Stocks on Sale: Fluor and LyondellBasell

Aug 5, 2025 - 09:00
Stocks on Sale: Fluor and LyondellBasell

Last week, two firms posted quarterly results that sent their share prices lower. Fluor (FLR) lost 27% of its value on August 1 after it adjusted its guidance.

Fluor posted second-quarter revenue of $4 billion. It adjusted backlogs by $1.7 billion. However, its total backlog is around 28 billion, with 80% reimbursable. Consider taking advantage of the dip by starting a position. The business fundamentals remain robust.
In Q2, three long-standing infrastructure projects dragged results. Capital spending also shifted for some clients.

For FY 2025, Fluor sees earnings of $1.95 - $2.15 per share, compared to a prior guidance of $2.25 - $2.75 per share.

LyondellBasell (LYB) lost 15.7% last week. It earned $0.62 in non-GAAP EPS. The firm is outflanking Dow Inc. (DOW). The dividend, which yields over 10%, appears safe. It started with $3.4 billion this year, which is the same as the amount it held in 2024.

On the conference call, the firm said that planned and unplanned downtimes hurt results. Fortunately, positive indicators in the market include that export demand rose in the last two months.

The quarter benefited from some resolution in the trade and tariff uncertainty.

Domestic demand is also up Y/Y. The business benefited from stronger GDP figures in both China and the U.S. Global inventories are very low amid the hurricane season.