STERLING INFRASTRUCTURE INC (STRL) Stock Fundamental Analysis
NASDAQ:STRL • US8592411016
415.13 USD
+4.5 (+1.1%)
At close: Feb 19, 2026
414.82 USD
-0.31 (-0.07%)
After Hours: 2/19/2026, 8:00:01 PM
Overall STRL gets a fundamental rating of 6 out of 10. We evaluated STRL against 55 industry peers in the Construction & Engineering industry. STRL gets an excellent profitability rating and is at the same time showing great financial health properties. STRL is valued quite expensively, but it does show have an excellent growth rating. These ratings would make STRL suitable 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.
- Each year in the past 5 years STRL has been profitable.
- In the past 5 years STRL always reported a positive cash flow from operatings.
1.2 Ratios
- With an excellent Return On Assets value of 12.32%, STRL belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
- With a decent Return On Equity value of 30.04%, STRL is doing good in the industry, outperforming 78.18% of the companies in the same industry.
- With a decent Return On Invested Capital value of 16.82%, STRL is doing good in the industry, outperforming 80.00% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for STRL is below the industry average of 16.93%.
- The last Return On Invested Capital (16.82%) for STRL is above the 3 year average (13.99%), which is a sign of increasing profitability.
| 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.
- In the last couple of years the Profit Margin of STRL has grown nicely.
- STRL has a better Operating Margin (15.96%) than 92.73% of its industry peers.
- STRL's Operating Margin has improved in the last couple of years.
- STRL has a better Gross Margin (23.05%) than 70.91% of its industry peers.
- In the last couple of years the Gross Margin of STRL has grown nicely.
| 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), STRL is creating some value.
- Compared to 1 year ago, STRL has less shares outstanding
- 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
- STRL has an Altman-Z score of 6.77. This indicates that STRL is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 6.77, STRL belongs to the top of the industry, outperforming 83.64% of the companies in the same industry.
- The Debt to FCF ratio of STRL is 0.81, which is an excellent value as it means it would take STRL, only 0.81 years of fcf income to pay off all of its debts.
- STRL's Debt to FCF ratio of 0.81 is amongst the best of the industry. STRL outperforms 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 better Debt to Equity ratio (0.27) than 69.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.81 | ||
| Altman-Z | 6.77 |
ROIC/WACC1.76
WACC9.56%
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.
- The Current ratio of STRL (1.00) is worse than 76.36% of its industry peers.
- 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.
- STRL has a Quick ratio of 1.00. This is in the lower half of the industry: STRL underperforms 76.36% 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.
- STRL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 54.19% yearly.
- The Revenue has been growing slightly by 6.20% in the past 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 19.88% on average per year.
- STRL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.70% yearly.
EPS Next Y8.03%
EPS Next 2Y13.65%
EPS Next 3Y17.74%
EPS Next 5Y19.88%
Revenue Next Year10.41%
Revenue Next 2Y14.83%
Revenue Next 3Y13.23%
Revenue Next 5Y11.7%
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.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 40.70, the valuation of STRL can be described as expensive.
- The rest of the industry has a similar Price/Earnings ratio as STRL.
- STRL is valuated expensively when we compare the Price/Earnings ratio to 27.09, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 38.81, the valuation of STRL can be described as expensive.
- STRL's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 27.98. STRL is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.7 | ||
| Fwd PE | 38.81 |
4.2 Price Multiples
- STRL's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. STRL is more expensive than 61.82% of the companies in the same industry.
