Latest news with #Fluor
Yahoo
15-07-2025
- Business
- Yahoo
The Best Nuclear Stock to Invest $1,000 in Right Now
Investors have been flocking to profitless nuclear start-up stocks like Nano Nuclear, NuScale, and Oklo. Fluor owns a majority stake in NuScale -- and is profitable in and of itself. Fluor also generates substantial free cash flow, and is valued attractively relative to both forward earnings and current free cash flow. 10 stocks we like better than Fluor › President Donald Trump says he wants the U.S. to quadruple its nuclear power output by 2050, from 100 gigawatts to 400 gigawatts. In May, he signed four executive orders aimed at accelerating the development of new nuclear power plants in the United States. Among other things, those orders direct: The Nuclear Regulatory Commission to approve or deny new nuclear reactor licenses within 18 months of receiving applications (an acceleration from the current timeline of about five years). The creation of a pilot program that would have three new experimental reactors approved and operating by July 4, 2026 -- less than 12 months from now. The Department of Energy (DOE) to begin deploying advanced small modular nuclear reactors at DOE-owned locations by the end of 2027. The Pentagon to have at least one nuclear reactor operational on a military base by September 2028. The DOE to generally improve the nation's nuclear supply chain, including by promoting domestic enrichment of uranium, both U.S.-mined and imported. If all of this makes you think that now might be a good time to invest in nuclear power stocks, well, you're not alone. Three start-up nuclear companies developing "micro" and somewhat larger "small" modular nuclear reactors -- Nano Nuclear Energy (NASDAQ: NNE), NuScale Power (NYSE: SMR), and Oklo (NYSE: OKLO) -- have all outperformed the S&P 500 over the past year. Nano's outperformance is currently the smallest, but NuScale for example is up 160% in 52 weeks, and Oklo's stock is up more than 620%. By comparison, nuclear power plant builder Fluor (NYSE: FLR) stock's performance has been relatively tame. Up 19% over the past year, it has also outperformed the S&P 500. But if you ask me, Fluor stock should actually be doing much better than these smaller companies, because its valuation is so much cheaper ... especially relative to its earnings. If you've got $1,000 or so lying around, and have been wanting to put it to work in a nuclear stock, Fluor just might be the one you've been waiting for. Last week, I went so far as to call Fluor "the smartest nuclear stock" money could buy. I came to this conclusion based on the fact that Fluor owns a majority interest in small modular reactor builder NuScale, yet has a smaller market capitalization than NuScale's $10.3 billion implied market cap (according to the latest data from S&P Global Market Intelligence), as well ass Fluor's track record of being profitable for the past three years. Contrast that with NuScale, Oklo, and Nano Nuclear, all of which remain unprofitable. The consensus view among analysts covering Fluor is that it will earn $470 million in 2026, nearly $530 million in 2027, and $638 million in 2028. Its 2024 and projected 2025 earnings are abnormally much higher and much lower, respectively, than these numbers. But assuming analysts are correct that Fluor's earnings volatility will finally settle down starting next year, $470 million in earnings on an $8.7 billion market cap values Fluor stock at only 18.5 times forward earnings. This seems a reasonable price to me, given the steady earnings growth analysts are predicting. Speaking of earnings, earnings quality for the company is good, with real free cash flow (FCF) largely backing up the GAAP numbers on Fluor's income statement. Analysts forecast it will generate positive free cash flow of $343 million already this year, making the price-to-free-cash-flow ratio 25. Back out the net cash on its balance sheet, and Fluor's enterprise-value-to-FCF ratio drops to just 21. Analysts expect its FCF to grow by more than 20% annually for at least the next three years, to $598 million by 2028. That puts it very close to an EV/FCF/growth ratio of 1.0, which would qualify Fluor stock as a value stock. And if you further subtract out the value of Fluor's NuScale stake, I'd argue that it's cheap enough to make the company more like a deep value stock. When compared to most nuclear companies that aren't earning any profits at all, this cheap valuation makes Fluor not only one of the best ways to play the nuclear power renaissance, but a just plain cheap stock to invest in, period. Before you buy stock in Fluor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Fluor wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $671,477!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,010,880!* Now, it's worth noting Stock Advisor's total average return is 1,047% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of July 14, 2025 Rich Smith has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy. The Best Nuclear Stock to Invest $1,000 in Right Now was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-07-2025
- Business
- Yahoo
Fluor's Stock Soars 55% in 3 Months: Should You Buy the Surge or Wait?
