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Project delays and inflated costs had scared off floor investors earlier this year.
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The business is growing from mining and metals, life sciences, and data center projects.
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Floor is booking a profit from its stake in NuScale Power.
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10 Stocks We Like Better Than Fluor ›
Investors are always looking for opportunities to capitalize on stocks that will benefit from macroeconomic tailwinds. Currently, favorable trends in energy and electricity, as well as artificial intelligence (AI) data centers and general infrastructure should help boost businesses in these sectors.
One company that could benefit from all this investment is an American engineering and construction firm Floor Corporation (NYSE: FLR ). With the stock down nearly 30% from its July high, Fluor looks like an opportunistic investment right now. Investors who take profits in high-flying technology stocks may find an industrial stable like Fluor’s next million-dollar opportunity.
Fluor’s stock fell after the company reported disappointing second-quarter earnings in August. The company lowered its 2025 earnings guidance, citing related cost overruns resulting from project delays and subcontractor design errors. It also noted what it believed to be a temporary decline in client capital spending plans.
However, things looked better with Fluor’s third-quarter update. The company revised its full-year earnings estimate higher. It started booking huge profits from its stake in a small modular nuclear reactor start-up NuScale Power.
Of that investment, Fluor CEO Jim Breuer said, “Working with NuScale’s management and board over the past several quarters, we recently announced a comprehensive agreement to convert and monetize our remaining stake in NuScale. This allows Fluor to realize significant value from this investment and return it to our shareholders.”
Fluor’s backlog now exceeds $20 billion for projects in its urban solutions sector. It has recently won project awards in the metals and mining sector, including an engineering design contract for a copper mining project and a new rare earth magnet plant. MP material Being built in Texas.
The future prospects also look good. Several pharmaceutical companies are expanding their domestic production capacity, and Fluor expects to secure a new customer project in the current quarter. Data center construction is also increasing the backlog of floors.
All of this puts Floor in a good position to bounce back from the 2025 disappointment. A wave of new construction will follow the need for significant increases in power generation and delivery infrastructure. This means that the dough’s runway for development must be extended for several years.
