We recently published an article entitled Why These 10 Stocks Jumped Yesterday. In this article, we are going to take a look at where Sterling Infrastructure Inc. (NASDAQ:STRL) stands against the other stocks that jumped yesterday.

Broader indices haven't been performing very well since the Fed's not so surprise revelation about the number of expected cuts in 2025. Nevertheless, several stocks on Thursday posted notable gains.

A busy airport terminal, highlighting the company's strong transportation arm.

Sterling Infrastructure Inc. (NASDAQ:STRL)

Sterling Infrastructure (STRL) finished Thursday’s trading up by 4.54 percent or $7.58 at $174.72 apiece on reports from analysts that the company registered an impressive performance, with its Return on Capital Employed (ROCE) settling at 22 percent. This means that the company is continually investing its earnings at ever-higher rates of return.

Investor confidence was also fueled by various hedge funds’ hiking of stakes in Sterling, including Barclays which recently increased its stake in the firm by 254.7 percent, and MML Investor Services LLC by 28.3 percent, during the third quarter of the year.

Investors also resorted to bargain hunting after the company’s share price closed at $167.14 on Wednesday, marking its lowest price so far during the last 30 days.

Overall STRL ranks 2nd on our list of the stocks that jumped yesterday. While we acknowledge the potential of STRL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than STRL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.