Latest Ratios: P/E Ratio 54.6x · EV/EBITDA 31.9x · ROE 30.0%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $15.7B | $9.5B | $5.2B | $2.7B | $1.0B | $765M | $525M | $382M | $296M | $435M | $196M |
| Enterprise Value | $15.7B | $9.4B | $5.0B | $2.7B | $1.3B | $1.2B | $837M | $778M | $280M | $438M | $156M |
| P/E Ratio → | 54.58 | 32.65 | 20.37 | 19.80 | 9.43 | 12.23 | 12.41 | 9.58 | 11.71 | 37.86 | — |
| P/S Ratio | 6.31 | 3.81 | 2.48 | 1.39 | 0.57 | 0.54 | 0.43 | 0.34 | 0.29 | 0.45 | 0.28 |
| P/B Ratio | 14.32 | 8.57 | 6.35 | 4.40 | 2.10 | 2.12 | 1.95 | 1.73 | 1.72 | 2.97 | 1.81 |
| P/FCF | 43.32 | 26.13 | 12.61 | 6.63 | 6.34 | 6.82 | 5.83 | 14.86 | 11.26 | 32.00 | 5.82 |
| P/OCF | 35.71 | 21.54 | 10.55 | 5.73 | 4.58 | 4.82 | 4.27 | 9.29 | 7.50 | 18.90 | 4.40 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.79 | 2.34 | 1.35 | 0.74 | 0.83 | 0.68 | 0.69 | 0.27 | 0.46 | 0.23 |
| EV / EBITDA | 31.94 | 19.23 | 14.64 | 10.14 | 6.15 | 8.30 | 6.68 | 13.31 | 4.73 | 10.16 | 13.82 |
| EV / EBIT | 37.90 | 22.03 | 12.91 | 12.15 | 8.14 | 10.84 | 9.06 | 24.98 | 6.42 | 15.73 | — |
| EV / FCF | — | 26.02 | 11.90 | 6.45 | 8.27 | 10.44 | 9.30 | 30.30 | 10.65 | 32.27 | 4.65 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 23.0% | 23.0% | 20.1% | 17.1% | 15.5% | 14.4% | 14.6% | 9.6% | 10.6% | 9.3% | 6.4% |
| Operating Margin | 16.6% | 16.6% | 12.8% | 10.4% | 9.1% | 7.6% | 7.5% | 3.4% | 4.1% | 2.7% | -0.7% |
| Net Profit Margin | 11.7% | 11.7% | 12.2% | 7.0% | 6.0% | 4.4% | 3.4% | 3.5% | 2.4% | 1.2% | -1.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 30.0% | 30.0% | 35.5% | 25.2% | 25.4% | 19.9% | 17.3% | 20.3% | 15.8% | 9.1% | -9.1% |
| ROA | 12.4% | 12.4% | 13.4% | 8.5% | 7.8% | 5.6% | 4.4% | 5.6% | 5.3% | 3.0% | -3.3% |
| ROIC | 38.8% | 38.8% | 37.4% | 23.1% | 15.5% | 11.9% | 11.6% | 7.3% | 20.9% | 18.0% | -4.0% |
| ROCE | 28.5% | 28.5% | 22.3% | 19.2% | 16.6% | 13.6% | 14.1% | 7.9% | 14.6% | 12.0% | -3.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.32 | 0.32 | 0.45 | 0.64 | 1.03 | 1.31 | 1.43 | 2.02 | 0.48 | 0.62 | 0.05 |
| Debt / EBITDA | 0.71 | 0.71 | 1.09 | 1.51 | 2.31 | 3.34 | 3.07 | 7.65 | 1.39 | 2.09 | 0.48 |
| Net Debt / Equity | — | -0.04 | -0.36 | -0.12 | 0.64 | 1.13 | 1.16 | 1.79 | -0.09 | 0.02 | -0.36 |
| Net Debt / EBITDA | -0.08 | -0.08 | -0.87 | -0.28 | 1.44 | 2.88 | 2.49 | 6.78 | -0.27 | 0.08 | -3.48 |
| Debt / FCF | — | -0.11 | -0.71 | -0.18 | 1.93 | 3.62 | 3.47 | 15.44 | -0.61 | 0.26 | -1.17 |
| Interest Coverage | 21.64 | 21.64 | 15.19 | 7.50 | 7.81 | 5.60 | 3.15 | 1.87 | 3.53 | 2.84 | -1.79 |
Net cash position: cash ($391M) exceeds total debt ($350M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.01 | 1.01 | 1.38 | 1.25 | 1.34 | 1.24 | 1.12 | 1.22 | 1.69 | 1.53 | 1.20 |
| Quick Ratio | 1.01 | 1.01 | 1.38 | 1.25 | 1.34 | 1.24 | 1.12 | 1.22 | 1.67 | 1.50 | 1.17 |
| Cash Ratio | 0.38 | 0.38 | 0.90 | 0.70 | 0.41 | 0.18 | 0.23 | 0.17 | 0.55 | 0.47 | 0.31 |
| Asset Turnover | — | 0.95 | 1.04 | 1.09 | 1.20 | 1.12 | 1.25 | 1.19 | 2.15 | 2.07 | 2.29 |
| Inventory Turnover | — | — | — | — | — | — | — | — | 293.55 | 188.03 | 174.29 |
| Days Sales Outstanding | — | 73.46 | 58.71 | 66.36 | 79.74 | 73.76 | 83.03 | 88.39 | 69.40 | 69.51 | 65.57 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 1.8% | 3.1% | 4.9% | 5.0% | 10.6% | 8.2% | 8.1% | 10.4% | 8.5% | 2.6% | — |
| FCF Yield | 2.3% | 3.8% | 7.9% | 15.1% | 15.8% | 14.7% | 17.2% | 6.7% | 8.9% | 3.1% | 17.2% |
| Buyback Yield | 0.5% | 0.8% | 1.3% | 0.0% | 0.0% | 0.0% | 0.0% | 0.8% | 1.6% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.5% | 0.8% | 1.3% | 0.0% | 0.0% | 0.0% | 0.0% | 0.8% | 1.6% | 0.0% | 0.0% |
| Shares Outstanding | — | $31M | $31M | $31M | $31M | $29M | $28M | $27M | $27M | $27M | $23M |
Includes 30+ ratios · 30 years · Updated daily
Live VCP patterns, Cup & Handle overlays, support/resistance, and AI trade plans.
