Sterling Infrastructure (NASDAQ:STRL) Trading 7.6% Higher – Still a Buy?

Sterling Infrastructure, Inc. (NASDAQ:STRL)’s share price was up 7.6% during mid-day trading on Thursday . The stock traded as high as $468.22 and last traded at $466.9030. Approximately 122,521 shares traded hands during mid-day trading, a decline of 73% from the average daily volume of 447,474 shares. The stock had previously closed at $433.91.

Analyst Upgrades and Downgrades

Several research firms have issued reports on STRL. Weiss Ratings upgraded shares of Sterling Infrastructure from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Monday, January 26th. DA Davidson raised their price target on Sterling Infrastructure from $355.00 to $460.00 and gave the stock a “buy” rating in a research note on Wednesday, November 5th. Zacks Research lowered Sterling Infrastructure from a “strong-buy” rating to a “hold” rating in a research report on Monday, January 5th. Cantor Fitzgerald initiated coverage on Sterling Infrastructure in a report on Friday, January 23rd. They issued an “overweight” rating and a $413.00 price objective for the company. Finally, Stifel Nicolaus set a $486.00 target price on shares of Sterling Infrastructure and gave the company a “buy” rating in a report on Wednesday. Four equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, Sterling Infrastructure presently has an average rating of “Moderate Buy” and a consensus target price of $453.00.

Sterling Infrastructure Trading Up 1.5%

The company has a debt-to-equity ratio of 0.26, a quick ratio of 1.00 and a current ratio of 1.00. The stock has a market capitalization of $13.45 billion, a PE ratio of 42.92, a price-to-earnings-growth ratio of 2.53 and a beta of 1.51. The business’s 50-day moving average is $342.63 and its two-hundred day moving average is $333.34.

Sterling Infrastructure declared that its Board of Directors has initiated a share repurchase program on Wednesday, November 12th that allows the company to buyback $400.00 million in shares. This buyback authorization allows the construction company to repurchase up to 3.4% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s management believes its stock is undervalued.

Insider Activity at Sterling Infrastructure

In related news, Director Dwayne Andree Wilson sold 2,860 shares of Sterling Infrastructure stock in a transaction that occurred on Friday, January 16th. The stock was sold at an average price of $350.00, for a total value of $1,001,000.00. Following the sale, the director directly owned 14,749 shares in the company, valued at $5,162,150. The trade was a 16.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Dana C. O’brien sold 2,000 shares of the firm’s stock in a transaction on Monday, February 9th. The shares were sold at an average price of $410.00, for a total value of $820,000.00. Following the completion of the sale, the director directly owned 11,498 shares of the company’s stock, valued at approximately $4,714,180. This trade represents a 14.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 6,860 shares of company stock valued at $2,611,000 over the last three months. Insiders own 3.70% of the company’s stock.

Hedge Funds Weigh In On Sterling Infrastructure

Several hedge funds have recently bought and sold shares of STRL. Arete Wealth Advisors LLC boosted its position in Sterling Infrastructure by 170.4% during the fourth quarter. Arete Wealth Advisors LLC now owns 1,606 shares of the construction company’s stock worth $492,000 after purchasing an additional 1,012 shares in the last quarter. Kestra Advisory Services LLC raised its stake in shares of Sterling Infrastructure by 33.1% during the 4th quarter. Kestra Advisory Services LLC now owns 1,641 shares of the construction company’s stock worth $503,000 after buying an additional 408 shares during the last quarter. FORA Capital LLC purchased a new stake in shares of Sterling Infrastructure in the 4th quarter worth about $2,996,000. The Manufacturers Life Insurance Company grew its stake in Sterling Infrastructure by 59.5% in the 4th quarter. The Manufacturers Life Insurance Company now owns 34,867 shares of the construction company’s stock valued at $10,677,000 after acquiring an additional 13,000 shares during the last quarter. Finally, Inspire Advisors LLC purchased a new position in Sterling Infrastructure during the 4th quarter valued at about $1,011,000. 80.95% of the stock is owned by hedge funds and other institutional investors.

About Sterling Infrastructure

Sterling Infrastructure, Inc (NASDAQ: STRL) is a diversified manufacturer and distributor of essential infrastructure products serving municipal, utility and industrial customers across North America. Through its network of wholly owned subsidiaries, the company designs, engineers and produces a wide range of cast and fabricated solutions tailored to the needs of the waterworks, natural gas, telecommunications, electric, traffic safety and parks & recreation markets.

The company’s product portfolio encompasses ductile iron and composite fittings, valve boxes, manhole frames and covers, water and gas meter sets, street light poles and mounting accessories, traffic sign posts with breakaway systems, bollards and related system components.