David Einhorn Highlights Fluor's Capital Spending Opportunities
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 14 2026
0mins
Source: CNBC
Fluor Corp's stock has hit a 20-day low, reflecting broader market weakness as the Nasdaq-100 and S&P 500 decline.
David Einhorn emphasized that Fluor is well-positioned to benefit from a U.S. capital spending boom, suggesting that the market underestimates its potential exposure to super cycles. He projected that Fluor's shares could reach $115 in a few years, indicating significant upside potential despite current market conditions.
This bullish outlook from Einhorn may provide a catalyst for Fluor's recovery as investors reassess the company's long-term growth prospects.
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Analyst Views on FLR
Wall Street analysts forecast FLR stock price to rise
6 Analyst Rating
3 Buy
3 Hold
0 Sell
Moderate Buy
Current: 44.590
Low
40.00
Averages
49.25
High
57.00
Current: 44.590
Low
40.00
Averages
49.25
High
57.00
About FLR
Fluor Corporation is a holding company that provides engineering, procurement, construction (EPC), fabrication and modularization, and project management services. The Company's segments include Urban Solutions, Energy Solutions and Mission Solutions. The Urban Solutions segment provides EPC and project management services to the advanced technologies and manufacturing, life sciences, mining and metals, infrastructure industries and professional staffing services. The Energy Solutions segment provides EPC services for traditional oil and gas markets, including production and fuels, chemicals, LNG and power markets. The segment serves these industries with comprehensive project life-cycle services. The Mission Solutions segment provides technical solutions to the United States and other governments. These include, among others, the DOE, the Department of Defense, FEMA and intelligence agencies. The segment also provides services to commercial nuclear clients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Fluor's Financial Recovery and Growth Prospects
- Financial Improvement: Fluor's sale of its stake in NuScale Power for approximately $2.4 billion boosts its cash reserves to $3.2 billion, significantly enhancing financial stability despite a BB+ credit rating, which is below investment grade.
- Optimistic Market Outlook: Analysts project Fluor's earnings to grow by about 15% annually over the next three to five years, driven by strong demand in infrastructure markets like energy and data centers, particularly with the U.S. remaining a key oil and gas exporter.
- Strong Backlog: With a backlog of $25.7 billion, Fluor has a solid revenue foundation; although it faces risks from economic downturns and cyclical fluctuations, most of its backlog consists of reimbursable projects, which helps mitigate losses from project failures.
- Investment Opportunity Emerges: Despite a decline in Fluor's stock price following a disappointing Q1 2026 earnings report, its price-to-earnings ratio of about 15.5 times suggests that the market remains optimistic about its long-term infrastructure project potential, presenting a favorable buying opportunity for investors.
See More
Fluor Sells NuScale Stake to Strengthen Financial Position
- Financial Improvement: Fluor recently sold its stake in NuScale Power for approximately $2.4 billion, significantly enhancing its cash flow to a total of $3.2 billion, thereby improving its BB+ credit rating and bolstering its capacity for future investments.
- Optimistic Market Outlook: Analysts project Fluor's earnings to grow by about 15% annually over the next three to five years, indicating that strong market demand in the data center and energy sectors will drive performance growth, despite recent stock price declines following Q1 earnings miss.
- Robust Project Backlog: Fluor currently holds a backlog of $25.7 billion, with most projects being reimbursable, providing a stable revenue stream that mitigates financial risks when projects encounter issues, thereby enhancing its competitive position in the market.
- Investment Opportunity Emerges: Although Fluor's stock price has dipped due to disappointing earnings, this may present a favorable buying opportunity for investors, especially against the backdrop of long-term growth potential in infrastructure projects, with the company's financial health and growth outlook remaining attractive.
See More
Fluor Stock Down 26%: Is It Time to Buy?
- Financial Improvement: Fluor's recent sale of its stake in NuScale Power for approximately $2.4 billion has significantly bolstered its financial position, increasing its cash reserves to $3.2 billion, thereby providing stronger funding for future project investments.
- Optimistic Market Outlook: Analysts project that Fluor's earnings will grow by about 15% annually over the next three to five years, indicating strong growth potential in infrastructure markets such as energy and data centers, particularly with ongoing investment demand in the U.S.
- Robust Backlog: Fluor currently holds a backlog of $25.7 billion, with most of it being reimbursable, which provides greater financial security and reduces the risk of heavy losses when projects encounter issues.
- Attractive Valuation: Despite a decline in Fluor's stock price following a disappointing Q1 2026 earnings report, its price-to-earnings ratio of approximately 15.5 times reflects reasonable market expectations for future growth, potentially offering a good buying opportunity for investors.
