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TPC vs. FLR: Which Construction Stock is the Better Buy Now?
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Key Takeaways
Tutor Perini's backlog doubled to $21.1B, boosted by high-margin civil and building project wins.
Fluor's backlog dropped 13% Y/Y to $28.21B, weighed by delays and rising project costs.
TPC raised its 2025 EPS outlook, while FLR's 2025 EPS estimates trended downward.
Firms operating in the construction sector, like Tutor Perini Corporation (TPC - Free Report) and Fluor Corporation (FLR - Free Report) , are capitalizing on the robust investment trends in public infrastructure across the country and beyond. Economies like Canada, the Middle East and Europe are currently ramping up on public infrastructure spending, thus increasing the demand for services served by such construction and engineering services providers.
Tutor Perini is currently focusing on grabbing onto higher-margin project opportunities, particularly in its Civil and Building segments, to support its long-term revenue visibility and profitability structure. On the other hand, Fluor is mainly focusing on the second phase of the “Building a Better Future” strategy, which highlights the "grow and execute” phase aimed at focusing on key markets and diversifying revenue streams.
Amid the company-specific and market tailwinds, these companies are not entirely immune to risks tied to cost inflation, tariff-related uncertainties, project delays and execution risks. The intensity of the adverse impacts from these headwinds is different for Tutor Perini and Fluor, given their in-house optimization efforts and revenue diversification abilities.
Let’s dive deep and closely compare the fundamentals of the two stocks to determine which one is a better investment now.
The Case for Tutor Perini Stock
This California-based general contracting company, with a market cap of about $3.37 billion, is banking on the favorable market dynamics, especially in the United States, fueled by an increased public spending scenario. Besides, its strategic bidding approach (seeking projects with limited competition, favorable contract terms, and higher margins) is what is catalyzing growth in new project opportunities across mass transit, healthcare and other engineering projects.
During the second quarter of 2025, TPC highlighted several significant new awards, including the Midtown Bus Terminal Replacement Phase 1 project in New York, valued at $1.87 billion; a healthcare project in California, at $538 million; and two civil works projects in the Midwest, totaling $127 million. As of June 30, 2025, the company’s total backlog grew year over year by 102% to a record high of $21.1 billion.
Moreover, Tutor Perini highlighted that many new major, higher-margin projects across the Civil and Building segments are currently in the initial stage and are expected to drive substantial growth, profitability and cash flow in the long term as project execution activities continue. For the long term, the company remains optimistic about its strong backlog position and expects to execute strategic bidding for various high-margin project opportunities in 2025 and beyond, which is anticipated to drive shareholder value.
Owing to the operating performance and contributions from higher-margin projects, TPC once again raised its 2025 GAAP and adjusted earnings per share (EPS) outlook. It now expects GAAP EPS to be in the range of $1.70-$2.00 (up from the previous range of $1.60-$1.95), with adjusted EPS expected to be in the range of $3.65-$3.95 (up from $2.45-$2.80). Additionally, the company is optimistic that its GAAP and adjusted EPS for 2026 and 2027 will exceed the upper end of the revised guidance for 2025.
The Case for Fluor Stock
This Texas-based engineering, procurement, construction and maintenance services provider, with a market cap of approximately $6.63 billion, is primarily focusing on key target markets within its Energy Solutions, Urban Solutions and Mission Solutions segments and prioritizing maintaining strong client relationships to ensure its competitive edge and deliver consistent results.
This shift in focus is part of the "grow and execute” phase, under the “Building a Better Future” strategy extending between 2025 and 2028. The new phase emphasizes the importance of reinforcing financial discipline by generating cash and earnings, maintaining the trend of pursuing contracts with fair and balanced commercial terms, driving portfolio growth through both organic and inorganic methods and fostering a high-performance culture in project delivery.
Fluor has shifted its focus and is diversifying its revenue streams because, since the beginning of 2025, it has witnessed several project delays across many of its significant ongoing projects, which have hampered its revenue visibility and profitability growth. In the second quarter of 2025, project delays included the Gordie Howe project, due to cost increases because of rework and additional efforts, the 635/LBJ project due to cost increases in construction materials and labor productivity impacts, and the I-35 Phase 2 project due to cost increases because of subcontractor default, third-party utility delays and mitigation costs related to these delays.
