FLR

Fluor Corporation's joint venture with JGC Corporation has been selected to deliver Phase 2 of the LNG Canada export facility in Kitimat, British Columbia. Fluor expects to recognize its $7.5 billion contract share in Q3 fiscal 2026. Phase 2 will double the facility's production capacity to approximately 28 million tonnes per year and includes construction of an additional LNG storage tank and two new liquefaction units.

Shell has approved the second phase of its LNG Canada project in Kitimat, British Columbia, which will double production capacity from 14 mtpa to 28 mtpa. Phase 2 is expected to deliver nearly 6 mtpa of additional LNG to Shell with double-digit returns starting in the early 2030s. The expansion also triggers a Coastal GasLink pipeline expansion and a $7.5 billion Fluor contract.

NuScale Power stock has plunged over 90% from its $57 peak despite growing demand for nuclear energy in data centers. The company's outlook could be transformed by a potential binding deal with the Tennessee Valley Authority for up to 6 GW of power deployment, which would require up to 72 NuScale Power Modules. Until such a firm commitment materializes, NuScale remains a risky, story-driven stock with significant downside risk.

Tutor Perini Corporation (TPC) trades at a discount to peers with a strong $19.9 billion backlog and improving margins, supported by robust infrastructure spending. The company's nine mega-projects worth ~$16B and $200B+ bid pipeline offer growth potential, while record first-half cash flow of $334.1M strengthens its financial position.

However, execution risks, contract disputes, and a 6% year-over-year backlog decline warrant caution. TPC receives a Zacks Rank #3 (Hold) rating.

Quanta Services stock rose 3% on Friday after Citigroup analysts identified it as one of four construction stocks that historically outperform the S&P 500 by ~2% in the 10 days following major storms. The analysts cited Hurricane Isaias as a potential catalyst. However, the article cautions that investors should focus on Quanta's broader business fundamentals, particularly its $50+ billion project backlog driven by AI data center build-outs and power grid work, rather than relying solely on post-storm reconstruction opportunities.

Tutor Perini Corporation (TPC) is well-positioned for sustained growth through 2027 with a $19.9 billion backlog and nine mega-projects worth $16 billion. The company benefits from higher-margin projects, with Civil margins at 15.3% and Building margins at 5.6%. Management expects double-digit revenue growth in 2026 and stronger earnings in 2027, supported by a $200+ billion bidding pipeline.

The global Mivan construction market is expected to grow from USD 3.92 billion in 2025 to USD 7.05 billion by 2031, driven by mass housing demand, urbanization, and government-backed affordable housing programs. Reusable aluminum formwork enables faster construction cycles and cost amortization across repetitive projects.

However, high initial capital expenditure and aluminum price volatility pose challenges. Automation and localized supply chains are emerging trends to address labor shortages and reduce costs.

AECOM achieved record backlog of $27.8B with 13% year-over-year growth and strong project wins across multiple sectors. The company maintains a 5%-8% organic growth target through fiscal 2029, supported by robust U.S. water and federal defense pipelines.

However, slower project starts, a $337M legacy charge, and cash flow pressures through early fiscal 2027 present near-term headwinds. The company currently carries a Zacks Rank #5 (Strong Sell) rating.