See More
Nuclear Market Revival: BWX Outshines NuScale
- Market Revival Trend: After a decade of stagnation following the 2011 Fukushima disaster, the nuclear energy market is experiencing a resurgence driven by the surging demand from AI and data centers, highlighting nuclear power's critical role in future energy structures.
- NuScale's Development Challenges: While NuScale's small modular reactors (SMRs) offer potential for building smaller nuclear plants in remote areas, their 77 MWe output is significantly lower than traditional reactors, and with commercial deployment not expected until 2030, its stock has plummeted over 50% in the past year.
- BWX's Growth Potential: As the only large-scale nuclear component producer in North America, BWX's year-end backlog grew 50% year-over-year to $7.3 billion, driven by strong demand for naval propulsion components and microreactors, with revenue and EPS projected to grow at CAGRs of 13% and 17% from 2025 to 2028.
- Investment Strategy Recommendation: Although NuScale may achieve larger growth in the future, current high Treasury yields and macroeconomic pressures make BWX, as a market leader with a robust business model, a more attractive investment in this uncertain market environment.
See More
Nuclear Market Revival: Comparing BWX and NuScale
- Market Revival Context: After a decade of stagnation following the 2011 Fukushima disaster, the nuclear energy market is experiencing a resurgence driven by the surging demand from artificial intelligence and data centers, rekindling interest in safer and more efficient reactors.
- NuScale's Development Status: NuScale focuses on small modular reactors (SMRs), with expectations that its first units won't be operational until 2030; analysts project revenue growth from $31.5 million in 2025 to $310.7 million by 2028, although profitability is expected to remain elusive for the foreseeable future.
- BWX's Market Advantage: As the only large-scale producer of nuclear components in North America, BWX's year-end backlog grew by 50% year-over-year to $7.3 billion, with revenue and EPS projected to grow at CAGRs of 13% and 17% from 2025 to 2028, underscoring its competitive strength in the nuclear sector.
- Investment Risk Assessment: While NuScale has significant growth potential, its market cap of $3.92 billion and trading at 13 times 2028 sales expose it to risks from competitors like BWX, leading investors to prefer BWX as a more stable investment amid high Treasury yields and macroeconomic uncertainties.
See More
Fluor's Growth Potential Over the Next Decade
- Business Stabilization: From 2021 to 2023, Fluor shifted from fixed-price megaprojects to reimbursable contracts, allowing clients to cover labor, material, and equipment costs, which stabilized its operations; analysts expect EPS to turn positive again in 2026, with a projected CAGR of 3% through 2028.
- Optimistic Market Outlook: By the end of 2025, Fluor's backlog reached $25.5 billion, with over 80% consisting of reimbursable contracts, and the ongoing growth in cloud, AI, and nuclear markets is expected to provide additional tailwinds for the company.
- Significant Investment Returns: Fluor recently liquidated its remaining stake in NuScale, turning an initial $570 million investment into $2.43 billion, and is likely to use some of that cash for stock buybacks to enhance EPS, further boosting investor confidence.
- Reasonable Valuation: With a current stock price of $42 and a forward P/E ratio of 13, while it may not achieve millionaire-making gains over the next decade, Fluor could still match or exceed the S&P 500 if it continues its streamlining strategies and increases share buybacks.
See More
Fluor's Financial Recovery and Growth Prospects
- Financial Improvement: Fluor's sale of its stake in NuScale Power for approximately $2.4 billion boosts its cash reserves to $3.2 billion, significantly enhancing financial stability despite a BB+ credit rating, which is below investment grade.
- Optimistic Market Outlook: Analysts project Fluor's earnings to grow by about 15% annually over the next three to five years, driven by strong demand in infrastructure markets like energy and data centers, particularly with the U.S. remaining a key oil and gas exporter.
- Strong Backlog: With a backlog of $25.7 billion, Fluor has a solid revenue foundation; although it faces risks from economic downturns and cyclical fluctuations, most of its backlog consists of reimbursable projects, which helps mitigate losses from project failures.
- Investment Opportunity Emerges: Despite a decline in Fluor's stock price following a disappointing Q1 2026 earnings report, its price-to-earnings ratio of about 15.5 times suggests that the market remains optimistic about its long-term infrastructure project potential, presenting a favorable buying opportunity for investors.
See More
Fluor Sells NuScale Stake to Strengthen Financial Position
- Financial Improvement: Fluor recently sold its stake in NuScale Power for approximately $2.4 billion, significantly enhancing its cash flow to a total of $3.2 billion, thereby improving its BB+ credit rating and bolstering its capacity for future investments.
- Optimistic Market Outlook: Analysts project Fluor's earnings to grow by about 15% annually over the next three to five years, indicating that strong market demand in the data center and energy sectors will drive performance growth, despite recent stock price declines following Q1 earnings miss.
