UPDATE: UBS Downgrades Fluor (FLR) to Neutral
UBS downgraded Fluor (NYSE: FLR) from Buy to Neutral with a price target of $51 (from $73). Analsyt Steven Fisher see limited upside and thinks the stock will trade sideways.
"We believe Fluor has historically traded with oil prices, backlog growth, and major themes. The current oil futures curve suggests little upside to oil prices over the next 6-12 months. Additionally, while Fluor expects an extended cycle, project award timing is pushing to the right, as customers remain cautious. As a result, backlog is not expected to grow in the next few quarters, before resuming a more positive trend. With a relatively flat backlog over the next few quarters, and little upside expected in oil, we move to a Neutral rating on Fluor," said Fisher.
For an analyst ratings summary and ratings history on Fluor click here. For more ratings news on Fluor click here.
Shares of Fluor closed at $50.90 yesterday.