Fluor Corporation provides engineering, procurement, construction, fabrication and modularization, commissioning and maintenance, and project management services worldwide. The company was founded in 1912 and is based in Irving, Texas.
FLR Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for FLR, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Fluor Corp ranked in the 8th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 93.83%. The most interesting components of our discounted cash flow analysis for Fluor Corp ended up being:
Its compound free cash flow growth rate, as measured over the past 5.5 years, is -0.29% -- higher than only 5.89% of stocks in our DCF forecasting set.
Fluor Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -10.15. This coverage rate is greater than that of only 5.45% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, Fluor Corp experienced a tax rate of about 0% over the past twelve months; relative to its sector (Industrials), this tax rate is higher than only 0% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
AVYA, CRS, GSH, TWI, and VEC can be thought of as valuation peers to FLR, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.