At the end of the second quarter of 2025, FLR’s total backlog was $28.21 billion (with 80% reimbursable projects), down 13% year over year from $32.3 billion. Fluor now expects its total new awards for 2025 to range within $13-$15 billion, owing to the Savannah River Plutonium Processing Facility (SRPPF) project, with prospects expanding into the first half of 2026 amid tariff-related risks.
Stock Performance & Valuation
As witnessed from the chart below, in the past six months, Tutor Perini’s share price performance stands significantly above Fluor’s and the broader Construction sector.
Image Source: Zacks Investment Research
Considering valuation, over the last five years, Fluor is trading above Tutor Perini on a forward 12-month price-to-earnings (P/E) ratio basis.
Image Source: Zacks Investment Research
Overall, from these technical indicators, it can be deduced that TPC stock offers an incremental growth trend with a discounted valuation, while FLR stock offers a slow growth trend with a premium valuation.
Comparing EPS Estimate Trends: TPC vs. FLR
The Zacks Consensus Estimate for TPC’s 2025 EPS indicates 220.8% year-over-year growth, with the 2026 estimate indicating an increase of 22.5%. The 2025 EPS estimates have trended upward over the past 60 days, while those of 2026 have moved up in the past seven days.
TPC's EPS Estimate Revision
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for FLR’s 2025 earnings estimates implies a year-over-year decline of 12.5%, but the same for 2026 indicates an improvement of 13.8%. Its 2025 and 2026 EPS estimates have trended downward over the past 60 days.
FLR's EPS Estimate Revision
Image Source: Zacks Investment Research
Which One is the “IT” Stock: TPC or FLR?
Tutor Perini’s focus on higher-margin civil and building projects, combined with strategic bidding on favorable contracts, is translating into strong earnings momentum. The company has not only raised its 2025 GAAP and adjusted EPS guidance but also signaled confidence in sustaining earnings growth through 2026 and 2027, positioning itself as a value-driven growth stock.
Conversely, Fluor is struggling with execution risks, project delays, cost overruns and a declining backlog (down 13% year over year). While its “Building a Better Future” strategy is aimed at long-term diversification and disciplined growth, near-term headwinds and downward-trending EPS estimates make the stock less attractive.
Given the favorable earnings revisions, record backlog and discounted valuation, TPC, which currently sports a Zacks Rank #1 (Strong Buy), offers a better investment opportunity over FLR, which is currently carrying a Zacks Rank #5 (Strong Sell), at this time.
Image: Bigstock
TPC vs. FLR: Which Construction Stock is the Better Buy Now?
Key Takeaways
Firms operating in the construction sector, like Tutor Perini Corporation (TPC - Free Report) and Fluor Corporation (FLR - Free Report) , are capitalizing on the robust investment trends in public infrastructure across the country and beyond. Economies like Canada, the Middle East and Europe are currently ramping up on public infrastructure spending, thus increasing the demand for services served by such construction and engineering services providers.
Tutor Perini is currently focusing on grabbing onto higher-margin project opportunities, particularly in its Civil and Building segments, to support its long-term revenue visibility and profitability structure. On the other hand, Fluor is mainly focusing on the second phase of the “Building a Better Future” strategy, which highlights the "grow and execute” phase aimed at focusing on key markets and diversifying revenue streams.
Amid the company-specific and market tailwinds, these companies are not entirely immune to risks tied to cost inflation, tariff-related uncertainties, project delays and execution risks. The intensity of the adverse impacts from these headwinds is different for Tutor Perini and Fluor, given their in-house optimization efforts and revenue diversification abilities.
Let’s dive deep and closely compare the fundamentals of the two stocks to determine which one is a better investment now.
The Case for Tutor Perini Stock
This California-based general contracting company, with a market cap of about $3.37 billion, is banking on the favorable market dynamics, especially in the United States, fueled by an increased public spending scenario. Besides, its strategic bidding approach (seeking projects with limited competition, favorable contract terms, and higher margins) is what is catalyzing growth in new project opportunities across mass transit, healthcare and other engineering projects.
During the second quarter of 2025, TPC highlighted several significant new awards, including the Midtown Bus Terminal Replacement Phase 1 project in New York, valued at $1.87 billion; a healthcare project in California, at $538 million; and two civil works projects in the Midwest, totaling $127 million. As of June 30, 2025, the company’s total backlog grew year over year by 102% to a record high of $21.1 billion.
