
Fluor (FLR) Stock Forecast & Price Target
Fluor (FLR) Analyst Ratings
Bulls say
Fluor recorded a strong performance in FY2023 with total revenues of $15.5 billion and an operating profit of $22 million, reflecting a significant improvement in operating margin from 1.1% to 3.7%. The company's backlog rose by 13% year over year to reach $29.4 billion, bolstered by new awards totaling $19.5 billion, indicating robust demand and a book-to-burn ratio of 1.3x. Additionally, Fluor's strategic investments in workforce expansion, including the hiring of approximately 5,000 employees in 2023 and plans for further hiring, position the company to capitalize on growth opportunities and enhance earnings quality and cash flow conversion moving forward.
Bears say
Fluor has faced ongoing challenges with legacy projects, resulting in persistent cash outflows as the company has had to fund loss-making contracts, which has negatively impacted earnings and margins. The Energy Solutions segment reported a significant year-over-year sales decline of 11.2% to $1.432 billion, falling short of expectations, and the Mission Solutions segment also experienced a decrease, with sales of $601 million, 7.4% lower than anticipated. Furthermore, external macroeconomic conditions pose a risk to capital expenditures and overall spending, which could further depress Fluor's earnings moving forward.
This aggregate rating is based on analysts' research of Fluor and is not a guaranteed prediction by Public.com or investment advice.
Fluor (FLR) Analyst Forecast & Price Prediction
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