STRL Valuation

Sterling Infrastructure Inc

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278.030

+3.14(1.142%)1D

Overview
Forecast
Valuation
Earnings

STRL Relative Valuation

STRL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, STRL is overvalued; if below, it's undervalued.

Historical Valuation

Sterling Infrastructure Inc (STRL) is now in the Overvalued zone, suggesting that its current forward PE ratio of 29.01 is considered Overvalued compared with the five-year average of 14.33. The fair price of Sterling Infrastructure Inc (STRL) is between 113.18 to 212.81 according to relative valuation methord. Compared to the current price of 278.03 USD , Sterling Infrastructure Inc is Overvalued By 30.64%.

Relative Value

Fair Zone

113.18-212.81

Current Price：278.03

30.64%

Overvalued

29.01

Trailing

Forward

17.26

EV/EBITDA

Sterling Infrastructure Inc. (STRL) has a current EV/EBITDA of 17.26. The 5-year average EV/EBITDA is 8.31. The thresholds are as follows: Strongly Undervalued below 1.72, Undervalued between 1.72 and 5.02, Fairly Valued between 11.61 and 5.02, Overvalued between 11.61 and 14.90, and Strongly Overvalued above 14.90. The current Forward EV/EBITDA of 17.26 falls within the Strongly Overvalued range.

21.59

EV/EBIT

Sterling Infrastructure Inc. (STRL) has a current EV/EBIT of 21.59. The 5-year average EV/EBIT is 10.55. The thresholds are as follows: Strongly Undervalued below 2.77, Undervalued between 2.77 and 6.66, Fairly Valued between 14.44 and 6.66, Overvalued between 14.44 and 18.33, and Strongly Overvalued above 18.33. The current Forward EV/EBIT of 21.59 falls within the Strongly Overvalued range.

3.64

Sterling Infrastructure Inc. (STRL) has a current PS of 3.64. The 5-year average PS is 1.02. The thresholds are as follows: Strongly Undervalued below -0.64, Undervalued between -0.64 and 0.19, Fairly Valued between 1.84 and 0.19, Overvalued between 1.84 and 2.67, and Strongly Overvalued above 2.67. The current Forward PS of 3.64 falls within the Strongly Overvalued range.

18.75

P/OCF

Sterling Infrastructure Inc. (STRL) has a current P/OCF of 18.75. The 5-year average P/OCF is 7.82. The thresholds are as follows: Strongly Undervalued below 0.12, Undervalued between 0.12 and 3.97, Fairly Valued between 11.67 and 3.97, Overvalued between 11.67 and 15.53, and Strongly Overvalued above 15.53. The current Forward P/OCF of 18.75 falls within the Strongly Overvalued range.

23.19

P/FCF

Sterling Infrastructure Inc. (STRL) has a current P/FCF of 23.19. The 5-year average P/FCF is 10.17. The thresholds are as follows: Strongly Undervalued below 1.29, Undervalued between 1.29 and 5.73, Fairly Valued between 14.61 and 5.73, Overvalued between 14.61 and 19.04, and Strongly Overvalued above 19.04. The current Forward P/FCF of 23.19 falls within the Strongly Overvalued range.

Sterling Infrastructure Inc (STRL) has a current Price-to-Book (P/B) ratio of 9.59. Compared to its 3-year average P/B ratio of 4.68 , the current P/B ratio is approximately 104.88% higher. Relative to its 5-year average P/B ratio of 3.64, the current P/B ratio is about 163.22% higher. Sterling Infrastructure Inc (STRL) has a Forward Free Cash Flow (FCF) yield of approximately 5.21%. Compared to its 3-year average FCF yield of 11.63%, the current FCF yield is approximately -55.18% lower. Relative to its 5-year average FCF yield of 13.35% , the current FCF yield is about -60.94% lower.

9.59

P/B

Median3y

4.68

Median5y

3.64

5.21

FCF Yield

Median3y

11.63

Median5y

13.35

Competitors Valuation Multiple

The average P/S ratio for STRL's competitors is 1.99, providing a benchmark for relative valuation. Sterling Infrastructure Inc Corp (STRL) exhibits a P/S ratio of 3.64, which is 83.11% above the industry average. Given its robust revenue growth of 5.43%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

STRL.O

Sterling Infrastructure Inc

Installed Building Products Inc

Performance Decomposition

Market capitalization of STRL increased by 132.60% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 15.91 to 30.18.

The secondary factor is the Margin Expansion, contributed 37.50%to the performance.

Overall, the performance of STRL in the past 1 year is driven by P/E Change. Which is more unsustainable.

5.43%

582.82M → 614.47M

Revenue Growth

37.50%

9.36 → 12.87

Margin Expansion

89.67%

15.91 → 30.18

P/E Change

132.60%