- Robust Project Backlog: Fluor currently holds a backlog of $25.7 billion, with most projects being reimbursable, providing a stable revenue stream that mitigates financial risks when projects encounter issues, thereby enhancing its competitive position in the market.
- Investment Opportunity Emerges: Although Fluor's stock price has dipped due to disappointing earnings, this may present a favorable buying opportunity for investors, especially against the backdrop of long-term growth potential in infrastructure projects, with the company's financial health and growth outlook remaining attractive.
See More
Fluor Stock Down 26%: Is It Time to Buy?
- Financial Improvement: Fluor's recent sale of its stake in NuScale Power for approximately $2.4 billion has significantly bolstered its financial position, increasing its cash reserves to $3.2 billion, thereby providing stronger funding for future project investments.
- Optimistic Market Outlook: Analysts project that Fluor's earnings will grow by about 15% annually over the next three to five years, indicating strong growth potential in infrastructure markets such as energy and data centers, particularly with ongoing investment demand in the U.S.
- Robust Backlog: Fluor currently holds a backlog of $25.7 billion, with most of it being reimbursable, which provides greater financial security and reduces the risk of heavy losses when projects encounter issues.
- Attractive Valuation: Despite a decline in Fluor's stock price following a disappointing Q1 2026 earnings report, its price-to-earnings ratio of approximately 15.5 times reflects reasonable market expectations for future growth, potentially offering a good buying opportunity for investors.
See More
Nuclear Market Revival: BWX Outshines NuScale
- Market Revival Trend: After a decade of stagnation following the 2011 Fukushima disaster, the nuclear energy market is experiencing a resurgence driven by the surging demand from AI and data centers, highlighting nuclear power's critical role in future energy structures.
- NuScale's Development Challenges: While NuScale's small modular reactors (SMRs) offer potential for building smaller nuclear plants in remote areas, their 77 MWe output is significantly lower than traditional reactors, and with commercial deployment not expected until 2030, its stock has plummeted over 50% in the past year.
- BWX's Growth Potential: As the only large-scale nuclear component producer in North America, BWX's year-end backlog grew 50% year-over-year to $7.3 billion, driven by strong demand for naval propulsion components and microreactors, with revenue and EPS projected to grow at CAGRs of 13% and 17% from 2025 to 2028.
- Investment Strategy Recommendation: Although NuScale may achieve larger growth in the future, current high Treasury yields and macroeconomic pressures make BWX, as a market leader with a robust business model, a more attractive investment in this uncertain market environment.
See More
Nuclear Market Revival: Comparing BWX and NuScale
- Market Revival Context: After a decade of stagnation following the 2011 Fukushima disaster, the nuclear energy market is experiencing a resurgence driven by the surging demand from artificial intelligence and data centers, rekindling interest in safer and more efficient reactors.
- NuScale's Development Status: NuScale focuses on small modular reactors (SMRs), with expectations that its first units won't be operational until 2030; analysts project revenue growth from $31.5 million in 2025 to $310.7 million by 2028, although profitability is expected to remain elusive for the foreseeable future.
- BWX's Market Advantage: As the only large-scale producer of nuclear components in North America, BWX's year-end backlog grew by 50% year-over-year to $7.3 billion, with revenue and EPS projected to grow at CAGRs of 13% and 17% from 2025 to 2028, underscoring its competitive strength in the nuclear sector.
- Investment Risk Assessment: While NuScale has significant growth potential, its market cap of $3.92 billion and trading at 13 times 2028 sales expose it to risks from competitors like BWX, leading investors to prefer BWX as a more stable investment amid high Treasury yields and macroeconomic uncertainties.
See More
Fluor's Growth Potential Over the Next Decade
- Business Stabilization: From 2021 to 2023, Fluor shifted from fixed-price megaprojects to reimbursable contracts, allowing clients to cover labor, material, and equipment costs, which stabilized its operations; analysts expect EPS to turn positive again in 2026, with a projected CAGR of 3% through 2028.
- Optimistic Market Outlook: By the end of 2025, Fluor's backlog reached $25.5 billion, with over 80% consisting of reimbursable contracts, and the ongoing growth in cloud, AI, and nuclear markets is expected to provide additional tailwinds for the company.
- Significant Investment Returns: Fluor recently liquidated its remaining stake in NuScale, turning an initial $570 million investment into $2.43 billion, and is likely to use some of that cash for stock buybacks to enhance EPS, further boosting investor confidence.
- Reasonable Valuation: With a current stock price of $42 and a forward P/E ratio of 13, while it may not achieve millionaire-making gains over the next decade, Fluor could still match or exceed the S&P 500 if it continues its streamlining strategies and increases share buybacks.
See More
