UPDATE: D.A. Davidson & Co. Downgrades Fluor Corporation to Neutral, Reiterates $75 PT on Reduced Upside Potential

In a report published Friday, D.A. Davidson & Co. analyst John B. Rogers downgraded the rating on Fluor Corporation FLR from Buy to Neutral, but reiterated the $75.00 price target. In the report, D.A. Davidson & Co. noted, “The shares of Fluor have performed well over the past year, gaining over 20%, slightly ahead of the market. This price appreciation has brought the shares closer to our $75 price target and diminished the near-term upside potential for the stock. Accordingly, we are lowering our rating on the shares to NEUTRAL from Buy. As indicated below and detailed in the attached model, our financial projections for Fluor are unchanged. Our EPS estimates for the company are near the mid-point of management's guidance range for EPS of $3.85-$4.35 in 2013. Our projections represent a significant improvement from 2012, which included the impact of an adverse arbitration ruling.” Fluor Corporation closed on Thursday at $72.03.