Sterling’s stock price has taken a beating over the past six months, shedding 33.2% of its value and falling to $353.44 per share. This might have investors contemplating their next move.

Following the pullback, is now a good time to buy STRL? Find out in our full research report, it’s free.

Why is STRL a good business?

Involved in the construction of a major highway, the Grand Parkway in Houston, TX, Sterling Infrastructure (NASDAQ: STRL) provides civil infrastructure construction.

1. Skyrocketing revenue shows strong momentum

Examining a company’s long-term performance can provide clues about its quality. Any business can have short-term success, but a top-tier one grows for years. Over the last five years, Sterling grew its sales at an incredible 23.1% compounded annual growth rate. Its growth beat the average industrials company and shows its offerings resonate with customers.

2. Outstanding long-term EPS growth

We track the long-term change in earnings per share (EPS) because it highlights whether a company’s growth is profitable.

Sterling’s EPS grew at 59.7% compounded annual growth rate over the last five years, higher than its 23.1% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded.

3. New investments bear fruit as ROIC jumps

We like to invest in businesses with high returns, but the trend in a company’s ROIC can also be an early indicator of future business quality.

Fortunately, Sterling’s ROIC has increased significantly over the last few years. This is a great sign when paired with its already strong returns. It could suggest its competitive advantage or profitable growth opportunities are expanding.

Final judgment

These are just a few reasons why we think Sterling is an elite industrials company. With the recent decline, the stock trades at 12.4× forward P/E (or $353.44 per share). Is now a good time to buy? See for yourself in our full research report, it’s free.

High-quality stocks for all market conditions

ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.

Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.

Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.