High-probability breakout stocks crossing their pivot across 5 pattern engines.
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying STRL stock.
Sterling Infrastructure, Inc.'s current P/E ratio is 54.6x. The historical average is 15.0x. This places it at the 100th percentile of its historical range.
Sterling Infrastructure, Inc.'s current EV/EBITDA is 31.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.1x.
Sterling Infrastructure, Inc.'s return on equity (ROE) is 30.0%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -13.4%.
Based on historical data, Sterling Infrastructure, Inc. is trading at a P/E of 54.6x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Sterling Infrastructure, Inc. has 23.0% gross margin and 16.6% operating margin. Operating margin between 10-20% is typical for established companies.
Sterling Infrastructure, Inc.'s Debt/EBITDA ratio is 0.7x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Building Solutions housing sensitivity
Metrics are mathematically derived from official filings.
Margin Expansion Signals Structural Shift
Gross margin climbed to 24.2% in 2026Q2 from 17.5% in 2024Q1, as reported in financial statements, confirming a durable pivot toward higher-value E-Infrastructure work and away from commodity bidding.
The 670 basis point gross margin expansion over nine quarters is not a cyclical blip but appears to reflect a permanent mix shift toward negotiated private-sector contracts, particularly in E-Infrastructure. Operating margin followed suit, reaching 19.8% in 2026Q2 versus 9.6% in 2024Q1, demonstrating that the margin gains are flowing through to the bottom line. This profitability profile now sits well above the traditional heavy civil range of 8-12%, suggesting Sterling has successfully differentiated itself from low-bid competitors.
ROIC Surges on Efficiency Gains
ROIC expanded to 15.2% in 2026Q2 from 5.7% in 2024Q1, according to recent SEC filings, driven by margin expansion rather than asset turnover, which remained flat at 0.39.
The near-tripling of ROIC over nine quarters is primarily a margin story, as asset turnover has been stagnant, indicating that Sterling is generating more profit per dollar of invested capital without needing to deploy additional assets. This suggests the company is leveraging its existing equipment and labor force more effectively, a sign of operational excellence. However, the recent surge in goodwill from acquisitions (to $616M) may dilute future ROIC if those acquisitions fail to generate returns above the cost of capital, a risk investors should monitor.
Working Capital Efficiency Improves
DSO improved to 62 days in 2026Q2 from 76 days in 2024Q1, as reported in financial statements, while DPO compressed to 28 days, indicating tighter receivables management but faster supplier payments.
The 14-day reduction in DSO suggests Sterling is collecting cash more quickly from clients, likely due to the shift toward negotiated contracts with more favorable payment terms. However, the simultaneous decline in DPO from 35 to 28 days means the company is paying suppliers faster, which could be a strategic choice to secure materials or labor in a tight market. The net effect on the cash conversion cycle is unclear due to missing DIO data, but the improved DSO is a positive sign for working capital efficiency.
Deleveraging Accelerates Amid Growth
Debt-to-equity fell to 0.24 in 2026Q2 from 0.60 in 2024Q1, while interest coverage soared to 74.9x, according to recent SEC filings, reflecting a rapidly strengthening balance sheet.
The dramatic reduction in leverage is even more impressive given that total debt remained stable around $340-390M, meaning the improvement is driven by equity growth from retained earnings. Interest coverage of 74.9x in 2026Q2 is exceptionally comfortable, providing ample cushion against any potential rate hikes or earnings volatility. This conservative capital structure gives Sterling significant financial flexibility to pursue acquisitions or weather cyclical downturns without distress.
Liquidity Adequate but Tightening
Current ratio slipped to 1.11 in 2026Q2 from 1.25 in 2024Q1, as reported in financial statements, with quick ratio at 1.11, indicating a thinner but still adequate liquidity buffer.
The decline in the current ratio is partly due to the rapid growth in current liabilities from project advances and payables, which is a natural consequence of scaling revenue. However, the quick ratio matching the current ratio suggests that inventory is not a significant liquidity concern, which is typical for a service-oriented contractor. While the buffer is adequate, it leaves little room for a sudden working capital shock, such as a large project delay or client dispute, warranting close monitoring of unbilled receivables.
P/E Misleads on Growth Trajectory
The trailing P/E of 58.5 appears extreme, but forward P/E of 28.2 and PEG of 1.32, based on reported figures, suggest the market is pricing in sustained high growth, not a value trap.
The most commonly misapplied ratio for Sterling is the trailing P/E, which is distorted by the recent earnings surge and may mislead investors into thinking the stock is overvalued. However, the forward P/E of 28.2 is more reasonable given the expected earnings growth, and the PEG of 1.32 implies the stock is fairly valued relative to its growth rate. Investors should focus on EV/EBITDA (34.25 trailing, 12.58 forward) and forward multiples, which better capture the company's operating performance and growth potential, rather than the backward-looking P/E.