Fluor Corporation (FLR): A Bull Case Theory 

We came across a bullish thesis on Fluor Corporation on Make Money, Make Time’s Substack by Oliver | MMMT Wealth. In this article, we will summarize the bulls’ thesis on FLR. Fluor Corporation’s share was trading at $48.79 as of October 21st. FLR’s trailing and forward P/E were 1.80 and 17.64 respectively according to Yahoo Finance.

Fluor Corporation (FLR) is one of the world’s largest engineering, procurement, and construction (EPC) firms, executing massive projects across energy, chemicals, mining, nuclear, and data center sectors. The company is undergoing a strategic transition away from traditional oil and gas projects toward high-growth areas, including clean energy, hydrogen, and AI-focused data center construction, positioning it well for the evolving global infrastructure landscape. FLR is currently trading at an attractive valuation, with forward-looking metrics of 0.44x NTM sales and 12.9x NTM EBITDA, which appears compelling relative to its peers, especially considering the company’s projected growth profile.

Analysts estimate 4.1% revenue growth in FY26, supported by the ongoing diversification into clean energy and technology-driven infrastructure projects, while EBITDA is expected to expand 35.3%, reflecting operational leverage and higher-margin projects in new markets. This combination of stable revenue streams from large-scale, long-term projects and significant profitability growth creates an appealing risk/reward profile for investors. The company’s pivot toward high-demand, future-oriented sectors enhances its resilience against the volatility traditionally associated with oil and gas projects.

Given its scale, expertise, and early positioning in emerging energy and AI infrastructure markets, FLR stands out as a uniquely undervalued opportunity within the EPC space. Investors may benefit not only from the firm’s near-term earnings expansion but also from potential re-rating as the market increasingly recognizes the value of its strategic transition and long-term growth trajectory. Overall, FLR offers a compelling entry point for those seeking exposure to large-scale, diversified, and future-facing infrastructure projects with attractive valuation and growth prospects.

Previously we covered a bullish thesis on Comfort Systems USA, Inc. (FIX) by Oliver | MMMT Wealth in December 2024, highlighting the company’s leadership in mechanical systems and exposure to energy-efficient building trends. The stock has appreciated approximately 89% since coverage as the thesis played out. Oliver | MMMT Wealth takes a similar approach with Fluor Corporation (FLR) but emphasizes its pivot to clean energy, hydrogen, and AI data center projects.

Fluor Corporation is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 57 hedge fund portfolios held FLR at the end of the second quarter which was 51 in the previous quarter. While we acknowledge the risk and potential of FLR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than FLR and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.