Fluor’s Strategic Shift and Stock Performance
Fluor is recognized as one of the largest engineering and construction firms globally.
After facing challenges due to fixed-price contracts, the company has changed its business approach.
Now, the emphasis is on redeemable contracts, and Fluor has also divested some of its NuScale stock.
Looking at Fluor’s shares on the New York Stock Exchange (ticker: FL), the price has seen significant fluctuations in 2025. At one stage, it dropped by 37%, following a rally that saw it increase by 15% since the year’s start, even reaching a 52-week high. However, it has recently fallen again, losing around 17% year-to-date.
So, could this be a stock that makes you a millionaire? Here’s the scoop:
Wall Street tends to favor intriguing narratives, and Fluor has an interesting one due to its early investment in NuScale Power (NYSE: SMR). NuScale is venturing into small modular reactors (SMRs)—a technology gaining traction in the nuclear energy sector. Despite this, Fluor is opting to sell its stake in NuScale Power to free up cash for other investments.
Interestingly, at one point in 2025, NuScale’s stock surged nearly 200%. However, they haven’t yet produced or sold a single SMR, creating a unique set of risks for investors. Recently, NuScale’s stock has dipped about 10% since January as excitement has faded.
Back in October 2025, Fluor managed to raise around $600 million by offloading part of its NuScale shares while the stock was riding high. The company aims to sell its remaining stake by mid-2026, but given the erratic nature of NuScale’s stock, assessing the true value of those shares is tricky—especially now that they’re likely worth less than during the initial sale.
If you’re eyeing Fluor because you think NuScale Power will yield big returns, you might want to recalibrate your expectations. The cash from the stock sale isn’t directly going to shareholders; instead, it’s meant for reinvestment or stabilizing the company’s finances.
This divestment is a part of a broader transformation at Fluor. Previously, the engineering and construction side was in tough shape due to budget overruns in fixed-price contracts. Transitioning towards contracts that emphasize cost reimbursement may lead to more stable profits in the future. As of the third quarter of 2025, Fluor reported an outstanding balance of $28.2 billion, with 82% of its work based on reimbursable contracts.
From a long-term outlook, things look a bit brighter, though there are still some concerns. For example, backlog decreased by 10% year-over-year, and the volatility in NuScale’s stock has made the company’s earnings unpredictable.
Construction projects often have cyclical trends, too, which complicates evaluating Fluor’s status right now. Though management improvements are underway, it’s challenging to give a solid rating at this moment.
The recent losses suggest price-to-earnings ratios may not offer much insight into the company’s potential. With sales being more stable historically, the current price-to-sales ratio exceeds the average of the past five years, hinting at possible overvaluation.
Right now, Fluor might be more suited for aggressive investors. The company is in the midst of significant changes, and while there are positives, much uncertainty remains. The connection with NuScale Power encapsulates that uncertainty.
Yes, Fluor does seem to be functioning better than before, but that alone may not justify an investment—especially if big financial gains are what you’re after. Really, it looks like this stock could keep conservative investors awake at night.
Before diving into Fluor’s stock, it’s wise to consider these points:
According to our analyst team, they’ve identified several stocks with better potential than Fluor right now, suggesting there might be more appealing opportunities out there.
