In the latest close session, Sterling Infrastructure (STRL) was down 2.2% at $242.20. This change lagged the S&P 500's daily gain of 0.06%. Elsewhere, the Dow saw an upswing of 0.41%, while the tech-heavy Nasdaq depreciated by 0.39%.
Shares of the civil construction company witnessed a gain of 11.3% over the previous month, beating the performance of the Construction sector with its gain of 6.08%, and the S&P 500's gain of 5.88%.
Analysts and investors alike will be keeping a close eye on the performance of Sterling Infrastructure in its upcoming earnings disclosure. The company is predicted to post an EPS of $2.26, indicating a 35.33% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $555.13 million, reflecting a 4.75% fall from the equivalent quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $8.61 per share and a revenue of $2.09 billion, indicating changes of +41.15% and -1.22%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Sterling Infrastructure. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Sterling Infrastructure is currently a Zacks Rank #3 (Hold).
In the context of valuation, Sterling Infrastructure is at present trading with a Forward P/E ratio of 28.78. This represents a premium compared to its industry average Forward P/E of 21.29.
It is also worth noting that STRL currently has a PEG ratio of 1.92. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Engineering - R and D Services industry held an average PEG ratio of 1.8.
The Engineering - R and D Services industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 97, finds itself in the top 40% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Sterling Infrastructure, Inc. (STRL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
