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Sterling Infrastructure, Inc (STRL) Fair Value & Analysis

Industrials · US · Market cap $19.7B

SI Sterling Infrastructure, Inc logo Sterling Infrastructure, Inc STRL · US
Price$536.08
Fair Value$198.57
Upside-63.0%
Quality60/100
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Healthy Growth
Solidly profitable · 12.0% net margin
Low debt · generates free cash flow
Mixed vs. peers (7/14)
Wide moat 69/100
Evidence: High Range $140.79 – $282.01 Share as image

Fair value as of: Jul 18, 2026

From 26 valuation models · updated 20 days ago

Share price −20.5% over the past month.

A solid business, but screening 63% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case ($282.01). The favourable scenario is already priced in.
  • Solid but not exceptional quality (60/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range ($140.79 to $282.01) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

$993.74 $20.83 Fair Value $198.57 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range $20.83 – $993.74 · fair‑value band $140.79 – $282.01 · the $536.08 price screens above the $198.57 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

Sterling Infrastructure, Inc (STRL) currently trades at $536.08, while our model-based Fair Value estimate is $198.57, implying the stock looks roughly 63.0% overvalued today. We read business quality at 60/100 (solid quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Sterling Infrastructure, Inc generated revenue of $2.9B at a net margin of 12.0%. Revenue grew 91.6% year over year. It earns a return on equity of 36.7%. The balance sheet holds a net cash position of $40.8M. Fundamentals as of Jul 18, 2026

Our scenario range runs from $140.79 (bear case) to $282.01 (bull case); at $536.08, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 47% below its 52-week high and 181% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at -63%, STRL screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF $165.51 $326.78 $577.81 80
Residual Income $70.51 $107.31 $1,031 76
Rev-Margin DCF $140.58 $251.22 $403.74 74
All 26 models by family
DCF Models
FCF DCF $169.42 $316.75 $646.37 38
Owner Earnings $136.20 $268.21 $517.52 31
5Y Revenue Exit $140.58 $255.33 $416.76 39
5Y EBITDA Exit $156.72 $290.68 $465.86 41
5Y P/E Exit $147.46 $270.40 $417.57 38
10Y Revenue Exit $144.22 $259.89 $450.35 36
10Y EBITDA Exit $159.72 $286.73 $493.99 37
10Y P/E Exit $153.43 $271.34 $451.08 35
Earnings-Based
Graham-Dodd $64.30 $362.24 $503.25 54
Lynch FV $101.53 $145.05 $188.56 50
PEG = 1.0 $101.53 $145.05 $188.56 46
EPV $101.43 $117.71 $131.96 59
Dividend Discount
Gordon GGM $0.4000 $0.8400 $1.33 70
DDM Multi-Stage $0.4000 $0.7100 $0.8800 61
Multiples
P/E Multiple $141.83 $189.11 $236.39 63
P/S Multiple $120.56 $160.74 $200.93 58
P/B Multiple $81.28 $108.37 $135.47 55
EV/EBIT $185.66 $246.30 $306.94 53
EV/EBITDA $159.63 $211.59 $263.56 54
EV/Revenue $126.37 $178.92 $231.48 43
Asset-Based
NCAV (Graham) $18.06 $24.20 $36.12 50
Growth DCF
Growth DCF $165.51 $326.78 $577.81 80
Rev-Margin DCF $140.58 $251.22 $403.74 74
Economic Profit
Residual Income $70.51 $107.31 $1,031 76
ROIC Compounder $118.04 $159.74 $214.47 72
Growth Earnings
Growth-Adj P/E $148.39 $211.99 $275.59 68

Widest divergence: DCF Models ($270.40) versus Dividend Discount ($0.7100). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) $2.9B
Revenue growth (YoY) +91.6%
Net margin 12.0%
Return on equity 36.7%
Free cash flow $363M FY2025
P/E ratio 88.5
More key figures
Operating margin 17.2%
EPS (TTM) $11.23
EPS growth (YoY) +141%
Net cash $40.8M FY2025

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 65 · Market factors (momentum, volatility) 55

Profitability 64
Margins and returns on capital today
Quality Growth 46
Are margins and returns improving?
Cashflow 69
Earnings quality: real cash, not paper profit
Fin. Strength 79
Balance sheet, leverage, solvency risk
Investment 31
Disciplined investing over empire-building
Low Volatility 0
Calm price path (market factor)
Momentum 82
Price trend over the last 3–12 months (market factor)
52W Momentum 70
Distance to the 52-week high (market factor)
Net Issuance 83
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Sterling Infrastructure, Inc. engages in the provision of e-infrastructure, transportation, and building solutions in the United States. It operates through three segments: E-Infrastructure, Transportation, and Building Solutions.

