Cadillac Escalade EXT 2007 steering was giving noise so we changed the bearing and fixed it but now I can see Stabilitrak warning light is on. I guess there's a steering sensor installed. Is it related to that ?

There is a steering sensor located at the base of the steering column. If the stabilitrak light is on, there should be a service engine or ABS light on. Have the codes checked and write them down as not to forget. Typically the code is set in the ABS system if the steering sensor is having an issue. However engine and transimission issues can cause the stabilitrak light to come on.

Good luck.