Fluor (FLR) Stock Declines 20% in 2025 Amid Challenges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Yahoo Finance
- Stock Underperformance: Fluor's stock declined by 20% in 2025 while the S&P 500 rose by 17%, indicating a stagnation in growth amid micro and macro headwinds that may erode investor confidence.
- Earnings Miss: The company's second-quarter earnings report on August 1 missed analyst expectations, leading to a reduced full-year outlook and disclosures of cost overruns and design issues in major infrastructure projects, which negatively impacted future contract orders.
- Legal Dispute Impact: Fluor agreed to pay $653 million to resolve a legal dispute with Australia's Santos, which was recorded as a revenue reduction in Q3, exacerbating the company's revenue decline for the year.
- Cautious Future Outlook: Analysts expect Fluor's revenue and EBITDA to decline by 4% and 19% in 2025, respectively, but anticipate gradual recovery in 2026, indicating potential for recovery if execution issues are resolved.
Analyst Views on FLR
Wall Street analysts forecast FLR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FLR is 49.25 USD with a low forecast of 40.00 USD and a high forecast of 57.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
6 Analyst Rating
3 Buy
3 Hold
0 Sell
Moderate Buy
Current: 40.300
Low
40.00
Averages
49.25
High
57.00
Current: 40.300
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 Energy Solutions, Urban Solutions and Mission Solutions. The Energy Solutions segment provides EPC services for traditional oil and gas markets, including the production and fuels, chemicals, LNG and power markets. The segment serves these industries with comprehensive project life-cycle services. 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 Mission Solutions segment provides high-end 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.
