FLUOR CORP (FLR) Stock Fundamental Analysis
NYSE:FLR - New York Stock Exchange, Inc. - US3434121022 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to FLR. FLR was compared to 52 industry peers in the Construction & Engineering industry. FLR has an excellent financial health rating, but there are some minor concerns on its profitability. FLR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year FLR was profitable.
In the past year FLR had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: FLR reported negative net income in multiple years.
FLR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 21.90%, FLR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
FLR has a better Return On Equity (51.38%) than 96.15% of its industry peers.
The Return On Invested Capital of FLR (6.13%) is comparable to the rest of the industry.
FLR had an Average Return On Invested Capital over the past 3 years of 4.16%. This is significantly below the industry average of 16.60%.
The 3 year average ROIC (4.16%) for FLR is below the current ROIC(6.13%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.9% | ||
| ROE | 51.38% | ||
| ROIC | 6.13% |
ROA(3y)8.73%
ROA(5y)2.74%
ROE(3y)21.51%
ROE(5y)-2.2%
ROIC(3y)4.16%
ROIC(5y)4.14%
1.3 Margins
FLR has a better Profit Margin (11.14%) than 92.31% of its industry peers.
FLR has a Operating Margin (2.63%) which is in line with its industry peers.
In the last couple of years the Operating Margin of FLR has grown nicely.
FLR has a Gross Margin of 3.71%. This is in the lower half of the industry: FLR underperforms 78.85% of its industry peers.
FLR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.63% | ||
| PM (TTM) | 11.14% | ||
| GM | 3.71% |
OM growth 3Y12.18%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.13%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FLR is destroying value.
The number of shares outstanding for FLR has been reduced compared to 1 year ago.
Compared to 5 years ago, FLR has more shares outstanding
The debt/assets ratio for FLR has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.93 indicates that FLR is not in any danger for bankruptcy at the moment.
FLR has a better Altman-Z score (3.93) than 65.38% of its industry peers.
FLR has a debt to FCF ratio of 2.12. This is a good value and a sign of high solvency as FLR would need 2.12 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.12, FLR is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that FLR is not too dependend on debt financing.
The Debt to Equity ratio of FLR (0.30) is better than 71.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.12 | ||
| Altman-Z | 3.93 |
ROIC/WACC0.62
WACC9.85%
2.3 Liquidity
A Current Ratio of 1.74 indicates that FLR should not have too much problems paying its short term obligations.
With an excellent Current ratio value of 1.74, FLR belongs to the best of the industry, outperforming 82.69% of the companies in the same industry.
A Quick Ratio of 1.74 indicates that FLR should not have too much problems paying its short term obligations.
FLR has a Quick ratio of 1.74. This is amongst the best in the industry. FLR outperforms 90.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.74 |
3. Growth
3.1 Past
The earnings per share for FLR have decreased strongly by -12.29% in the last year.
The Earnings Per Share has been growing by 27.71% on average over the past years. This is a very strong growth
FLR shows a small growth in Revenue. In the last year, the Revenue has grown by 7.16%.
The Revenue has been decreasing by -1.18% on average over the past years.
EPS 1Y (TTM)-12.29%
EPS 3Y35.43%
EPS 5Y27.71%
EPS Q2Q%55.32%
Revenue 1Y (TTM)7.16%
Revenue growth 3Y4.85%
Revenue growth 5Y-1.18%
Sales Q2Q%6.64%
3.2 Future
The Earnings Per Share is expected to grow by 12.60% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.09% on average over the next years.
EPS Next Y11.44%
EPS Next 2Y10.59%
EPS Next 3Y11.89%
EPS Next 5Y12.6%
Revenue Next Year8.24%
Revenue Next 2Y7.26%
Revenue Next 3Y7.14%
Revenue Next 5Y6.09%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.32 indicates a rather expensive valuation of FLR.
Based on the Price/Earnings ratio, FLR is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
FLR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.34.
A Price/Forward Earnings ratio of 17.57 indicates a rather expensive valuation of FLR.
Based on the Price/Forward Earnings ratio, FLR is valued a bit cheaper than 78.85% of the companies in the same industry.
FLR's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.32 | ||
| Fwd PE | 17.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FLR is valued a bit cheaper than the industry average as 78.85% of the companies are valued more expensively.
