% is fine compared to the rest of the industry. STRL outperforms 69.09% of its industry peers.
- STRL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.96% | ||
| PM (TTM) | 14.14% | ||
| GM | 23.05% |
OM growth 3Y16.9%
OM growth 5Y27.42%
PM growth 3Y40.09%
PM growth 5Y27.99%
GM growth 3Y11.86%
GM growth 5Y16.04%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so STRL is still creating some value.
- STRL has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, STRL has more shares outstanding
- The debt/assets ratio for STRL has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 6.38 indicates that STRL is not in any danger for bankruptcy at the moment.
- STRL has a better Altman-Z score (6.38) than 83.64% of its industry peers.
- STRL has a debt to FCF ratio of 0.81. This is a very positive value and a sign of high solvency as it would only need 0.81 years to pay back of all of its debts.
- STRL has a better Debt to FCF ratio (0.81) than 85.45% of its industry peers.
- STRL has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
- STRL has a Debt to Equity ratio of 0.27. This is in the better half of the industry: STRL outperforms 70.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.81 | ||
| Altman-Z | 6.38 |
ROIC/WACC1.6
WACC10.48%
2.3 Liquidity
- STRL has a Current Ratio of 1.00. This is a bad value and indicates that STRL is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.00, STRL is doing worse than 70.91% of the companies in the same industry.
- STRL has a Quick Ratio of 1.00. This is a bad value and indicates that STRL is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of STRL (1.00) is worse than 70.91% of its industry peers.
- STRL does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
- STRL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 72.30%, which is quite impressive.
- The Earnings Per Share has been growing by 54.19% on average over the past years. This is a very strong growth
- Looking at the last year, STRL shows a small growth in Revenue. The Revenue has grown by 6.20% in the last year.
- The Revenue has been growing by 13.44% on average over the past years. This is quite good.
EPS 1Y (TTM)72.3%
EPS 3Y54.39%
EPS 5Y54.19%
EPS Q2Q%50.76%
Revenue 1Y (TTM)6.2%
Revenue growth 3Y14.37%
Revenue growth 5Y13.44%
Sales Q2Q%16.05%
3.2 Future
- Based on estimates for the next years, STRL will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.74% on average per year.
- The Revenue is expected to grow by 13.17% on average over the next years. This is quite good.
EPS Next Y8.03%
EPS Next 2Y13.65%
EPS Next 3Y17.74%
EPS Next 5YN/A
Revenue Next Year10.82%
Revenue Next 2Y14.87%
Revenue Next 3Y13.17%
Revenue Next 5YN/A
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 35.11, the valuation of STRL can be described as expensive.
- STRL's Price/Earnings ratio is in line with the industry average.
- The average S&P500 Price/Earnings ratio is at 28.39. STRL is valued slightly more expensive when compared to this.
- With a Price/Forward Earnings ratio of 33.48, STRL can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of STRL is on the same level as its industry peers.
- STRL's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 25.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.11 | ||
| Fwd PE | 33.48 |
4.2 Price Multiples
- STRL's Enterprise Value to EBITDA ratio is in line with the industry average.
- Based on the Price/Free Cash Flow ratio, STRL is valued a bit cheaper than the industry average as 65.45% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.42 | ||
| EV/EBITDA | 27.14 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates STRL does not grow enough to justify the current Price/Earnings ratio.
- STRL has an outstanding profitability rating, which may justify a higher PE ratio.
- STRL's earnings are expected to grow with 17.74% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.37
PEG (5Y)0.65
EPS Next 2Y13.65%
EPS Next 3Y17.74%
5. Dividend
5.1 Amount
- STRL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
STERLING INFRASTRUCTURE INC / STRL FAQ
Can you provide the ChartMill fundamental rating for STERLING INFRASTRUCTURE INC?
ChartMill assigns a fundamental rating of 7 / 10 to STRL.
Can you provide the valuation status for STERLING INFRASTRUCTURE INC?
ChartMill assigns a valuation rating of 3 / 10 to STERLING INFRASTRUCTURE INC (STRL). This can be considered as Overvalued.
How profitable is STERLING INFRASTRUCTURE INC (STRL) stock?
STERLING INFRASTRUCTURE INC (STRL) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for STRL stock?
The Price/Earnings (PE) ratio for STERLING INFRASTRUCTURE INC (STRL) is 35.11 and the Price/Book (PB) ratio is 10.47.