MasTec, Inc. (MTZ) vs Sterling Infrastructure, Inc. (STRL)

MasTec, Inc. and Sterling Infrastructure, Inc. are both Engineering & Construction companies. MasTec, Inc. and Sterling Infrastructure, Inc. are of similar size ($17.2B and $16.1B). MasTec, Inc. trades at the lower P/E: 33.5× against 36.4×. Sterling Infrastructure, Inc. grew revenue faster over the last twelve months: 60.8% against 23.5%. Sterling Infrastructure, Inc. has the higher net margin (12.6% vs 3.07%) and the higher return on invested capital (31.1% vs 8.57%). Across the 22 metrics below, Sterling Infrastructure, Inc. leads on 13 and MasTec, Inc. on 9.

Valuation

Metric MTZ STRL Engineering & Construction median
P/E 33.47 36.38 28.59
P/S 1.03 4.57 1.15
P/B 4.61 11.31 3.96
Price to free cash flow 56.29 32.20 25.24
EV/EBITDA 14.77 22.41 14.87
EV/Sales 1.18 4.52 1.42
Earnings yield 2.99% 2.75% 2.47%
Free cash flow yield 1.78% 3.11% 1.91%

Profitability

Metric MTZ STRL Engineering & Construction median
Gross margin 12.91% 23.81% 18.76%
Operating margin 5.13% 17.52% 6.26%
Net margin 3.07% 12.55% 2.23%
Free cash flow margin 1.83% 14.20% 1.83%
Return on equity 14.95% 37.49% 7.90%
Return on assets 4.93% 16.11% 0.87%
Return on invested capital 8.57% 31.11% 2.52%

Growth

Metric MTZ STRL Engineering & Construction median
Revenue growth (TTM) 23.46% 60.83% 16.67%
EPS growth (last fiscal year) 146.12% 13.42% —
Revenue growth, 5-year CAGR 17.73% 15.21% 11.76%
Net income growth, 5-year CAGR 4.33% 46.98% 0.00%

Health

Metric MTZ STRL Engineering & Construction median
Debt to equity 0.76 0.20 0.40
Current ratio 1.40 1.11 1.39
Net debt to EBITDA 1.79 (0.21) 0.38

Dividend

Metric MTZ STRL Engineering & Construction median
Dividend yield — — 0.65%
Payout ratio 0.00 0.00 0.00

Size

Metric MTZ STRL Engineering & Construction median
Market cap 17.19b 16.06b 1.31b

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