[3]: 128 It is reared primarily for its milk, which is used in the production of the Queijo Serra da Estrela, a cheese which has European Denominação de Origem Protegida ('protected designation of origin') status.

[3]: 128 It was formerly reared under a transhumant system of management – the sheep were moved in June to high pastures on the massifs of the Serra da Estrela and on the Serra de Montemuro [pt] to the north, and were brought back down in August to lower areas such as the valley of the Mondego River.

[2] In 2024 the total number was estimated to be 44992–50045 head, with a breeding stock of 22967 ewes and 779 rams in 268 flocks;[2][6] its conservation status was listed as "at risk/vulnerable".

[2] The Serra da Estrela is usually white, sometimes spotted with brown on the legs and face; a black variant constitutes about 10% of the population.

The milk is high in fat and is used – with milk from the neighbouring Bordelaria and Churra Mondegueira breeds – in the production of the Queijo Serra da Estrela, a soft cheese which has European Denominação de Origem Protegida ('protected designation of origin') status.