Hotchkis & Wiley, an investment management company, released its “Hotchkis & Wiley Mid-Cap Value Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the third quarter of 2025, equity markets posted strong gains with the S&P 500 Index, Nasdaq Composite, Dow Jones Industrial Average, and Russell 2000 Index hitting all-time highs. Enthusiasm over artificial intelligence (AI), a long-awaited Federal Reserve rate cut, and stronger-than-expected corporate earnings supported t ...

"The safe and successful handover of Train 2...reflects the continued commitment to safety, quality and schedule performance by the thousands of workers who contributed to bringing Canadian natural gas to the world.†Share "The safe and successful handover of Train 2 is a testament to the teamwork and dedication of everyone involved on this project,†said Pierre Bechelany, Fluor's Business Group President of Energy Solutions. "It reflects the continued commitment to safety, quality and schedule performance ...

Core Perspective - The article discusses the investment potential of Fluor Corporation, particularly in the context of the nuclear power industry and small modular reactors (SMRs) [1][5]. Company Overview - Fluor Corporation is an engineering and construction company specializing in building full-scale nuclear plants that generate 1 gigawatt and above [6]. - Fluor holds a 38.9% stake in NuScale Power, a prominent SMR company, which is valued at approximately $2.3 billion based on NuScale's market capitalization of $6 billion [7]. Financial Analysis - Fluor's market capitalization is approximately $6.6 billion, with its NuScale stake and cash backing up 62% of this value, leading to an effective enterprise value of about $2.5 billion [8]. - The company reported earnings of $3.4 billion over the last 12 months, resulting in an enterprise-value-to-earnings ratio of less than 1 [9]. - Analysts project Fluor will earn around $360 million in real profit next year, with a growth rate of about 36% over the next three years, translating to a 12% annual growth rate [10][11]. Market Context - The nuclear power sector has seen a rise in stock prices for major SMR companies, but there are concerns regarding their profitability, with none expected to turn a profit before 2030 [4]. - Fluor's profitability contrasts with the SMR companies, as it is already generating revenue, making it a potentially safer investment in the nuclear sector [5][4]. Industry Developments - The U.S. Department of Energy announced Japan's commitment to invest $550 billion in the U.S., including $80 billion for the construction of 10 large nuclear power plants, which aligns with Fluor's business model [14]. - This development may positively impact Fluor's stock, despite the decline in value of its NuScale stake [15].

Is Fluor stock your best bet to profit from the nuclear renaissance? It certainly looks cheap enough.If you want to invest in nuclear power stocks, I've got just one name for you: Fluor Corporation (FLR +1.23%).Not Nano Nuclear Energy . Not NuScale Power Corporation (SMR +5.04%). Not Oklo -- none of the "SMR" start-up companies developing small modular nuclear reactors. None of them are profitable. According to forecasts from S&P Global Market Intelligence, none of them will be profitable for at least five ...

The new Airbus A320 airliner sits on the tarmac, 22 February 1987, during his first test flight, in Toulouse, becoming the first aircraft to fly with digital computer-driven fly-by-wire controls and side-stick controllers. The Airbus A320 airliner, a significant sales success and a technological trailblazer, is one of the most produced airliner in the world. (Photo credit should read JEAN-PIERRE MULLER/AFP via Getty Images)AFP via Getty ImagesApproximately 6,000 Airbus aircraft will be grounded to undergo a ...

Core Viewpoint - Fluor is undergoing a significant business reset, focusing on unwinding legacy risks, reshaping its project mix, and unlocking value from its NuScale Power stake, while managing stock volatility and aiming for improved performance in the coming years [2][9]. Group 1: Company Overview - Fluor is one of the oldest construction and engineering firms in the U.S., with a history spanning 113 years [2]. - The company has a market capitalization of $7 billion and has experienced a 15% decline year-to-date, significantly below its all-time high of $101 from 2008 [3]. Group 2: Financial Performance - In Q3, Fluor's revenue fell 18% year-over-year to $3.4 billion, marking the eighth consecutive quarter of missing analysts' expectations [5]. - Adjusted earnings per share increased by 33% to $0.68, indicating some positive performance despite revenue challenges [5]. - The company booked $3.3 billion in new contracts in Q3, raising its total backlog to $28.2 billion, with 82% of this backlog being reimbursable work [6]. Group 3: Strategic Initiatives - Execution of Fluor's reorganization plan is critical for restoring investor confidence and achieving consistent performance [5]. - Fluor is implementing a risk-reducing strategy by focusing on reimbursable contracts rather than fixed-price contracts [6]. - The company is also pursuing an exit strategy from NuScale Power, having raised over $600 million from a stock sale and planning to monetize its remaining 39% stake, estimated at $800 million [7][8]. Group 4: Future Outlook - The NuScale windfall is seen as a potential catalyst for Fluor's future growth, especially with the rising demand for nuclear energy to support new AI data centers [7][8]. - The company is viewed as a transition story with potential for improvement, contingent on its ability to execute its plans effectively [9].