Fluor Corporation's FLR share price performance has soared in the past three months by 54.8%, significantly outperforming the Zacks Engineering - R and D Services industry, the broader Zacks Construction sector and the S&P 500 index. The detailed share price performance can be studied from the chart below. Image Source: Zacks Investment Research This Texas-based engineering, procurement, construction and maintenance services provider's prospects are gaining from the robust demand trends for infrastructure projects for data centers, semiconductors, pharmaceuticals, energy transition, fuel production, and mining and metals. This diversified service offering approach significantly reduces the company's exposure to market uncertainties. Moreover, FLR's balanced capital allocation approach, combined with its refined business strategy, aims to drive shareholder value, boding well for its to the strong trends for its service offerings in the market, during the past three months, FLR has outshone a few of the other market players, including EMCOR Group, Inc. EME, AECOM ACM and Jacobs Solutions Inc. J. During the said time frame, shares of EMCOR, AECOM and Jacobs Solutions have gained 41.9%, 22.6% and 15.5%, Fluor is thriving in the public infrastructure market, it is being simultaneously pulled back to some extent by the ongoing market uncertainties. The company's prospects are being partially hindered by the risks of project delays, unfavorable currency translation, tariff-related ambiguity, lingering inflationary pressures and global political unrest. Favorable Market Trends Boosting Backlog: As Fluor operates globally and across diversified market sectors, its backlog trends are favoring its revenue visibility and profitability for the near and long term. The global market is actively shifting its focus to AI alternatives, undergoing a technological revolution, reducing carbon footprint and ensuring sustainability alongside caring about health and wellness. These market trends are, in turn, proving favorable for the company's backlog growth and revenue visibility. Moreover, market players like EMCOR, Jacobs Solutions and AECOM are also benefiting from the increased public infrastructure demand the first quarter of 2025, Fluor secured consolidated new awards totaling $5.8 billion, with a book-to-burn ratio of 1.5x. This brought its total backlog to $28.7 billion, with 79% classified as reimbursable, mainly including strong contributions from life sciences and infrastructure. The company's strategic approach toward the majority of its backlog being reimbursable reduces the lump-sum risks associated with projects, thus improving its margin expansion Business Strategy: During the first quarter of 2025, Fluor outlined its strategy for the 2025-2028 period, shifting from the "fix and build" phase to "grow and execute". The focus will transition from revitalizing the capital structure to generating cash and earnings. Financial discipline will remain a key priority, with it maintaining its approach to fair contract terms and risk into this strategy puzzle is the company's market diversity approach. FLR's strategy of maintaining a good business portfolio mix permits it to focus on the more stable business markets and capitalize on developing the cyclical markets at suitable times. Moreover, the company's efforts to transform its EPC model into an integrated solution are encouraging. It believes that this will help in expanding its scope of work on a project, improve client satisfaction and provide an opportunity to generate greater Shareholders: Fluor is not only undertaking strategies to boost its business growth and increase free cash flow, but is also acting upon its commitment to return capital to shareholders. During the first quarter of 2025, the company repurchased 3,576,745 shares of its common stock for $142 million, with an additional repurchase of approximately 1.5 million shares for $51 million between April 1 and April 25, FLR expects to repurchase $150 million worth of its common stock during the second quarter of 2025 and approximately $300 million worth of stock during the latter half of 2025. The company's current valuation is enticing for investors. FLR stock is currently trading at a discount compared with its industry peers on a forward 12-month price-to-earnings (P/E) ratio basis. The discounted valuation indicates an attractive option for investors looking for a suitable entry point. Image Source: Zacks Investment Research That said, in the long term, the valuation could move toward a premium, given the favorable market fundamentals backing the company's revenue visibility. FLR's earnings estimates for 2025 and 2026 have remained unchanged over the past 60 days at $2.51 and $2.78 per share, respectively. However, the estimated figures for 2025 and 2026 imply year-over-year growth of 8.2% and 10.9%, respectively. EPS Trend Image Source: Zacks Investment Research The favorable year-over-year comparisons indicate that, despite external risks, FLR will be able to capitalize on its in-house business strategies and ensure incremental prospects. Project Delays: Fluor is facing minor delays in project execution due to market-driven decisions and ongoing tariff challenges. These factors have added some pressure on timelines, though no widespread slowdown has been observed. Currently, the delay in the Dow's 'Path to Zero' project is concerning for the company's revenue visibility. The client put a pause on the construction