Is Now the Time to Invest in Sterling Infrastructure (STRL) Stock for 2026?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 16 2025
0mins
Should l Buy STRL?
Source: NASDAQ.COM
Stock Performance: Sterling Infrastructure (STRL) has shown remarkable growth, with nearly +1000% gains over the last three years and a year-to-date increase of +90%, despite currently trading 25% below its all-time high.
Operational Efficiency: The company boasts a high return on invested capital (ROIC) of 21.8% and a strong free cash flow conversion rate of 135%, indicating effective management and reinvestment of profits.
Future Earnings Projections: STRL's annual earnings are expected to rise over 70% this year, with further growth projected for FY26, making it an attractive buy-the-dip opportunity.
Investment Recommendations: With a Zacks Rank #1 (Strong Buy), STRL is highlighted as a top stock for 2026, alongside a new $400 million stock repurchase plan aimed at boosting earnings per share.
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Analyst Views on STRL
Wall Street analysts forecast STRL stock price to rise
3 Analyst Rating
3 Buy
0 Hold
0 Sell
Strong Buy
Current: 431.430
Low
450.00
Averages
455.00
High
460.00
Current: 431.430
Low
450.00
Averages
455.00
High
460.00
About STRL
Sterling Infrastructure, Inc. operates through a variety of subsidiaries within three segments specializing in E-Infrastructure, Transportation and Building Solutions in the United States. It serves Southern, Northeastern, Mid-Atlantic and Rocky Mountain regions and the Pacific Islands. E-Infrastructure Solutions provides advanced, site development services and electrical services for data centers, semiconductor fabrication, manufacturing, distribution centers, warehousing, and power generation. Transportation Solutions includes infrastructure and rehabilitation projects for highways, roads, bridges, airports, ports, rail and storm drainage systems. Building Solutions include residential and commercial concrete foundations for single-family and multifamily homes, parking structures, elevated slabs, other concrete work, plumbing services, and surveys for new single-family residential builds. The principal geographic market for the Company’s residential business is Texas.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Sterling Infrastructure to Release Q4 2025 Financial Results on February 25, 2026
- Earnings Release Announcement: Sterling Infrastructure plans to issue its financial results for Q4 2025 on February 25, 2026, after market close, which is expected to provide investors with critical financial insights and future outlook.
- Conference Call Details: Management will host a conference call on February 26, 2026, at 9:00 AM ET to discuss Q4 and full-year results, likely attracting significant attention from investors and analysts alike.
- Webcast and Archive: The company will offer a live webcast of the conference call, accessible via its website, and a 30-day archived version will be available for those unable to listen live, ensuring broad dissemination of information.
- Business Overview: Sterling operates through various subsidiaries in the U.S., providing E-Infrastructure, Transportation, and Building Solutions, emphasizing sustainability and its critical role in infrastructure development to support economic growth and societal welfare.
See More
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- Shopify Attractiveness Upgrade: TD Cowen upgrades Shopify from hold to buy, citing its strong quarterly performance and continued growth momentum as compelling reasons for investors to consider the stock, especially given its recent price decline.
- Fastly's Stellar Performance: William Blair upgrades Fastly from market perform to outperform following impressive earnings, driven by a significant increase in AI traffic contributions, indicating substantial growth potential in this emerging sector.
- MercadoLibre's Improved Competitive Landscape: JPMorgan upgrades MercadoLibre from neutral to overweight, noting a reduction in competitive pressures in the Latin American online marketplace, with expectations for sustained growth in the coming quarters.
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- Surging Power Demand: The IEA projects that global energy consumption for data centers will double by 2030, highlighting the urgent need for infrastructure investment and creating significant opportunities for energy investments.
- Accelerated Construction: Despite concerns about 'overbuilding,' data shows that existing data centers are insufficient to meet the demands of AI and other intensive computing applications, indicating continued market growth potential.
- Diverse Investment Opportunities: Analysts suggest that investors can gain exposure to the data center buildout by focusing on related companies like Hewlett Packard Enterprise, especially in the context of rapid AI data center development.