Moreover, Tutor Perini highlighted that many new major, higher-margin projects across the Civil and Building segments are currently in the initial stage and are expected to drive substantial growth, profitability and cash flow in the long term as project execution activities continue. For the long term, the company remains optimistic about its strong backlog position and expects to execute strategic bidding for various high-margin project opportunities in 2025 and beyond, which is anticipated to drive shareholder value.
Owing to the operating performance and contributions from higher-margin projects, TPC once again raised its 2025 GAAP and adjusted earnings per share (EPS) outlook. It now expects GAAP EPS to be in the range of $1.70-$2.00 (up from the previous range of $1.60-$1.95), with adjusted EPS expected to be in the range of $3.65-$3.95 (up from $2.45-$2.80). Additionally, the company is optimistic that its GAAP and adjusted EPS for 2026 and 2027 will exceed the upper end of the revised guidance for 2025.
The Case for Fluor Stock
This Texas-based engineering, procurement, construction and maintenance services provider, with a market cap of approximately $6.63 billion, is primarily focusing on key target markets within its Energy Solutions, Urban Solutions and Mission Solutions segments and prioritizing maintaining strong client relationships to ensure its competitive edge and deliver consistent results.
This shift in focus is part of the "grow and execute” phase, under the “Building a Better Future” strategy extending between 2025 and 2028. The new phase emphasizes the importance of reinforcing financial discipline by generating cash and earnings, maintaining the trend of pursuing contracts with fair and balanced commercial terms, driving portfolio growth through both organic and inorganic methods and fostering a high-performance culture in project delivery.
Fluor has shifted its focus and is diversifying its revenue streams because, since the beginning of 2025, it has witnessed several project delays across many of its significant ongoing projects, which have hampered its revenue visibility and profitability growth. In the second quarter of 2025, project delays included the Gordie Howe project, due to cost increases because of rework and additional efforts, the 635/LBJ project due to cost increases in construction materials and labor productivity impacts, and the I-35 Phase 2 project due to cost increases because of subcontractor default, third-party utility delays and mitigation costs related to these delays.
At the end of the second quarter of 2025, FLR’s total backlog was $28.21 billion (with 80% reimbursable projects), down 13% year over year from $32.3 billion. Fluor now expects its total new awards for 2025 to range within $13-$15 billion, owing to the Savannah River Plutonium Processing Facility (SRPPF) project, with prospects expanding into the first half of 2026 amid tariff-related risks.
Stock Performance & Valuation
As witnessed from the chart below, in the past six months, Tutor Perini’s share price performance stands significantly above Fluor’s and the broader Construction sector.
Image Source: Zacks Investment Research
Considering valuation, over the last five years, Fluor is trading above Tutor Perini on a forward 12-month price-to-earnings (P/E) ratio basis.
Image Source: Zacks Investment Research
Overall, from these technical indicators, it can be deduced that TPC stock offers an incremental growth trend with a discounted valuation, while FLR stock offers a slow growth trend with a premium valuation.
Comparing EPS Estimate Trends: TPC vs. FLR
The Zacks Consensus Estimate for TPC’s 2025 EPS indicates 220.8% year-over-year growth, with the 2026 estimate indicating an increase of 22.5%. The 2025 EPS estimates have trended upward over the past 60 days, while those of 2026 have moved up in the past seven days.
TPC's EPS Estimate Revision
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for FLR’s 2025 earnings estimates implies a year-over-year decline of 12.5%, but the same for 2026 indicates an improvement of 13.8%. Its 2025 and 2026 EPS estimates have trended downward over the past 60 days.
FLR's EPS Estimate Revision
Image Source: Zacks Investment Research
Which One is the “IT” Stock: TPC or FLR?
Tutor Perini’s focus on higher-margin civil and building projects, combined with strategic bidding on favorable contracts, is translating into strong earnings momentum. The company has not only raised its 2025 GAAP and adjusted EPS guidance but also signaled confidence in sustaining earnings growth through 2026 and 2027, positioning itself as a value-driven growth stock.
Conversely, Fluor is struggling with execution risks, project delays, cost overruns and a declining backlog (down 13% year over year). While its “Building a Better Future” strategy is aimed at long-term diversification and disciplined growth, near-term headwinds and downward-trending EPS estimates make the stock less attractive.
Given the favorable earnings revisions, record backlog and discounted valuation, TPC, which currently sports a Zacks Rank #1 (Strong Buy), offers a better investment opportunity over FLR, which is currently carrying a Zacks Rank #5 (Strong Sell), at this time.
You can see the complete list of today’s Zacks #1 Rank stocks here.