Sidoti Expects Stronger Earnings for Sterling Infrastructure

Key Points

• Sidoti raised its Q2 2026 EPS estimate for Sterling Infrastructure to $4.84 from $3.54, reflecting a more upbeat view on near-term earnings. The firm also lifted projections across multiple future quarters and fiscal years, including FY2027 EPS of $25.68.
• Sterling delivered strong quarterly results, reporting $3.59 EPS and $825.68 million in revenue, both well above analyst expectations. The company also raised its FY2026 EPS guidance to 18.40-19.05.
• Analyst sentiment remains broadly positive, with six Buy ratings and one Hold rating, and an average price target of $573.40. KeyCorp was especially bullish, increasing its target to $889 and maintaining an Overweight rating.

Sterling Infrastructure, Inc. (NASDAQ:STRL - Free Report) - Equities research analysts at Sidoti lifted their Q2 2026 EPS estimates for shares of Sterling Infrastructure in a report issued on Wednesday, May 6th. Sidoti analyst J. Romero now forecasts that the construction company will post earnings per share of $4.84 for the quarter, up from their prior forecast of $3.54. The consensus estimate for Sterling Infrastructure's current full-year earnings is $18.06 per share. Sidoti also issued estimates for Sterling Infrastructure's Q3 2026 earnings at $5.65 EPS, Q4 2026 earnings at $3.97 EPS, FY2026 earnings at $17.87 EPS, Q1 2027 earnings at $3.98 EPS, Q2 2027 earnings at $6.94 EPS, Q3 2027 earnings at $7.97 EPS, Q4 2027 earnings at $6.79 EPS and FY2027 earnings at $25.68 EPS.

A number of other brokerages also recently commented on STRL. Stifel Nicolaus set a $486.00 price objective on shares of Sterling Infrastructure and gave the company a "buy" rating in a research report on Wednesday, February 11th. Wall Street Zen downgraded shares of Sterling Infrastructure from a "strong-buy" rating to a "buy" rating in a research report on Saturday, March 28th. DA Davidson lifted their price objective on shares of Sterling Infrastructure from $460.00 to $500.00 and gave the company a "buy" rating in a research report on Friday, February 27th. Weiss Ratings raised shares of Sterling Infrastructure from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Monday, January 26th. Finally, KeyCorp raised their target price on shares of Sterling Infrastructure from $572.00 to $889.00 and gave the stock an "overweight" rating in a research note on Wednesday. Six equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $573.40.

Sterling Infrastructure Stock Performance

Shares of STRL opened at $844.80 on Monday. The firm has a 50-day moving average of $459.67 and a 200-day moving average of $391.33. Sterling Infrastructure has a one year low of $172.69 and a one year high of $888.95. The company has a market cap of $25.93 billion, a PE ratio of 75.56, a price-to-earnings-growth ratio of 3.12 and a beta of 1.64. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.10 and a quick ratio of 1.10.

Sterling Infrastructure (NASDAQ:STRL - Get Free Report) last announced its quarterly earnings data on Monday, May 4th. The construction company reported $3.59 EPS for the quarter, beating analysts' consensus estimates of $2.29 by $1.30. Sterling Infrastructure had a net margin of 12.02% and a return on equity of 35.64%. The company had revenue of $825.68 million during the quarter, compared to the consensus estimate of $603.58 million. During the same quarter last year, the firm posted $1.63 EPS. Sterling Infrastructure has set its FY 2026 guidance at 18.400-19.050 EPS.

Insider Activity

In other news, CEO Joseph A. Cutillo sold 50,000 shares of the firm's stock in a transaction dated Thursday, April 23rd. The shares were sold at an average price of $497.57, for a total transaction of $24,878,500.00. Following the completion of the sale, the chief executive officer owned 290,593 shares in the company, valued at approximately $144,590,359.01. This trade represents a 14.68% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.60% of the company's stock.

Institutional Trading of Sterling Infrastructure

A number of hedge funds have recently modified their holdings of the stock. PNC Financial Services Group Inc. lifted its stake in shares of Sterling Infrastructure by 13.2% during the 1st quarter. PNC Financial Services Group Inc. now owns 3,333 shares of the construction company's stock worth $1,357,000 after buying an additional 388 shares during the last quarter. Glenview Trust Co acquired a new stake in Sterling Infrastructure in the 1st quarter worth about $266,000. Summit Global Investments raised its stake in Sterling Infrastructure by 6.5% in the 1st quarter. Summit Global Investments now owns 3,193 shares of the construction company's stock worth $1,300,000 after purchasing an additional 194 shares in the last quarter. Florida Financial Advisors LLC raised its stake in Sterling Infrastructure by 19.1% in the 1st quarter. Florida Financial Advisors LLC now owns 3,012 shares of the construction company's stock worth $1,227,000 after purchasing an additional 483 shares in the last quarter. Finally, Balefire LLC raised its stake in Sterling Infrastructure by 4.8% in the 1st quarter. Balefire LLC now owns 1,493 shares of the construction company's stock worth $608,000 after purchasing an additional 69 shares in the last quarter. Institutional investors and hedge funds own 80.95% of the company's stock.

Key Headlines Impacting Sterling Infrastructure

Here are the key news stories impacting Sterling Infrastructure this week:

• Positive Sentiment: Sterling Infrastructure’s latest results beat expectations, with revenue and EPS well above consensus, and the company raised FY2026 EPS guidance to 18.40-19.05, reinforcing confidence in its near-term growth trajectory.
• Positive Sentiment: KeyBanc increased its price target on STRL to $889 from $572 and kept an Overweight rating, citing the company’s very strong execution and outlook.
• Positive Sentiment: Sidoti raised earnings estimates across multiple periods, including FY2026 to $17.87 and FY2027 to $25.68, signaling that analysts see sustained momentum in Sterling’s business.
• Positive Sentiment: A recent investor note highlighted Sterling as a high-quality stock to own for the next five years, adding to the positive sentiment around the name.
• Neutral Sentiment: The company’s focus on mergers and acquisitions could support future growth, but it also introduces execution risk if deals do not deliver expected returns.

Sterling Infrastructure Company Profile

Sterling Infrastructure, Inc NASDAQ: STRL is a diversified manufacturer and distributor of essential infrastructure products serving municipal, utility and industrial customers across North America. Through its network of wholly owned subsidiaries, the company designs, engineers and produces a wide range of cast and fabricated solutions tailored to the needs of the waterworks, natural gas, telecommunications, electric, traffic safety and parks & recreation markets.

The company's product portfolio encompasses ductile iron and composite fittings, valve boxes, manhole frames and covers, water and gas meter sets, street light poles and mounting accessories, traffic sign posts with breakaway systems, bollards and related system components.

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