UPDATE: Canaccord Genuity Downgrades Fluor Corporation on Share Price Appreciation

In a report published Thursday, Canaccord Genuity analyst Yuri Lynk downgraded the rating on Fluor Corporation (NYSE: FLR) from Buy to Hold, but reiterated the $80.00 price target.

In the report, Canaccord Genuity noted, “Fluor checks virtually all of the boxes in terms of our top down view and what we look for in a long-term holding in the E&C space. However, strong share price appreciation causes us to move to a HOLD from a Buy rating. Fluor shares have appreciated 25% year-to-date, outpacing a 21% gain in the S&P 500 Index and a 21% increase in the S&P 500 Industrials Index. In our view, Fluor's valuation multiple appropriately balances potential upside associated with the gas-monetization build-out with downside associated with declining mining backlog and government headwinds. Given the 6% return implied by our US$80.00 one-year target price, we feel Fluor is best positioned as a HOLD.”

Fluor Corporation closed on Wednesday at $76.01.