activity due to market conditions and pricing Risks: The company is exposed to market volatility given its nature of business. Volatility in commodity prices and the cyclical nature of its commodity-based business lines pose significant challenges for Fluor. Moreover, operating in the global market makes the company vulnerable to foreign currency risk, especially when project contract revenues are denominated in a currency different than the contract costs. Fluor is immensely benefiting from the ongoing robust market trends across several sectors for infrastructure and other related services. The growing project demand for energy transition, fuel production, mining and metals, and data centers is proving favorable for the company's prospects, and given the market's focal shift, the trends are expected to continue in the long the tailwinds backing FLR are being partially overshadowed by the uncertainties looming over the global market. Project delays, foreign exchange risks, inflation and global political unrest are currently posing threats to the company's growth by considering both sides of the coin, it will be prudent for existing investors to retain this Zacks Rank #3 (Hold) company's shares for now, whereas new investors might want to wait for a more favorable entry can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fluor Corporation (FLR) : Free Stock Analysis Report AECOM (ACM) : Free Stock Analysis Report EMCOR Group, Inc. (EME) : Free Stock Analysis Report Jacobs Solutions Inc. (J) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
07-07-2025
- Business
- Yahoo
The Smartest Nuclear Stock to Buy With $1,000 Right Now
Fluor builds nuclear power plants and owns a majority stake in modular reactor builder NuScale. Most of Fluor's market capitalization, in fact, is backed by its ownership stake in NuScale. Much of the rest of Fluor's current market capitalization is backed by cold, hard cash. 10 stocks we like better than Fluor › Powered up by a series of four executive orders signed by President Donald Trump in May, nuclear power stocks are red hot right now (in a good way) -- but not all nuclear stocks are created equal. Take Nano Nuclear Energy, NuScale Power, and Oklo, for example -- three start-up companies looking to develop a new generation of smaller-than-ordinary nuclear power plants. All three have outperformed the broader S&P 500 over the past year, from Nano with its 23% gain to NuScale, up 250%, and Oklo up 590%. Investors clearly like the idea of the smaller, cheaper, safer nuclear reactors these companies all promise to produce. Yet none of the three is anywhere near profitability, and according to analysts polled by S&P Global Market Intelligence, none of them is expected to even begin earning profits before 2030 at the earliest. But there is one nuclear stock that's already earning profits: Fluor (NYSE: FLR). What's more, it also happens to be the majority owner of one of these very high-profile small modular reactor companies. According to S&P Global data, Fluor owns nearly 57% of NuScale. What's more, with NuScale currently valued at $5.1 billion -- and with an implied market capitalization of $10.8 billion -- Fluor's 57% interest in the company accounts for $6.1 billion of Fluor's own market capitalization. Put another way, if you subtract out the value of Fluor's interest in NuScale from Fluor's own $8.5 billion market capitalization, investors are valuing Fluor-ex-NuScale at only $2.4 billion. This fact alone suggests that buying shares of Fluor could be a smart way to invest in NuScale -- but that's not all. Fluor, it turns out, is that rare heavy industry company with more cash than debt on its balance sheet -- $1.4 billion worth of cash, in fact. Subtract that cash from the $2.4 billion, and Fluor-ex-NuScale, ex-net cash, ends up being valued by investors at just $1 billion. That's less than the net profit Fluor earned over the last 12 months: $1.8 billion. And buying a non-NuScale business at effectively just half its annual profit sounds like a very smart way to invest $1,000 or so. I know, I know. That sounds too good to be true, and when something sounds too good to be true, it probably is. Deep values like this just shouldn't be the kind of thing that Wall Street analysts fail to notice, so there's probably a catch. And what might the catch be? Well, first and most obviously, NuScale might be really, really overvalued, such that Fluor's ownership stake in NuScale isn't worth as much as it appears to be. In fact, the $6.1 billion that it makes up of Fluor's market cap today could evaporate overnight if investors lose faith in NuScale. I personally consider this a very real risk, because -- as I pointed out up above -- NuScale isn't a profitable company, and much of its high valuation can be attributed to momentum investors driving the stock higher on irrational exuberance. A second risk investors should bear in mind is that Fluor's $1.8 billion in trailing-12-month profits is unusual for the company, and largely a result of the company's ownership stake in NuScale, the dramatic increase in NuScale's market cap, and of Fluor's "deconsolidation and subsequent remeasurement of Fluor's investment in NuScale" late last year. It's not a sustainable increase in annual earnings, and not something you should expect to repeat. Indeed, this year analysts polled by S&P Global forecast Fluor's net income will be only $60 million. That being said, most analysts who follow Fluor stock do expect the company to be solidly profitable over the next few years. Maybe not $1.8 billion-a-year profitable, but consensus forecasts assembled by S&P Global Market Intelligence, for example, have Fluor earning $470 million in 2026, nearly $530 million in 2027, and $638 million in 2028. That's about a 17% annualized earnings growth rate for a stock that costs only 17 or 18 times 2026 earnings -- or only about 2 times earnings ex-NuScale, and ex-net cash. Fluor stock looks to me like a bargain hiding in plain sight. Before you buy stock in Fluor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Fluor wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $699,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $976,677!