- STRL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. STRL is cheaper than 67.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.26 | ||
| EV/EBITDA | 29.39 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- 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)5.07
PEG (5Y)0.75
EPS Next 2Y13.65%
EPS Next 3Y17.74%
5. Dividend
5.1 Amount
- No dividends for STRL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
415.13
+4.5 (+1.1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)11-03 2025-11-03/amc
Earnings (Next)03-02 2026-03-02/amc
Inst Owners103.11%
Inst Owner Change-1.31%
Ins Owners2.11%
Ins Owner Change-0.23%
Market Cap12.75B
Revenue(TTM)2.23B
Net Income(TTM)315.77M
Analysts85.45
Price Target453.49 (9.24%)
Short Float %7.63%
Short Ratio4.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.14%
Min EPS beat(2)14.96%
Max EPS beat(2)17.32%
EPS beat(4)3
Avg EPS beat(4)48.54%
Min EPS beat(4)-6.96%
Max EPS beat(4)168.82%
EPS beat(8)7
Avg EPS beat(8)34.36%
EPS beat(12)10
Avg EPS beat(12)30.74%
EPS beat(16)14
Avg EPS beat(16)29.48%
Revenue beat(2)2
Avg Revenue beat(2)8.7%
Min Revenue beat(2)8.67%
Max Revenue beat(2)8.73%
Revenue beat(4)3
Avg Revenue beat(4)3.19%
Min Revenue beat(4)-7.94%
Max Revenue beat(4)8.73%
Revenue beat(8)5
Avg Revenue beat(8)0.6%
Revenue beat(12)7
Avg Revenue beat(12)-2%
Revenue beat(16)7
Avg Revenue beat(16)-4.43%
PT rev (1m)-1.75%
PT rev (3m)25.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.45%
EPS NY rev (1m)0%
EPS NY rev (3m)8.23%
Revenue NQ rev (1m)-1.06%
Revenue NQ rev (3m)2.61%
Revenue NY rev (1m)-0.37%
Revenue NY rev (3m)5.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.7 | ||
| Fwd PE | 38.81 | ||
| P/S | 5.71 | ||
| P/FCF | 35.26 | ||
| P/OCF | 29.78 | ||
| P/B | 12.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 29.39 |
EPS(TTM)10.2
EY2.46%
EPS(NY)10.7
Fwd EY2.58%
FCF(TTM)11.77
FCFY2.84%
OCF(TTM)13.94
OCFY3.36%
SpS72.7
BVpS34.22
TBVpS-2.97
PEG (NY)5.07
PEG (5Y)0.75
Graham Number88.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.32% | ||
| ROE | 30.04% | ||
| ROCE | 22.34% | ||
| ROIC | 16.82% | ||
| ROICexc | 20.82% | ||
| ROICexgc | 182.79% | ||
| OM | 15.96% | ||
| PM (TTM) | 14.14% | ||
| GM | 23.05% | ||
| FCFM | 16.19% |
ROA(3y)9.32%
ROA(5y)7.49%
ROE(3y)25.57%
ROE(5y)22%
ROIC(3y)13.99%
ROIC(5y)12.52%
ROICexc(3y)24.11%
ROICexc(5y)18.99%
ROICexgc(3y)529.53%
ROICexgc(5y)335.16%
ROCE(3y)18.58%
ROCE(5y)16.63%
ROICexgc growth 3Y175.97%
ROICexgc growth 5Y106.02%
ROICexc growth 3Y47.63%
ROICexc growth 5Y45.11%
OM growth 3Y16.9%
OM growth 5Y27.42%
PM growth 3Y40.09%
PM growth 5Y27.99%
GM growth 3Y11.86%
GM growth 5Y16.04%
F-Score7
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.81 | ||
| Debt/EBITDA | 0.65 | ||
| Cap/Depr | 91.96% | ||
| Cap/Sales | 2.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.85% | ||
| Profit Quality | 114.53% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 6.77 |
F-Score7
WACC9.56%
ROIC/WACC1.76
Cap/Depr(3y)115.79%
Cap/Depr(5y)116.85%
Cap/Sales(3y)3.51%
Cap/Sales(5y)3.3%
Profit Quality(3y)202.97%
Profit Quality(5y)200.18%
High Growth Momentum
Growth
EPS 1Y (TTM)72.3%
EPS 3Y54.39%
EPS 5Y54.19%
EPS Q2Q%50.76%
EPS Next Y8.03%
EPS Next 2Y13.65%
EPS Next 3Y17.74%
EPS Next 5Y19.88%
Revenue 1Y (TTM)6.2%
Revenue growth 3Y14.37%
Revenue growth 5Y13.44%
Sales Q2Q%16.05%
Revenue Next Year10.41%
Revenue Next 2Y14.83%
Revenue Next 3Y13.23%
Revenue Next 5Y11.7%
EBIT growth 1Y37.71%
EBIT growth 3Y33.7%
EBIT growth 5Y44.55%
EBIT Next Year87.37%
EBIT Next 3Y39.44%
EBIT Next 5Y26.62%
FCF growth 1Y3.38%
FCF growth 3Y54.79%
FCF growth 5Y73.2%
OCF growth 1Y3.91%
OCF growth 3Y46.25%
OCF growth 5Y63.84%
STERLING INFRASTRUCTURE INC / STRL FAQ
Can you provide the ChartMill fundamental rating for STERLING INFRASTRUCTURE INC?
ChartMill assigns a fundamental rating of 6 / 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 8 / 10.
Can you provide the PE and PB ratios for STRL stock?
The Price/Earnings (PE) ratio for STERLING INFRASTRUCTURE INC (STRL) is 40.7 and the Price/Book (PB) ratio is 12.13.