UPDATE: D.A. Davidson Reiterates Neutral Rating, Lowers PT on Sterling Construction Company

In a report published Monday, D.A. Davidson & Co. reiterated its Neutral rating on Sterling Construction Company STRL, but slightly lowered its price target from $11.00 to $10.00. D.A. Davidson noted, “Under the new CEO, the company has imposed more extensive cost and project review systems which are intended to improve biding and operating practices. Additionally, the company is targeting an improvement in market tracking which should yield higher margin project opportunities. The company has also sold off excess equipment to reflect market activity levels. The company has also pursued minority roles on larger projects, which are typically less competitive and offer higher margins.” Sterling Construction Company closed on Friday at $8.75.