Full company description

Sterling Infrastructure, Inc. engages in the provision of e-infrastructure, transportation, and building solutions in the United States. It operates through three segments: E-Infrastructure, Transportation, and Building Solutions. The E-Infrastructure Solutions segment provides site development services for the blue-chip end users in the e-commerce distribution center, data center, manufacturing, warehousing, and power generation sectors. Its Transportation Solutions segment is involved in the development of infrastructure and rehabilitation projects for highways, roads, bridges, airports, ports, rail, and storm drainage systems for the departments of transportation, regional transit, airport, port, water, and railroads authorities. The Building Solutions segment offers residential and commercial concrete foundations for single-family and multi-family homes, parking structures, elevated slabs, and other concrete work for developers and general contractors, as well as plumbing and surveys services for residential builds. It operates in the United States, primarily across the Southern, Northeastern, Mid-Atlantic and Rocky Mountain regions, and the Pacific Islands. The company was formerly known as Sterling Construction Company, Inc. and changed its name to Sterling Infrastructure, Inc. in June 2022. Sterling Infrastructure, Inc. was founded in 1955 and is headquartered in The Woodlands, Texas.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Sterling Infrastructure, Inc reported revenue of $2.5B in FY2025 versus $1.4B in FY2021, a compound +15.2%/yr. Reported net income was $290M in FY2025, compounding +46.7%/yr from FY2021.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
$2.5B
Latest YoY
+17.7%
Avg. growth/yr (3Y)
+12.1%
Avg. growth/yr (5Y)
+15.2%
Avg. growth/yr (30Y)
+14.1%
Revenue +15.2%/yr
FY21 $1.4B
FY22 $1.8B
FY23 $2.0B
FY24 $2.1B
FY25 $2.5B
Net income +46.7%/yr
FY21 $62.6M
FY22 $106M
FY23 $139M
FY24 $257M
FY25 $290M

STRL screens 63% overvalued. Compare with Larsen & Toubro Limited →

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Cite: Fair Value Calculator (2026). "Sterling Infrastructure, Inc Fair Value". https://www.fairvalue-calculator.com/stock/STRL

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Engineering & Construction · 831 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 60 · Top 25%
Fair Value upside −63% · Bottom 25%
Return on equity (TTM) 37% · Top 25%
Return on assets 13% · Top 25%
Net margin (TTM) 12% · Top 25%
Operating margin (TTM) 17% · Top 25%
Revenue growth 92% · Top 25%
Debt / equity 0.25× · Higher than median

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 59.9× · Pricier than 75% of peers
P/B 17.75× · Pricier than 75% of peers
P/S (TTM) 6.82× · Pricier than 75% of peers
P/FCF 54.3× · Pricier than 75% of peers
EV/EBITDA 33.7× · Pricier than 75% of peers
PEG 1.14× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 17
FUTURE 100 · sector 17
PAST 100 · sector 26
HEALTH 88 · sector 94
DIVIDEND 0 · sector 33

VALUE 0: the price sits above our fair-value range.

Insider activity: 44/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹3,815 ₹1,994 -48%
Samsung C&T Corporation 028260 346,000 KRW 268,779 KRW -22%
Hyundai Engineering & Construction Co 000720 99,000 KRW 63,993 KRW -35%
United Integrated Services Co 2404 1,250 TWD 925.62 TWD -26%
Samsung E&A Co 028050 42,550 KRW 44,840 KRW +5%
Rail Vikas Nigam Limited RVNL ₹232.67 ₹61.46 -74%
Daewoo Engineering & Construction Co 047040 16,240 KRW 6,507 KRW -60%
NBCC (India) Limited NBCC ₹102.36 ₹48.22 -53%
Cemindia Projects Limited CEMPRO ₹1,330 ₹730.69 -45%
KEPCO Engineering & Construction Company 052690 92,700 KRW 20,172 KRW -78%

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Frequently asked questions

Is Sterling Infrastructure, Inc (STRL) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of $198.57 versus a price of $536.08, about −63% (overvalued).
What is the fair value of STRL?
Our model-based fair value for Sterling Infrastructure, Inc is $198.57 (as of Jul 18, 2026), built from audited fundamentals. The current price is $536.08.
What is the quality score of STRL?
Sterling Infrastructure, Inc has a Quality Score of 60/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Sterling Infrastructure, Inc (STRL)?
Sterling Infrastructure, Inc reported trailing-twelve-month revenue of about $2.9B (latest available figure, as of Jul 18, 2026).
What is the net profit margin of STRL?
The net profit margin of Sterling Infrastructure, Inc is about 12.0%, meaning it keeps roughly 12.0% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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