Sterling InfrastructureSTRL -9.76%83 Return-on-Tangible-Asset is 24.41% as of Mar. 2026, which is 144% above its 10-year median of 10.01. GuruFocus rates STRL with a GF Score™ of 83/100 and a GF Value™ of $211.00 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,776 Construction companies, Sterling Infrastructure ranks better than 97.52% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Sterling Infrastructure's annualizedNet Income for the quarter that ended in Mar. 2026 was $384 Mil. Sterling Infrastructure's average total tangible assets for the quarter that ended in Mar. 2026 was $1,572 Mil. Therefore, Sterling Infrastructure's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 24.41%.
The historical rank and industry rank for Sterling Infrastructure's Return-on-Tangible-Asset or its related term are showing as below:
STRL'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -4.03 Med: 10.01 Max: 23.02
Current: 23.02
During the past 13 years, Sterling Infrastructure's highest Return-on-Tangible-Asset was 23.02%. The lowest was -4.03%. And the median was 10.01%.
STRL's Return-on-Tangible-Asset is ranked better than 97.52% of 1776
companies
in the Construction industry
Industry Median: 3.01
vs STRL: 23.02
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Sterling Infrastructure Return-on-Tangible-Asset Related Terms
Sterling Infrastructure Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Sterling Infrastructure's Return-on-Tangible-Asset can be seen below:
* 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.
STRL vs MTZ, APG, J: Return-on-Tangible-Asset Comparison
For the Engineering & Construction subindustry, Sterling Infrastructure's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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 Return-on-Tangible-Asset vs Construction Industry
For the Construction industry and Industrials sector, Sterling Infrastructure's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Sterling Infrastructure's Return-on-Tangible-Asset 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.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 24.41% mean?
Sterling Infrastructure (STRL) has a Return-on-Tangible-Asset of 24.41% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Sterling Infrastructure and its competitors. This is 144% above median its historical median of 10.01. According to the industry distribution chart, Sterling Infrastructure ranks #44 out of 1776 companies in the Construction industry, placing it in the top 2.5%.
Is Sterling Infrastructure's Return-on-Tangible-Asset too high?
Sterling Infrastructure's current Return-on-Tangible-Asset of 24.41% is 144% above median its 10-year median of 10.01. The Construction industry median Return-on-Tangible-Asset is 3.01. Sterling Infrastructure's value of 24.41% is 711% above this industry median. Based on the distribution chart, Sterling Infrastructure ranks #44 out of 1776 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 Return-on-Tangible-Asset compare to MTZ and APG?
According to the Construction industry distribution chart, Sterling Infrastructure ranks #44 out of 1776 companies for Return-on-Tangible-Asset. This places Sterling Infrastructure in the top 3% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.01. Sterling Infrastructure's value of 24.41% is 711% above this benchmark. While the company's 10-year median is 10.01 vs. the industry median of 3.01, 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 Return-on-Tangible-Asset for a Construction company?
The median Return-on-Tangible-Asset among Construction companies is 3.01, based on 1,776 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sterling Infrastructure's current Return-on-Tangible-Asset of 24.41% is 711% 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Sterling Infrastructure and its competitors. For the Construction industry, the median Return-on-Tangible-Asset is 3.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sterling Infrastructure's current Return-on-Tangible-Asset is 24.41%, which is 144% above median its own 10-year median of 10.01. 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 $211.00, compared to a current price of $700.75 — trading 232.1% above its estimated fair value. The current Return-on-Tangible-Asset is 24.41%, which is 144% above median its 10-year median of 10.01 and 711% above the Construction industry median of 3.01. Sterling Infrastructure's overall GF Score™ is 83/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Sterling Infrastructure (STRL), the current Return-on-Tangible-Asset is 24.41% 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 $700.75 is trading 232.1% above its estimated GF Value™ of $211.00.
GuruFocus considers Sterling Infrastructure to be Significantly Overvalued.
Key valuation signals for STRL:
Return-on-Tangible-Asset: 24.41% (144% above median its 10-year median of 10.01)
GF Value™: $211.00 vs. price of $700.75 (232.1% above fair value)
Industry Position: 711% above the Construction median (#44 of 1776)
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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