Sterling Construction Stock Analysis, Valuation (NASDAQ:STRL)

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$13.48 $0.43 (3.3%) STRL stock closing price Jun 18, 2018 (Closing)

Watch the robo advisor video of Sterling Construction stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for STRL stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Sterling Construction Company, Inc. Stock Rating 2.6/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for STRL stock analysis. Sterling Construction valuation forms a crucial part of our stock analysis. Sterling Construction stock rating is our opinion about the business fundamentals of the company.

Should you buy STRL stock?

  • Sterling Construction sales grew by 45% year on year in 2018-03.
  • STRL stock is trading at a favorable price to sales multiple of 0.4 as against the Construction sector average multiple of 1.
  • Sterling Construction has an attractive ROIC (Return on Invested Capital) of 17.8

Should you sell STRL stock?

  • Sterling Construction had a poor average operating margin of 3.37 over the last 4 quarters.
  • Sterling Construction's LTM Net margins were poor at 1.6%.
  • The company has negative cash flow from operations.
  • Sterling Construction has a negative FCF (Free Cash Flow) margin of -10.9.

Comments on this video and Sterling Construction stock

Amigobulls Sterling Construction stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Company's fundamentals remain one of the key driver of STRL stock and helps investors in making good buy and sell decision.

While doing a study of the company financials, Sterling Construction revenue growth and profit or net income are two main metrics which help in identifying whether STRL stock is overvalued or undervalued. One can also combine technical analysis and fundamental analysis to get a holistic picture about STRL stock.