Sterling Infrastructure (NASDAQ:STRL) Announces Earnings Results, Beats Expectations By $0.79 EPS

Key Points

• Sterling Infrastructure beat quarterly expectations: The company reported EPS of $5.80, exceeding consensus by $0.79, while revenue reached $1.17 billion versus estimates of $969.22 million.
• Shares rose $14.70 to $611.47 in Monday trading, with the stock carrying a $18.76 billion market capitalization and a 52-week range of $262.27 to $1,005.68.
• Analyst sentiment remains positive: Sterling has an overall “Buy” consensus rating and an average price target of $720.67, while institutional investors own approximately 80.95% of its shares.

Sterling Infrastructure (NASDAQ:STRL - Get Free Report) issued its earnings results on Monday. The construction company reported $5.80 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.01 by $0.79, FiscalAI reports. The company had revenue of $1.17 billion during the quarter, compared to analyst estimates of $969.22 million. Sterling Infrastructure had a return on equity of 35.64% and a net margin of 12.02%.

Sterling Infrastructure Price Performance

NASDAQ STRL traded up $14.70 on Monday, hitting $611.47. 1,160,008 shares of the company's stock were exchanged, compared to its average volume of 634,540. Sterling Infrastructure has a 52 week low of $262.27 and a 52 week high of $1,005.68. The company has a current ratio of 1.10, a quick ratio of 1.10 and a debt-to-equity ratio of 0.23. The stock has a 50-day moving average of $765.43 and a 200-day moving average of $578.26. The stock has a market cap of $18.76 billion, a price-to-earnings ratio of 54.69, a P/E/G ratio of 2.18 and a beta of 1.83.

Insider Buying and Selling

In related news, General Counsel Mark D. Wolf sold 2,500 shares of the stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $888.00, for a total transaction of $2,220,000.00. Following the transaction, the general counsel directly owned 28,137 shares of the company's stock, valued at $24,985,656. This represents a 8.16% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 1.60% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in STRL. Empowered Funds LLC bought a new position in Sterling Infrastructure during the first quarter valued at approximately $378,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in shares of Sterling Infrastructure by 12.9% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 83,983 shares of the construction company's stock valued at $9,508,000 after buying an additional 9,625 shares during the last quarter. Focus Partners Wealth lifted its holdings in Sterling Infrastructure by 13.7% in the first quarter. Focus Partners Wealth now owns 2,313 shares of the construction company's stock valued at $262,000 after acquiring an additional 279 shares during the period. Arrowstreet Capital Limited Partnership purchased a new stake in Sterling Infrastructure in the 2nd quarter worth approximately $5,929,000. Finally, Cerity Partners LLC raised its stake in Sterling Infrastructure by 195.7% during the 2nd quarter. Cerity Partners LLC now owns 19,522 shares of the construction company's stock valued at $4,504,000 after purchasing an additional 12,921 shares during the period. 80.95% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on STRL. Weiss Ratings cut shares of Sterling Infrastructure from a "buy (b)" rating to a "buy (b-)" rating in a research report on Tuesday, July 28th. Cantor Fitzgerald restated an "overweight" rating on shares of Sterling Infrastructure in a research note on Thursday, June 18th. Wall Street Zen downgraded shares of Sterling Infrastructure from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 4th. KeyCorp raised their target price on Sterling Infrastructure from $889.00 to $922.00 and gave the company an "overweight" rating in a research note on Tuesday, June 2nd. Finally, Zacks Research upgraded shares of Sterling Infrastructure from a "hold" rating to a "strong-buy" rating in a research note on Monday, June 1st. One investment analyst has rated the stock with a Strong Buy rating and seven have issued a Buy rating to the company. According to data from MarketBeat.com, the company has an average rating of "Buy" and a consensus price target of $720.67.

About Sterling Infrastructure

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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