Is Fluor Stock a Millionaire Maker?

• Fluor is 1 of the world's largest engineering and operation companies.

• It has dramatically reshaped its backlog, with astir of its projects present structured arsenic reimbursable.

• Some investors are rather excited astir its concern successful NuScale Power.

• 10 stocks we similar amended than Fluor ›

Fluor (NYSE: FLR) has dramatically improved its business. That's bully news, but determination are inactive important aspects of the engineering and operation company's operations you request to recognize earlier buying the stock. And that includes the company's worldly concern successful NuScale Power (NYSE: SMR), which immoderate investors look rather excited astir today. Can buying Fluor assistance marque you a millionaire? It's complicated.

Fluor builds things. Very ample things, similar buildings, bridges, and powerfulness plants. What it does is precise important for economical growth. Fluor is besides bully astatine what it does, having won $3.3 cardinal successful operation projects successful the 3rd 4th of 2025 alone. Its backlog of enactment sits astatine a immense $28.2 billion.

What's notable astir those 2 figures is the percent that is reimbursable. In the 3rd quarter, 99% of the enactment added to the backlog was reimbursable. Yet lone 82% of the afloat backlog is reimbursable. This highlights management's effort to displacement distant from fixed-price contracts. If determination are outgo overruns with a fixed-price contract, Fluor has to ft the difference. Reimbursable contracts assistance make a much unchangeable gross watercourse astatine the apical of the income statement.

Fluor is becoming a much reliable business, which should beryllium bully quality to astir investors. That's peculiarly existent fixed the request for ample operation products to upgrade infrastructure successful cardinal markets similar the United States and to enactment continued economical maturation worldwide. However, there's a cardinal information that investors can't forget: large superior concern projects are often cyclical successful nature.

When times are flush, countries and companies are much consenting to put the millions, if not billions, indispensable to build. During recessions, however, large spending plans often get delayed oregon canceled. Although Fluor is simply a much unchangeable concern contiguous than it has been successful caller years, it remains a cyclical one.

That suggests that investors looking to physique a seven-figure nest ovum volition person to clasp the banal for a agelong clip and apt done large stock terms swings. Most volition astir apt beryllium amended disconnected with a concern that tin enactment much accordant maturation done the economical cycle.

That said, there's a imaginable diamond successful the unsmooth hidden wrong Fluor. Fluor was an aboriginal capitalist successful NuScale Power, a institution attempting to physique a concern astir tiny modular atomic reactors (SMRs). SMRs are an important improvement successful the atomic powerfulness industry. Fluor apt hopes to beryllium a cardinal operation spouse successful projects that usage NuScale Power's reactors. It's moving to unafraid the archetypal specified project's support successful Romania.