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 30, 2025 Rich Smith has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy. The Smartest Nuclear Stock to Buy With $1,000 Right Now was originally published by The Motley Fool
Yahoo
07-07-2025
- Business
- Yahoo
The Smartest Nuclear Stock to Buy With $1,000 Right Now
Fluor builds nuclear power plants and owns a majority stake in modular reactor builder NuScale. Most of Fluor's market capitalization, in fact, is backed by its ownership stake in NuScale. Much of the rest of Fluor's current market capitalization is backed by cold, hard cash. 10 stocks we like better than Fluor › Powered up by a series of four executive orders signed by President Donald Trump in May, nuclear power stocks are red hot right now (in a good way) -- but not all nuclear stocks are created equal. Take Nano Nuclear Energy, NuScale Power, and Oklo, for example -- three start-up companies looking to develop a new generation of smaller-than-ordinary nuclear power plants. All three have outperformed the broader S&P 500 over the past year, from Nano with its 23% gain to NuScale, up 250%, and Oklo up 590%. Investors clearly like the idea of the smaller, cheaper, safer nuclear reactors these companies all promise to produce. Yet none of the three is anywhere near profitability, and according to analysts polled by S&P Global Market Intelligence, none of them is expected to even begin earning profits before 2030 at the earliest. But there is one nuclear stock that's already earning profits: Fluor (NYSE: FLR). What's more, it also happens to be the majority owner of one of these very high-profile small modular reactor companies. According to S&P Global data, Fluor owns nearly 57% of NuScale. What's more, with NuScale currently valued at $5.1 billion -- and with an implied market capitalization of $10.8 billion -- Fluor's 57% interest in the company accounts for $6.1 billion of Fluor's own market capitalization. Put another way, if you subtract out the value of Fluor's interest in NuScale from Fluor's own $8.5 billion market capitalization, investors are valuing Fluor-ex-NuScale at only $2.4 billion. This fact alone suggests that buying shares of Fluor could be a smart way to invest in NuScale -- but that's not all. Fluor, it turns out, is that rare heavy industry company with more cash than debt on its balance sheet -- $1.4 billion worth of cash, in fact. Subtract that cash from the $2.4 billion, and Fluor-ex-NuScale, ex-net cash, ends up being valued by investors at just $1 billion. That's less than the net profit Fluor earned over the last 12 months: $1.8 billion. And buying a non-NuScale business at effectively just half its annual profit sounds like a very smart way to invest $1,000 or so. I know, I know. That sounds too good to be true, and when something sounds too good to be true, it probably is. Deep values like this just shouldn't be the kind of thing that Wall Street analysts fail to notice, so there's probably a catch. And what might the catch be? Well, first and most obviously, NuScale might be really, really overvalued, such that Fluor's ownership stake in NuScale isn't worth as much as it appears to be. In fact, the $6.1 billion that it makes up of Fluor's market cap today could evaporate overnight if investors lose faith in NuScale. I personally consider this a very real risk, because -- as I pointed out up above -- NuScale isn't a profitable company, and much of its high valuation can be attributed to momentum investors driving the stock higher on irrational exuberance. A second risk investors should bear in mind is that Fluor's $1.8 billion in trailing-12-month profits is unusual for the company, and largely a result of the company's ownership stake in NuScale, the dramatic increase in NuScale's market cap, and of Fluor's "deconsolidation and subsequent remeasurement of Fluor's investment in NuScale" late last year. It's not a sustainable increase in annual earnings, and not something you should expect to repeat. Indeed, this year analysts polled by S&P Global forecast Fluor's net income will be only $60 million. That being said, most analysts who follow Fluor stock do expect the company to be solidly profitable over the next few years. Maybe not $1.8 billion-a-year profitable, but consensus forecasts assembled by S&P Global Market Intelligence, for example, have Fluor earning $470 million in 2026, nearly $530 million in 2027, and $638 million in 2028. That's about a 17% annualized earnings growth rate for a stock that costs only 17 or 18 times 2026 earnings -- or only about 2 times earnings ex-NuScale, and ex-net cash. Fluor stock looks to me like a bargain hiding in plain sight. Before you buy stock in Fluor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Fluor wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $699,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $976,677!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 30, 2025 Rich Smith has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy. The Smartest Nuclear Stock to Buy With $1,000 Right Now was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
