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Tryb czytania: Breakout Watch: Strategic Shift Transforms This IBD 50 AI Play Reaping the benefits of its strategic transformation to focus on high-margin, technology-driven sectors, Sterling Infrastructure (STRL) has landed on the latest list of new buys by the best mutual funds and the elite IBD 50 list. Demand for Sterling Infrastructure stock just fueled a breakout as its relative strength line notches a 52-week high. Based in The Woodlands, Texas, the company has transformed into an e-infrastructure services company from a traditional heavy construction firm. The artificial intelligence boom has played a big role in its shift, with rising demand for AI data centers and related infrastructure emerging as a key growth driver. Laying Down An AI-Fueled Track Record Of Growth Sterling Infrastructure operates across three core businesses: E-Infrastructure Solutions, Transportation Solutions, and Building Solutions. The e-infrastructure business provides advanced, large-scale electrical services for data centers, semiconductor fabrication, manufacturing and distribution centers, among other industrial sites. Sharing the highest-possible 99 Composite Rating with rival Primoris Services (PRIM), Sterling Infrastructure hails from the heavy construction group. The group ranks No. 29 among the 197 industries IBD tracks. From the same group, only Quanta Services (PWR) joined Sterling on the latest monthly list of new buys by top funds. On Nov. 3, Sterling posted record third-quarter results that trounced expectations. Revenue rose 16% to $689 million. Earnings accelerated for a third straight quarter, spiking 58% to $3.48 per share. With fourth-quarter earnings on tap for March 2, analysts see further robust growth. Over the next four quarters, Wall Street forecasts profit growth from 8% to 79% and a sales increase ranging from 16% to 28%. When full-year 2025 numbers come out in March, analysts expect Sterling Infrastructure to generate 52% earnings growth to $10.33 per share. A 16% rise to $12.01 a share is expected for this year. IBD Newsletters Get exclusive IBD analysis and actionable news daily. Sterling Infrastructure Fortifies Buy Zone In addition to its robust relative strength line, Sterling has recently flashed multiple signs of rising technical strength. The shorter-term 21-day exponential moving average shot back above the longer-term 50-day line last month. The stock also sports a 1.2 up/down volume ratio and eight quarters or rising fund ownership. It has been an active week for shares of Sterling Infrastructure. On Wednesday, the stock bolted into buy range, clearing a 419.14 buy point in a first-stage cup pattern. It closed at 433.91, near the top of the buy range, which extends up to 440.10. On Thursday, the stock pulled back from a record high briefly hit earlier in the session, but closed within buy range. The retreat came as the stock market indexes got rattled. Sterling has bounced Friday, closing the week near the top of its optimal buy range. Follow Matthew Galgani on X (formerly Twitter) at @IBD_MGalgani. YOU MAY ALSO LIKE: Apple Stock Eyes Breakout As This Unseen Engine Unlocks Agentic AI Top Funds Like Google – But Go Bonkers For These Three Stocks See Which Stock Just Came On – And Off – These Premier Stock Screens Use Pattern Recognition And Custom Screens To Spot Winning Stocks Get The Free IBD How To Invest Newsletter RELATED NEWS Stock Market Dips, Shrugs Off Solid Jobs Report; IBD 50 Jumps 2%, Led By Vertiv, AnaptsysBio Dow Jones Tech Titan Apple Eyes Buy Point, Along With These Other Stocks Apple, GE Aerospace Lead Five Stocks Flashing Buy Signals Stock Of The Day Sterling Infrastructure Rides Data Center Boom, Heads For 79% Growth AI Play Willdan Leads 12 Newcomers To IBD 50, Stock Spotlight, Other Best Stock Lists TAKE A TRIAL TODAY IBD VIDEOS GET STARTED