Sterling Infrastructure (NASDAQ:STRL) Hits New 12-Month High After Strong Earnings

Key Points

• Sterling Infrastructure reached a new 12-month high of $272.81 after reporting strong quarterly earnings of $2.55 EPS, outperforming expectations by $0.29.
• Institutional investment in Sterling Infrastructure has surged, with Millennium Management increasing their stake by 743.9% in the first quarter, bringing their holdings to 493,393 shares worth over $55 million.
• Despite strong earnings, Wall Street analysts are mixed; DA Davidson upgraded their rating to "buy" with a new target price of $265, while Wall Street Zen downgraded it from "buy" to "hold."

Sterling Infrastructure, Inc. (NASDAQ:STRL - Get Free Report) hit a new 52-week high during mid-day trading on Monday after the company announced better than expected quarterly earnings. The company traded as high as $272.81 and last traded at $271.74, with a volume of 888233 shares trading hands. The stock had previously closed at $263.05.

The construction company reported $2.55 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.26 by $0.29. Sterling Infrastructure had a return on equity of 26.58% and a net margin of 12.62%.

Analyst Upgrades and Downgrades

Several research firms have commented on STRL. Wall Street Zen cut shares of Sterling Infrastructure from a "buy" rating to a "hold" rating in a report on Saturday, July 5th. DA Davidson increased their target price on Sterling Infrastructure from $205.00 to $265.00 and gave the company a "buy" rating in a report on Wednesday, June 18th.

Insider Buying and Selling

In related news, Director Dana C. O'brien sold 10,154 shares of the company's stock in a transaction on Monday, June 16th. The stock was sold at an average price of $206.58, for a total transaction of $2,097,613.32. Following the completion of the transaction, the director directly owned 16,498 shares in the company, valued at $3,408,156.84. This represents a 38.10% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, General Counsel Mark D. Wolf sold 3,500 shares of the stock in a transaction dated Tuesday, June 24th. The stock was sold at an average price of $225.87, for a total transaction of $790,545.00. Following the completion of the sale, the general counsel directly owned 29,315 shares in the company, valued at approximately $6,621,379.05. This trade represents a 10.67% decrease in their position. The disclosure for this sale can be found here. Company insiders own 2.70% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of STRL. Millennium Management LLC boosted its stake in Sterling Infrastructure by 743.9% in the first quarter. Millennium Management LLC now owns 493,393 shares of the construction company's stock worth $55,857,000 after purchasing an additional 434,925 shares in the last quarter. Pacer Advisors Inc. bought a new stake in shares of Sterling Infrastructure during the first quarter worth $28,689,000. Capital Research Global Investors boosted its holdings in Sterling Infrastructure by 78.5% in the fourth quarter. Capital Research Global Investors now owns 574,976 shares of the construction company's stock valued at $96,855,000 after acquiring an additional 252,934 shares during the last quarter. Amanah Holdings Trust bought a new position in shares of Sterling Infrastructure in the 2nd quarter valued at about $44,527,000. Finally, Nuveen LLC acquired a new stake in shares of Sterling Infrastructure during the 1st quarter worth approximately $19,741,000. Institutional investors own 80.95% of the company's stock.

Sterling Infrastructure Price Performance

The firm has a market capitalization of $8.26 billion, a price-to-earnings ratio of 31.75, a price-to-earnings-growth ratio of 2.18 and a beta of 1.46. The company has a quick ratio of 1.32, a current ratio of 1.32 and a debt-to-equity ratio of 0.34. The company's fifty day moving average is $226.09 and its two-hundred day moving average is $171.90.

Sterling Infrastructure Company Profile

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

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