STERLING INFRASTRUCTURE INC (STRL) Fundamental Analysis & Valuation
NASDAQ:STRL • US8592411016
404.59 USD
-16.01 (-3.81%)
At close: Mar 12, 2026
406 USD
+1.41 (+0.35%)
After Hours: 3/12/2026, 8:12:03 PM
This STRL fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Overall STRL gets a fundamental rating of 7 out of 10. We evaluated STRL against 56 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 growing strongly while it is still valued neutral. This is a good combination! With these ratings, STRL could be worth investigating further for growth and quality investing!.
1. STRL Profitability Analysis
1.1 Basic Checks
- STRL had positive earnings in the past year.
- STRL had a positive operating cash flow in the past year.
- In the past 5 years STRL has always been profitable.
- STRL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 11.02%, STRL belongs to the top of the industry, outperforming 82.14% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 26.17%, STRL belongs to the top of the industry, outperforming 80.36% of the companies in the same industry.
- STRL has a better Return On Invested Capital (19.47%) than 82.14% of its industry peers.
- STRL had an Average Return On Invested Capital over the past 3 years of 16.48%. This is in line with the industry average of 17.18%.
- The last Return On Invested Capital (19.47%) for STRL is above the 3 year average (16.48%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.02% | ||
| ROE | 26.17% | ||
| ROIC | 19.47% |
ROA(3y)10.53%
ROA(5y)8.81%
ROE(3y)26.81%
ROE(5y)24.07%
ROIC(3y)16.48%
ROIC(5y)14.24%
1.3 Margins
- STRL's Profit Margin of 11.65% is amongst the best of the industry. STRL outperforms 92.86% of its industry peers.
- In the last couple of years the Profit Margin of STRL has grown nicely.
- STRL has a Operating Margin of 16.64%. This is amongst the best in the industry. STRL outperforms 92.86% of its industry peers.
- STRL's Operating Margin has improved in the last couple of years.
- The Gross Margin of STRL (22.98%) is better than 73.21% of its industry peers.
- In the last couple of years the Gross Margin of STRL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.64% | ||
| PM (TTM) | 11.65% | ||
| GM | 22.98% |
OM growth 3Y22.35%
OM growth 5Y16.87%
PM growth 3Y24.63%
PM growth 5Y27.57%
GM growth 3Y13.99%
GM growth 5Y9.44%
2. STRL Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), STRL is creating value.
- The number of shares outstanding for STRL remains at a similar level compared to 1 year ago.
- The number of shares outstanding for STRL has been increased compared to 5 years ago.
- STRL has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 6.81 indicates that STRL is not in any danger for bankruptcy at the moment.
- STRL has a Altman-Z score of 6.81. This is amongst the best in the industry. STRL outperforms 87.50% of its industry peers.
- STRL has a debt to FCF ratio of 0.80. This is a very positive value and a sign of high solvency as it would only need 0.80 years to pay back of all of its debts.
- STRL has a Debt to FCF ratio of 0.80. This is amongst the best in the industry. STRL outperforms 83.93% of its industry peers.
- STRL has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
- STRL has a Debt to Equity ratio of 0.25. This is in the better half of the industry: STRL outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 0.8 | ||
| Altman-Z | 6.81 |
ROIC/WACC1.91
WACC10.19%
2.3 Liquidity
- STRL has a Current Ratio of 1.01. This is a normal value and indicates that STRL is financially healthy and should not expect problems in meeting its short term obligations.
- STRL has a worse Current ratio (1.01) than 73.21% of its industry peers.
- STRL has a Quick Ratio of 1.01. This is a normal value and indicates that STRL is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 1.01, STRL is doing worse than 71.43% of the companies in the same industry.
- The current and quick ratio evaluation for STRL is rather negative, while it does have 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 | 1.01 | ||
| Quick Ratio | 1.01 |
3. STRL Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an nice 13.16% over the past year.
- STRL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 43.87% yearly.
- The Revenue has grown by 17.69% in the past year. This is quite good.
- The Revenue has been growing by 15.21% on average over the past years. This is quite good.
EPS 1Y (TTM)13.16%
EPS 3Y38.72%
EPS 5Y43.87%
EPS Q2Q%-22.8%
Revenue 1Y (TTM)17.69%
Revenue growth 3Y12.06%
Revenue growth 5Y15.21%
Sales Q2Q%51.48%
3.2 Future
- STRL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.81% yearly.
- STRL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.49% yearly.
EPS Next Y27.26%
EPS Next 2Y23.16%
EPS Next 3Y23.54%
EPS Next 5Y19.81%
Revenue Next Year24.2%
Revenue Next 2Y17.75%
Revenue Next 3Y12.9%
Revenue Next 5Y11.49%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. STRL Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 43.18, which means the current valuation is very expensive for STRL.
- 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 25.71, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 33.93, STRL can be considered very expensive at the moment.
- STRL's Price/Forward Earnings is on the same level as the industry average.
- STRL is valuated rather expensively when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.18 | ||
| Fwd PE | 33.93 |
4.2 Price Multiples
- STRL's Enterprise Value to EBITDA is on the same level as the industry average.
- 64.29% of the companies in the same industry are more expensive than STRL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.18 | ||
| EV/EBITDA | 25.03 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of STRL may justify a higher PE ratio.
