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Is Most-Watched Stock Sterling Infrastructure, Inc. (STRL) Worth Betting on Now?
STRLSterling Infrastructure(STRL) ZACKS·2025-03-05 15:05

Core Viewpoint - Sterling Infrastructure (STRL) has been under scrutiny due to its recent stock performance, which has declined by -11.8% over the past month, compared to the Zacks S&P 500 composite's -4.1% change, and the Zacks Engineering - R and D Services industry's -13.4% decline [2] Earnings Estimates - Sterling Infrastructure is projected to report earnings of 1.28pershareforthecurrentquarter,reflectingayearoveryearincreaseof+281.28 per share for the current quarter, reflecting a year-over-year increase of +28%. The Zacks Consensus Estimate has risen by +26.7% over the last 30 days [5] - The consensus earnings estimate for the current fiscal year stands at 7.35, indicating a year-over-year change of +20.5%, with a +13.7% increase in estimates over the past month [5] - For the next fiscal year, the consensus earnings estimate is 8.21,representingan+11.88.21, representing an +11.8% change from the previous year, with a +16.1% increase in estimates over the past month [6] Stock Rating - Sterling Infrastructure has received a Zacks Rank 1 (Strong Buy), indicating a strong potential for near-term price performance, driven by significant changes in earnings estimates [7] Revenue Growth - The consensus sales estimate for the current quarter is 415.6 million, which indicates a year-over-year decline of -5.6%. For the current and next fiscal years, sales estimates are 2.03billionand2.03 billion and 2.2 billion, reflecting changes of -4.1% and +8.4%, respectively [9] Recent Performance - In the last reported quarter, Sterling Infrastructure achieved revenues of 498.83million,ayearoveryearincreaseof+2.6498.83 million, a year-over-year increase of +2.6%. The EPS for the same period was 1.46, compared to 1.30ayearago[10]ThereportedrevenueswerebelowtheZacksConsensusEstimateof1.30 a year ago [10] - The reported revenues were below the Zacks Consensus Estimate of 533.75 million, resulting in a revenue surprise of -6.54%. However, the EPS surprise was +8.96%, with the company beating consensus EPS estimates in each of the last four quarters [11] Valuation - Sterling Infrastructure is graded B in the Zacks Value Style Score, indicating that it is trading at a discount compared to its peers [15]