National Post
01-07-2025
- Business
- National Post
Fluor Celebrates LNG Canada's First Cargo Export
Article content Milestone Positions Canada as Major Exporter of Liquefied Natural Gas Article content IRVING, Texas & CALGARY, Alberta — Fluor Corporation (NYSE: FLR) announced today that LNG Canada has successfully shipped the first liquefied natural gas (LNG) export cargo from its newly-constructed facility located in the traditional territory of the Haisla Nation in Kitimat, British Columbia, Canada. Since 2018, Fluor, and its joint venture partner, JGC Corporation, have provided critical engineering, procurement, fabrication management, construction and commissioning services to build the facility and support its safe startup. Article content Since 2018, Fluor, and its joint venture partner, JGC Corporation, have provided critical engineering, procurement, fabrication management, construction and commissioning services to build the facility and support its safe startup. 'This is a significant achievement in Canada's energy landscape and a pivotal moment for Fluor,' said Mike Alexander, Fluor's Business Group President of Energy Solutions. 'First cargo marks the culmination of years of collaboration, innovation and a shared commitment to project delivery excellence between LNG Canada, JGC and Fluor. We are honored to have played such a critical role in delivering the first phase of this world-class LNG facility – safely, efficiently and to the highest standards of quality. This milestone reinforces Fluor's global leadership in delivering complex energy projects.' Article content Located on Canada's west coast, the LNG Canada facility benefits from access to abundant, low-cost natural gas and an ice-free harbor. The plant is the first-of-its-kind in Canada with an annual production capacity of up to 14 million tonnes of LNG. It positions Canada as a major supplier of lower carbon natural gas to global markets and will operate under a 40-year license. Article content 'This facility establishes the global benchmark for responsible LNG development,' said Pierre Bechelany, President of Fluor's LNG & Power business. 'Its design enables LNG Canada to produce LNG with some of the lowest emissions of any large-scale LNG facility in the world.' Article content JGC Fluor used an innovative modular fabrication approach to achieve significant schedule efficiencies by allowing site preparation, early works and construction to occur at the same time as the module fabrication off-site. More than 215 modules were delivered and set into place at the site from January 2022 to July 2023. The largest modules measured approximately 45 meters wide, 75 meters deep and 47 meters in height. The project also included the construction of the second largest LNG storage tank in the world, standing 56 meters high and 75 meters in diameter with a volume of more than 225,000 cubic meters. Article content 'Congratulations to our project team and the more than 35,000 workers who helped build the first phase of this facility meeting some of the world's most stringent standards for safety, sustainability and environmental protection,' said James Ticer, Fluor Senior Vice President and Project Director for the LNG Canada Project. 'Fluor's commitment to local economic development and Indigenous community participation was a vital component of the project. JGC Fluor and our subcontractors spent a total of CAD 3.3 billion on goods and services contracted with Indigenous businesses and joint ventures, and nearly $200 million with local area businesses.' Article content LNG Canada is a joint venture between Shell, Petronas, Mitsubishi Corporation, PetroChina and KOGAS. JGC Fluor's involvement in the LNG Canada Project continues through commissioning support and long-term operational readiness services. Article content Fluor's strong presence in Canada spans more than 75 years, safely delivering engineering, procurement, fabrication and construction services to some of the country's largest oil, gas, petrochemical, mining, power and infrastructure projects. Article content Fluor Corporation Article content (NYSE: FLR) is building a better world by applying world-class expertise to solve its clients' greatest challenges. Fluor's nearly 27,000 employees provide professional and technical solutions that deliver safe, well-executed, capital-efficient projects to clients around the world. Fluor had revenue of $16.3 billion in 2024 and is ranked 257 among the Fortune 500 companies. With headquarters in Irving, Texas, Fluor has provided engineering, procurement, construction and maintenance services for more than a century. For more information, please visit Article content , Article content Instagram Article content , Article content LinkedIn Article content , Article content X Article content and Article content YouTube Article content . Article content #EnergySolutions Article content Article content Article content Article content View source version on Article content Article content Contacts Article content Brett Turner Media Relations 864.281.6976 Article content Article content Article content
