IES Holdings, Inc. (IESC) vs Sterling Infrastructure, Inc. (STRL)

IES Holdings, Inc. and Sterling Infrastructure, Inc. are both Engineering & Construction companies. Sterling Infrastructure, Inc. is the larger, with a market value of $13.7B against $10.6B — 1.3× the size. IES Holdings, Inc. trades at the lower P/E: 22.1× against 30.1×. Sterling Infrastructure, Inc. grew revenue faster over the last twelve months: 60.8% against 22.7%. Sterling Infrastructure, Inc. has the higher net margin (12.6% vs 11.4%) and the lower return on invested capital (31.1% vs 36.6%). Across the 22 metrics below, IES Holdings, Inc. leads on 16 and Sterling Infrastructure, Inc. on 6.

Valuation

Metric IESC STRL Engineering & Construction median
P/E 22.08 30.14 29.24
P/S 2.52 3.79 1.09
P/B 8.17 9.37 3.39
Price to free cash flow 43.81 26.68 24.81
EV/EBITDA 17.60 18.52 14.38
EV/Sales 2.44 3.74 1.37
Earnings yield 4.53% 3.32% 2.83%
Free cash flow yield 2.28% 3.75% 2.28%

Profitability

Metric IESC STRL Engineering & Construction median
Gross margin 26.31% 23.81% 18.76%
Operating margin 12.37% 17.52% 6.26%
Net margin 11.40% 12.55% 2.23%
Free cash flow margin 5.75% 14.20% 1.83%
Return on equity 45.20% 37.49% 7.90%
Return on assets 24.26% 16.11% 0.87%
Return on invested capital 36.61% 31.11% 2.52%

Growth

Metric IESC STRL Engineering & Construction median
Revenue growth (TTM) 22.66% 60.83% 16.67%
EPS growth (last fiscal year) 51.87% 13.42% 13.42%
Revenue growth, 5-year CAGR 23.14% 15.21% 11.76%
Net income growth, 5-year CAGR 49.32% 46.98% 0.00%

Health

Metric IESC STRL Engineering & Construction median
Debt to equity 0.00 0.20 0.40
Current ratio 1.63 1.11 1.39
Net debt to EBITDA (0.54) (0.21) 0.38

Dividend

Metric IESC STRL Engineering & Construction median
Dividend yield — — 0.63%
Payout ratio — — 0.17

Size

Metric IESC STRL Engineering & Construction median
Market cap 10.57b 13.65b 1.09b

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