Fluor Corporation’s shares fell roughly 20% in 2025 while the broader market gained over 15%, driven primarily by a disappointing second-quarter earnings release on August 1. The company missed both revenue and adjusted earnings forecasts, cut its full-year guidance, and disclosed multi-hundred-million-dollar cost overruns, scheduling delays and design flaws in its marquee infrastructure projects, including the Gordie Howe Bridge and multiple highway expansions in Texas. These project setbacks also led to a shrinking backlog for four consecutive quarters, prompting a class-action lawsuit alleging misleading statements about delivery capabilities earlier in the year.

On a GAAP basis, Fluor’s EPS surged from $0.54 in 2023 to $12.30 in 2024, largely reflecting the sale of its investment in NuScale Power. Excluding that transaction, adjusted EBITDA fell 14% in 2024 as lower profits from energy-solutions work offset growth in urban infrastructure. Quarterly year-over-year metrics in 2025 included an 18% revenue decline in Q3 and adjusted EBITDA swings of +29% and –42% in adjacent quarters. The third quarter was further impacted by a $653 million legal settlement with an oil and gas partner, booked as a revenue reduction, which exacerbated top-line weakness.

Analysts forecast a 4% revenue decline and a 19% EBITDA contraction for full-year 2025, followed by a 7% revenue increase and a 10% EBITDA expansion in 2026 as execution stabilizes and new awards materialize. At roughly nine times forward EBITDA and under one times next-year sales, the stock appears undervalued relative to its peer group. Activist investor Starboard Value, holding nearly 5% of shares, is advocating for the monetization of Fluor’s remaining 39% stake in NuScale through market sales or a tax-free spin-off, with proceeds earmarked for share buybacks to support a gradual recovery over the next 12 months.