Sterling InfrastructureSTRL -2.80%83 Pretax Margin % is 16.65% as of Mar. 2026, which is 191% above its 10-year median of 5.72. GuruFocus rates STRL with a GF Score™ of 83/100 and a GF Value™ of $207.14 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,763 Construction companies, Sterling Infrastructure ranks better than 86.27% on this metric.
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Sterling Infrastructure Pretax Margin % Related Terms
Sterling Infrastructure Pretax Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Engineering & Construction subindustry, Sterling Infrastructure's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sterling Infrastructure Pretax Margin % vs Construction Industry
For the Construction industry and Industrials sector, Sterling Infrastructure's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Sterling Infrastructure's Pretax Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Sterling Infrastructure (STRL) has a Pretax Margin % of 16.65% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Sterling Infrastructure and its competitors. This is 191% above median its historical median of 5.72. According to the industry distribution chart, Sterling Infrastructure ranks #242 out of 1763 companies in the Construction industry, placing it in the top 13.7%.
Is Sterling Infrastructure's Pretax Margin % too high?
Sterling Infrastructure's current Pretax Margin % of 16.65% is 191% above median its 10-year median of 5.72. The Construction industry median Pretax Margin % is 5.56. Sterling Infrastructure's value of 16.65% is 199.5% above this industry median. Based on the distribution chart, Sterling Infrastructure ranks #242 out of 1763 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Sterling Infrastructure has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sterling Infrastructure's Pretax Margin % compare to MTZ and APG?
According to the Construction industry distribution chart, Sterling Infrastructure ranks #242 out of 1763 companies for Pretax Margin %. This places Sterling Infrastructure in the top 14% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.56. Sterling Infrastructure's value of 16.65% is 199.5% above this benchmark. While the company's 10-year median is 5.72 vs. the industry median of 5.56, Sterling Infrastructure has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Construction company?
The median Pretax Margin % among Construction companies is 5.56, based on 1,763 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sterling Infrastructure's current Pretax Margin % of 16.65% is 199.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Sterling Infrastructure and its competitors. For the Construction industry, the median Pretax Margin % is 5.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sterling Infrastructure's current Pretax Margin % is 16.65%, which is 191% above median its own 10-year median of 5.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sterling Infrastructure stock overvalued right now?
Based on GuruFocus' analysis, Sterling Infrastructure (STRL) is currently considered Significantly Overvalued. The stock's GF Value™ is $207.14, compared to a current price of $867.23 — trading 318.7% above its estimated fair value. The current Pretax Margin % is 16.65%, which is 191% above median its 10-year median of 5.72 and 199.5% above the Construction industry median of 5.56. Sterling Infrastructure's overall GF Score™ is 83/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Sterling Infrastructure (STRL), the current Pretax Margin % is 16.65% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sterling Infrastructure (STRL) Overvalued in 2026?
Based on GuruFocus' analysis, Sterling Infrastructure stock appears to be overvalued.
The current stock price of $867.23 is trading 318.7% above its estimated GF Value™ of $207.14.
GuruFocus considers Sterling Infrastructure to be Significantly Overvalued.
Key valuation signals for STRL:
Pretax Margin %: 16.65% (191% above median its 10-year median of 5.72)
GF Value™: $207.14 vs. price of $867.23 (318.7% above fair value)
Industry Position: 199.5% above the Construction median (#242 of 1763)
No single metric tells the full story. See the STRL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sterling Infrastructure Inc operates through subsidiaries within three segments: E-Infrastructure, Transportation, and Building Solutions in the United States, mainly across the Southern, Northeastern, Mid-Atlantic, and Rocky Mountain regions and the Pacific Islands. E-Infrastructure Solutions generates maximum revenue and provides site development and mission-critical electrical services for data centers, manufacturing, distribution centers, warehousing, and power generation. Transportation Solutions includes infrastructure and rehabilitation projects for highways, airports, ports, rail, and storm drainage systems. Building Solutions includes residential and commercial concrete foundations, parking structures, plumbing services, and surveys for new single-family residential builds.
83GF Score
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