Dycom Industries, Inc. (DY) vs Sterling Infrastructure, Inc. (STRL)

Dycom Industries, Inc. and Sterling Infrastructure, Inc. are both Engineering & Construction companies. Sterling Infrastructure, Inc. is the larger, with a market value of $7.5B against $5.8B — 1.3× the size. Sterling Infrastructure, Inc. trades at the lower P/E: 13.6× against 18.7×. Sterling Infrastructure, Inc. grew revenue faster over the last twelve months: 93.1% against 37.8%. Sterling Infrastructure, Inc. has the higher net margin (12.9% vs 4.79%) and the higher return on invested capital (34.2% vs 7.37%). Across the 22 metrics below, Sterling Infrastructure, Inc. leads on 14 and Dycom Industries, Inc. on 8.

Valuation

Metric DY STRL Engineering & Construction median
P/E 18.70 13.58 27.18
P/S 0.91 1.79 0.91
P/B 3.03 4.96 3.28
Price to free cash flow 12.88 16.16 18.97
EV/EBITDA 9.49 8.60 12.32
EV/Sales 1.27 1.76 1.20
Earnings yield 5.35% 7.37% 2.69%
Free cash flow yield 7.76% 6.19% 1.84%

Profitability

Metric DY STRL Engineering & Construction median
Gross margin 20.53% 23.78% 18.76%
Operating margin 7.78% 18.17% 6.43%
Net margin 4.79% 12.85% 2.14%
Free cash flow margin 7.05% 11.06% 1.12%
Return on equity 19.20% 42.00% 6.05%
Return on assets 6.75% 18.34% 0.96%
Return on invested capital 7.37% 34.18% 2.52%

Growth

Metric DY STRL Engineering & Construction median
Revenue growth (TTM) 37.79% 93.14% 18.78%
EPS growth (last fiscal year) 20.71% 13.42% 13.42%
Revenue growth, 5-year CAGR 11.63% 15.21% 12.23%
Net income growth, 5-year CAGR 52.28% 46.98% 0.00%

Health

Metric DY STRL Engineering & Construction median
Debt to equity 1.37 0.06 0.41
Current ratio 2.35 1.04 1.37
Net debt to EBITDA 3.01 (0.21) 0.38

Dividend

Metric DY STRL Engineering & Construction median
Dividend yield — — 0.68%
Payout ratio — — 0.18

Size

Metric DY STRL Engineering & Construction median
Market cap 5.81b 7.45b 1.02b

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