- Energy Self-Sufficiency: Major tech firms like Microsoft and Amazon are taking control of energy costs by building or acquiring nuclear facilities, a trend that could reshape the energy supply landscape for data centers and reduce long-term operational costs.
See More
Data Center Buildout Accelerates, Power Demand Surges
- Surging Power Demand: The IEA projects that global energy consumption for data centers will double by 2030, highlighting the urgent need for infrastructure investment, making energy sector opportunities attractive for investors.
- Accelerated Buildout: Despite fears of overbuilding, data shows that demand for data centers continues to outstrip supply, with many large clients pre-leasing capacity into 2027, indicating robust market demand.
- Diverse Investment Opportunities: Analysts suggest that investors can engage in data center buildouts through various avenues, including companies like Hewlett Packard Enterprise that specialize in high-performance computing systems, which are expected to benefit from AI and data center demand.
- Energy Self-Sufficiency: Major tech firms like Microsoft and Amazon are investing in self-built energy facilities to meet rising power demands, which not only reduces operational costs but may also enhance their competitive edge in the future.
See More
Quanta Services PWR Sees Record Backlog of $39.2 Billion
- Significant Backlog Growth: Quanta Services' backlog reached a record $39.2 billion, up 15.5% from $33.96 billion a year earlier, indicating strong demand across end markets and enhancing future revenue visibility.
- Stable Project Execution: The company continues to secure work tied to essential grid and power delivery needs in a steady utility and power infrastructure spending environment, supporting more predictable project execution timelines and enhancing business stability.
- Competitive Industry Position: Quanta's shares have gained 17.3% over the past six months, significantly outperforming the Zacks Engineering - R&D Services industry's growth of 4.6%, reflecting its competitive strength amid ongoing infrastructure investment growth.
- Rising Earnings Expectations: Quanta's earnings estimate for 2026 has been raised in the past 30 days, indicating an expected year-over-year increase of 17.2% alongside projected revenue growth of 11.4%, suggesting a positive outlook for the company's profitability and market performance.
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Starlink Offers Free Satellite Internet Service in Venezuela Until February 3
- Free Service Launch: Starlink announced it will provide free satellite internet service in Venezuela until February 3, aiming to support the populace amid political turmoil following a U.S. military operation, highlighting its critical role during crises.
- Global Expansion: Operating in over 115 countries, Starlink maintains the world's largest constellation of low-Earth orbit satellites, and as demand for reliable broadband grows in underserved and crisis-affected areas, the company is solidifying its market position.
- Competitive Advantage: Competing against Amazon-backed Project Leo, Starlink is further establishing its dominance in the satellite internet sector by offering essential communication tools during emergencies, showcasing its significant global influence.
- Strategic Implications: This free service not only enhances Starlink's brand image in Venezuela but may also lay the groundwork for future expansions into other crisis regions, thereby strengthening its competitive edge in the global market.
See More
Sterling Infrastructure to Release Q4 2025 Financial Results on February 25, 2026
- Earnings Release Announcement: Sterling Infrastructure plans to issue its financial results for Q4 2025 on February 25, 2026, after market close, which is expected to provide investors with critical financial insights and future outlook.
- Conference Call Details: Management will host a conference call on February 26, 2026, at 9:00 AM ET to discuss Q4 and full-year results, likely attracting significant attention from investors and analysts alike.
- Webcast and Archive: The company will offer a live webcast of the conference call, accessible via its website, and a 30-day archived version will be available for those unable to listen live, ensuring broad dissemination of information.
- Business Overview: Sterling operates through various subsidiaries in the U.S., providing E-Infrastructure, Transportation, and Building Solutions, emphasizing sustainability and its critical role in infrastructure development to support economic growth and societal welfare.
See More
Major Wall Street Rating Updates
- Apple Siri Upgrade Delay: Evercore ISI reiterates Apple as outperform, suggesting that reports of delays in Siri upgrades are overstated, with expectations for a multi-phase rollout of AI features this year, emphasizing the importance of privacy protection and seamless integration.