- STRL's earnings are expected to grow with 23.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.58
PEG (5Y)0.98
EPS Next 2Y23.16%
EPS Next 3Y23.54%
5. STRL Dividend Analysis
5.1 Amount
- No dividends for STRL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
STRL Fundamentals: All Metrics, Ratios and Statistics
404.59
-16.01 (-3.81%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-04 2026-05-04
Inst Owners103.11%
Inst Owner Change-2.75%
Ins Owners2.11%
Ins Owner Change0.43%
Market Cap12.40B
Revenue(TTM)2.49B
Net Income(TTM)290.15M
Analysts86.67
Price Target460.53 (13.83%)
Short Float %7.33%
Short Ratio4.14
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)20.45%
Min EPS beat(2)17.32%
Max EPS beat(2)23.59%
EPS beat(4)3
Avg EPS beat(4)12.23%
Min EPS beat(4)-6.96%
Max EPS beat(4)23.59%
EPS beat(8)7
Avg EPS beat(8)34.1%
EPS beat(12)10
Avg EPS beat(12)28.59%
EPS beat(16)14
Avg EPS beat(16)29.42%
Revenue beat(2)2
Avg Revenue beat(2)12.21%
Min Revenue beat(2)8.73%
Max Revenue beat(2)15.7%
Revenue beat(4)4
Avg Revenue beat(4)9.1%
Min Revenue beat(4)3.29%
Max Revenue beat(4)15.7%
Revenue beat(8)6
Avg Revenue beat(8)3.67%
Revenue beat(12)8
Avg Revenue beat(12)2.2%
Revenue beat(16)8
Avg Revenue beat(16)-1.44%
PT rev (1m)1.55%
PT rev (3m)-0.22%
EPS NQ rev (1m)28.2%
EPS NQ rev (3m)28.79%
EPS NY rev (1m)11.49%
EPS NY rev (3m)11.72%
Revenue NQ rev (1m)8.81%
Revenue NQ rev (3m)8.81%
Revenue NY rev (1m)4.08%
Revenue NY rev (3m)4.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.18 | ||
| Fwd PE | 33.93 | ||
| P/S | 4.98 | ||
| P/FCF | 34.18 | ||
| P/OCF | 28.17 | ||
| P/B | 11.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 25.03 |
EPS(TTM)9.37
EY2.32%
EPS(NY)11.92
Fwd EY2.95%
FCF(TTM)11.84
FCFY2.93%
OCF(TTM)14.36
OCFY3.55%
SpS81.27
BVpS36.18
TBVpS-1.02
PEG (NY)1.58
PEG (5Y)0.98
Graham Number87.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.02% | ||
| ROE | 26.17% | ||
| ROCE | 25.71% | ||
| ROIC | 19.47% | ||
| ROICexc | 25.7% | ||
| ROICexgc | 388.52% | ||
| OM | 16.64% | ||
| PM (TTM) | 11.65% | ||
| GM | 22.98% | ||
| FCFM | 14.57% |
ROA(3y)10.53%
ROA(5y)8.81%
ROE(3y)26.81%
ROE(5y)24.07%
ROIC(3y)16.48%
ROIC(5y)14.24%
ROICexc(3y)27.83%
ROICexc(5y)21.74%
ROICexgc(3y)646.04%
ROICexgc(5y)403.74%
ROCE(3y)21.77%
ROCE(5y)18.8%
ROICexgc growth 3Y100.3%
ROICexgc growth 5Y47.58%
ROICexc growth 3Y19.77%
ROICexc growth 5Y15.41%
OM growth 3Y22.35%
OM growth 5Y16.87%
PM growth 3Y24.63%
PM growth 5Y27.57%
GM growth 3Y13.99%
GM growth 5Y9.44%
F-Score6
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 0.8 | ||
| Debt/EBITDA | 0.56 | ||
| Cap/Depr | 100.26% | ||
| Cap/Sales | 3.1% | ||
| Interest Coverage | 23.22 | ||
| Cash Conversion | 89.55% | ||
| Profit Quality | 125% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z | 6.81 |
F-Score6
WACC10.19%
ROIC/WACC1.91
Cap/Depr(3y)110.25%
Cap/Depr(5y)116.84%
Cap/Sales(3y)3.4%
Cap/Sales(5y)3.39%
Profit Quality(3y)195.12%
Profit Quality(5y)182.63%
High Growth Momentum
Growth
EPS 1Y (TTM)13.16%
EPS 3Y38.72%
EPS 5Y43.87%
EPS Q2Q%-22.8%
EPS Next Y27.26%
EPS Next 2Y23.16%
EPS Next 3Y23.54%
EPS Next 5Y19.81%
Revenue 1Y (TTM)17.69%
Revenue growth 3Y12.06%
Revenue growth 5Y15.21%
Sales Q2Q%51.48%
Revenue Next Year24.2%
Revenue Next 2Y17.75%
Revenue Next 3Y12.9%
Revenue Next 5Y11.49%
EBIT growth 1Y56.29%
EBIT growth 3Y37.11%
EBIT growth 5Y34.65%
EBIT Next Year61.1%
EBIT Next 3Y23.54%
EBIT Next 5Y19.21%
FCF growth 1Y-12.85%
FCF growth 3Y31.86%
FCF growth 5Y32.15%
OCF growth 1Y-11.49%
OCF growth 3Y26.16%
OCF growth 5Y29.06%
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 4 / 10 to STERLING INFRASTRUCTURE INC (STRL). This can be considered as Fairly Valued.
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 43.18 and the Price/Book (PB) ratio is 11.18.