Core Insights - The energy-infrastructure sector is experiencing a significant transformation as utilities, data-center operators, and industrial customers seek to expand capacity and modernize grids [2] - Quanta Services, Inc. (PWR) and Fluor Corporation (FLR) are two major U.S.-listed contractors playing pivotal roles in this transformation, focusing on power generation, transmission, and large-scale EPC services [2][3] - Each company is adopting different strategies to navigate the current market cycle, with Quanta emphasizing execution certainty and integrated solutions, while Fluor is pursuing a more asset-light approach [3] Quanta Services, Inc. (PWR) - PWR is witnessing strong momentum in its core markets, particularly in electric infrastructure and renewable energy, with the Electric segment contributing 80.9% of total revenues in Q3 2025, amounting to $6.17 billion, reflecting a 17.9% year-over-year growth [5][10] - The company reported a record backlog of $39.2 billion at the end of Q3 2025, up from $33.96 billion a year ago, indicating strong demand across utility and technology-driven markets [6][10] - PWR anticipates ongoing strength in electricity needs, driven by data centers and manufacturing, which will support further investments in infrastructure [8] Fluor Corporation (FLR) - Fluor is capitalizing on healthy activity across key markets, with strong execution in Energy Solutions and progress in Mission Solutions, leading to improved performance in LNG, mining, and government services [11][12] - The company raised its full-year guidance due to stronger-than-expected performance and a total backlog of $28.2 billion, with 82% being reimbursable projects, indicating a lower-risk mix [12] - Fluor expects constructive conditions in LNG, clean energy, and government work, with a strengthening pipeline of engineering and EPC opportunities [14] Stock Performance & Valuation - Over the past six months, Quanta's share price has outperformed Fluor's and the Zacks Engineering - R and D Services industry [15] - Quanta is currently trading at a premium compared to Fluor based on a forward 12-month price-to-earnings (P/E) ratio [16] Earnings Estimates - The Zacks Consensus Estimate for PWR's 2025 and 2026 earnings indicates year-over-year improvements of 17.8% and 16.7%, respectively, while FLR's 2025 EPS estimate shows a 7.7% decline [19][20] - PWR's EPS for 2025 is estimated at $10.57, while FLR's is projected at $2.15 [20][21] Conclusion - Both Quanta and Fluor hold a Zacks Rank 3 (Hold), supported by different fundamental drivers, with Quanta focusing on utility infrastructure and Fluor benefiting from a stronger mix of reimbursable work [22][23]

Core Points - Fluor Corporation has commenced the groundbreaking of the State Highway 6 expansion project in Bryan/College Station, Texas, in collaboration with local officials and the Texas Department of Transportation (TxDOT) [2][3] - The project involves reconstructing and widening a 12-mile stretch of SH-6 from two to three lanes in each direction, aimed at enhancing traffic capacity, regional connectivity, and safety [2][3] - Completion of the construction is anticipated by the end of 2030 [4] Company Overview - Fluor Corporation, listed on NYSE as FLR, reported a revenue of $16.3 billion in 2024 and is ranked 257 among Fortune 500 companies [5] - The company employs nearly 27,000 individuals and specializes in providing engineering, procurement, construction, and maintenance services globally [5] - Fluor has a long-standing history of over a century in delivering capital-efficient projects [5]

Core Viewpoint - Grabar Law Office is investigating claims on behalf of shareholders of Fluor Corporation regarding potential breaches of fiduciary duties by certain officers and directors [1] Group 1: Investigation Details - The investigation is focused on whether Fluor Corporation's officers made materially false and misleading statements and failed to disclose adverse facts about the company's business and operations [3] - Allegations include that costs for specific projects were increasing due to subcontractor errors, price hikes, and scheduling delays, which negatively impacted the company's financial results [3] - The investigation suggests that Fluor's financial guidance for FY 2025 was unreliable, and the effectiveness of its risk mitigation strategies was overstated [3] Group 2: Shareholder Actions - Shareholders who purchased Fluor Corporation shares before February 18, 2025, and still hold them can seek corporate reforms and the return of funds at no cost [2][4] - Interested shareholders are encouraged to contact Grabar Law Office for more information on the investigation and potential actions [2][4]

Core Viewpoint - Fluor, a Texas-based construction and engineering company, has experienced significant stock volatility in 2025, but its strategic focus on nuclear power is attracting renewed investor interest [1][2]. Company Performance - Fluor's stock has fluctuated dramatically, with a 40% decline in April, a 20% gain in July, and a subsequent 20% drop in August, leading to a current year-to-date loss of 7% [2]. - The company has a market capitalization of $7 billion, making it the smallest among six Construction & Engineering stocks in the SPDR S&P MidCap 400 ETF Trust, and it remains the only one with a negative performance for the year [3]. - Fluor's stock is approximately 55% below its all-time high of $102 from 2008 and about 20% below its 52-week high of $57.50 reached in late July [4]. Financial Results - Fluor missed revenue estimates for the eighth consecutive quarter, reporting a 17% decline in revenue to $3.3 billion, significantly below the average estimate of $4.2 billion [5]. - Adjusted earnings per share increased by 33% to $0.68, surpassing analysts' expectations of $0.45 [5]. - The company secured $3.3 billion in new contracts in Q3, raising its backlog to $28.2 billion, with 82% of this backlog being reimbursable contracts [6]. Strategic Moves - Fluor plans to monetize its remaining 39% stake in NuScale, a company specializing in small modular reactors, which has seen its stock rise over 600% in the past two years due to increased demand for nuclear energy [7]. - After selling a 15 million-share block of NuScale for $605 million, Fluor aims to liquidate the rest of its stake by the end of Q2 2026, expecting to raise $800 million by February to support a stock-buyback program [8][9]. Market Outlook - Analysts have mixed ratings on Fluor, with five recommending a buy and five suggesting a hold, and an average 12-month price target of $51, indicating a potential upside of about 12% from the current price [13]. - The company is projected to achieve earnings growth of approximately 7% and an 8% increase in revenue for the full year 2026 [13]. - Fluor's forward price-to-earnings ratio of 22x places it in the top quintile of its historical range, indicating a higher valuation compared to 80% of the past decade [12].