- Shopify Attractiveness Upgrade: TD Cowen upgrades Shopify from hold to buy, citing its strong quarterly performance and continued growth momentum as compelling reasons for investors to consider the stock, especially given its recent price decline.
- Fastly's Stellar Performance: William Blair upgrades Fastly from market perform to outperform following impressive earnings, driven by a significant increase in AI traffic contributions, indicating substantial growth potential in this emerging sector.
- MercadoLibre's Improved Competitive Landscape: JPMorgan upgrades MercadoLibre from neutral to overweight, noting a reduction in competitive pressures in the Latin American online marketplace, with expectations for sustained growth in the coming quarters.
See More
Data Center Buildout Accelerates, Power Demand Surges
- Surging Power Demand: The IEA projects that global energy consumption for data centers will double by 2030, highlighting the urgent need for infrastructure investment and creating significant opportunities for energy investments.
- Accelerated Construction: Despite concerns about 'overbuilding,' data shows that existing data centers are insufficient to meet the demands of AI and other intensive computing applications, indicating continued market growth potential.
- Diverse Investment Opportunities: Analysts suggest that investors can gain exposure to the data center buildout by focusing on related companies like Hewlett Packard Enterprise, especially in the context of rapid AI data center development.
- Energy Self-Sufficiency: Major tech firms like Microsoft and Amazon are taking control of energy costs by building or acquiring nuclear facilities, a trend that could reshape the energy supply landscape for data centers and reduce long-term operational costs.
See More
Data Center Buildout Accelerates, Power Demand Surges
- Surging Power Demand: The IEA projects that global energy consumption for data centers will double by 2030, highlighting the urgent need for infrastructure investment, making energy sector opportunities attractive for investors.
- Accelerated Buildout: Despite fears of overbuilding, data shows that demand for data centers continues to outstrip supply, with many large clients pre-leasing capacity into 2027, indicating robust market demand.
- Diverse Investment Opportunities: Analysts suggest that investors can engage in data center buildouts through various avenues, including companies like Hewlett Packard Enterprise that specialize in high-performance computing systems, which are expected to benefit from AI and data center demand.
- Energy Self-Sufficiency: Major tech firms like Microsoft and Amazon are investing in self-built energy facilities to meet rising power demands, which not only reduces operational costs but may also enhance their competitive edge in the future.
See More
Quanta Services PWR Sees Record Backlog of $39.2 Billion
- Significant Backlog Growth: Quanta Services' backlog reached a record $39.2 billion, up 15.5% from $33.96 billion a year earlier, indicating strong demand across end markets and enhancing future revenue visibility.
- Stable Project Execution: The company continues to secure work tied to essential grid and power delivery needs in a steady utility and power infrastructure spending environment, supporting more predictable project execution timelines and enhancing business stability.
- Competitive Industry Position: Quanta's shares have gained 17.3% over the past six months, significantly outperforming the Zacks Engineering - R&D Services industry's growth of 4.6%, reflecting its competitive strength amid ongoing infrastructure investment growth.
- Rising Earnings Expectations: Quanta's earnings estimate for 2026 has been raised in the past 30 days, indicating an expected year-over-year increase of 17.2% alongside projected revenue growth of 11.4%, suggesting a positive outlook for the company's profitability and market performance.
See More
Starlink Offers Free Satellite Internet Service in Venezuela Until February 3
- Free Service Launch: Starlink announced it will provide free satellite internet service in Venezuela until February 3, aiming to support the populace amid political turmoil following a U.S. military operation, highlighting its critical role during crises.
- Global Expansion: Operating in over 115 countries, Starlink maintains the world's largest constellation of low-Earth orbit satellites, and as demand for reliable broadband grows in underserved and crisis-affected areas, the company is solidifying its market position.
- Competitive Advantage: Competing against Amazon-backed Project Leo, Starlink is further establishing its dominance in the satellite internet sector by offering essential communication tools during emergencies, showcasing its significant global influence.
- Strategic Implications: This free service not only enhances Starlink's brand image in Venezuela but may also lay the groundwork for future expansions into other crisis regions, thereby strengthening its competitive edge in the global market.
See More