FLR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FLR is cheaper than 78.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.96 | ||
| EV/EBITDA | 13.13 |
4.3 Compensation for Growth
FLR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
FLR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.69
PEG (5Y)0.7
EPS Next 2Y10.59%
EPS Next 3Y11.89%
5. Dividend
5.1 Amount
FLR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
49.64
-0.4 (-0.8%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners94.4%
Inst Owner Change-3.71%
Ins Owners0.65%
Ins Owner Change6.71%
Market Cap8.17B
Analysts76.92
Price Target46.52 (-6.29%)
Short Float %6.98%
Short Ratio3.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.82%
Min EPS beat(2)-38.67%
Max EPS beat(2)44.3%
EPS beat(4)2
Avg EPS beat(4)-1.23%
Min EPS beat(4)-38.67%
Max EPS beat(4)44.3%
EPS beat(8)5
Avg EPS beat(8)19.09%
EPS beat(12)5
Avg EPS beat(12)-2.27%
EPS beat(16)8
Avg EPS beat(16)17.73%
Revenue beat(2)0
Avg Revenue beat(2)-5.09%
Min Revenue beat(2)-5.62%
Max Revenue beat(2)-4.57%
Revenue beat(4)0
Avg Revenue beat(4)-7.16%
Min Revenue beat(4)-14.44%
Max Revenue beat(4)-4.02%
Revenue beat(8)2
Avg Revenue beat(8)-4.64%
Revenue beat(12)3
Avg Revenue beat(12)-3.79%
Revenue beat(16)6
Avg Revenue beat(16)-0.9%
PT rev (1m)-0.24%
PT rev (3m)-12.84%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.21%
EPS NY rev (1m)1.39%
EPS NY rev (3m)-6.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.52%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)-2.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.32 | ||
| Fwd PE | 17.57 | ||
| P/S | 0.49 | ||
| P/FCF | 15.96 | ||
| P/OCF | 12.52 | ||
| P/B | 2.28 | ||
| P/tB | 2.28 | ||
| EV/EBITDA | 13.13 |
EPS(TTM)2.57
EY5.18%
EPS(NY)2.83
Fwd EY5.69%
FCF(TTM)3.11
FCFY6.26%
OCF(TTM)3.97
OCFY7.99%
SpS100.59
BVpS21.81
TBVpS21.81
PEG (NY)1.69
PEG (5Y)0.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.9% | ||
| ROE | 51.38% | ||
| ROCE | 7.76% | ||
| ROIC | 6.13% | ||
| ROICexc | 11.11% | ||
| ROICexgc | 11.11% | ||
| OM | 2.63% | ||
| PM (TTM) | 11.14% | ||
| GM | 3.71% | ||
| FCFM | 3.09% |
ROA(3y)8.73%
ROA(5y)2.74%
ROE(3y)21.51%
ROE(5y)-2.2%
ROIC(3y)4.16%
ROIC(5y)4.14%
ROICexc(3y)11.57%
ROICexc(5y)11.6%
ROICexgc(3y)13.68%
ROICexgc(5y)14.21%
ROCE(3y)5.27%
ROCE(5y)5.24%
ROICexcg growth 3Y-20.79%
ROICexcg growth 5YN/A
ROICexc growth 3Y-15.87%
ROICexc growth 5YN/A
OM growth 3Y12.18%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.13%
GM growth 5YN/A
F-Score5
Asset Turnover1.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.12 | ||
| Debt/EBITDA | 2.14 | ||
| Cap/Depr | 193.15% | ||
| Cap/Sales | 0.85% | ||
| Interest Coverage | 10.61 | ||
| Cash Conversion | 128.54% | ||
| Profit Quality | 27.75% | ||
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.74 | ||
| Altman-Z | 3.93 |
F-Score5
WACC9.85%
ROIC/WACC0.62
Cap/Depr(3y)159.13%
Cap/Depr(5y)137.15%
Cap/Sales(3y)0.76%
Cap/Sales(5y)0.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.29%
EPS 3Y35.43%
EPS 5Y27.71%
EPS Q2Q%55.32%
EPS Next Y11.44%
EPS Next 2Y10.59%
EPS Next 3Y11.89%
EPS Next 5Y12.6%
Revenue 1Y (TTM)7.16%
Revenue growth 3Y4.85%
Revenue growth 5Y-1.18%
Sales Q2Q%6.64%
Revenue Next Year8.24%
Revenue Next 2Y7.26%
Revenue Next 3Y7.14%
Revenue Next 5Y6.09%
EBIT growth 1Y13.28%
EBIT growth 3Y17.62%
EBIT growth 5YN/A
EBIT Next Year46.81%
EBIT Next 3Y22.29%
EBIT Next 5Y15.16%
FCF growth 1Y1996.3%
FCF growth 3YN/A
FCF growth 5Y77.02%
OCF growth 1Y1025.86%
OCF growth 3Y219.73%
OCF growth 5Y30.47%