Arcosa, Inc. (ACA) vs Fluor Corporation (FLR)

Arcosa, Inc. and Fluor Corporation are both Engineering & Construction companies. Arcosa, Inc. and Fluor Corporation are of similar size ($7.2B and $6.9B). Fluor Corporation has negative trailing earnings, so its P/E is not meaningful; Arcosa, Inc. trades at 14.7×. Arcosa, Inc. grew revenue faster over the last twelve months: 16.7% against −4.78%. Arcosa, Inc. has the higher net margin (16.8% vs −12.9%) and the higher return on invested capital (5.49% vs −16.6%). Both pay a dividend; Arcosa, Inc. yields more (0.24% vs 0.23%). Across the 20 metrics below, Arcosa, Inc. leads on 17 and Fluor Corporation on 3.

Valuation

Metric ACA FLR Engineering & Construction median
P/E 14.66 n/m 28.59
P/S 2.47 0.45 1.15
P/B 2.41 2.51 3.96
Price to free cash flow 38.23 n/m 25.24
EV/EBITDA 14.17 n/m 14.87
EV/Sales 2.81 0.32 1.42
Earnings yield 6.82% (24.35%) 2.47%
Free cash flow yield 2.62% (2.93%) 1.91%

Profitability

Metric ACA FLR Engineering & Construction median
Gross margin 22.80% (0.80%) 18.76%
Operating margin 12.00% (1.39%) 6.26%
Net margin 16.84% (12.85%) 2.23%
Free cash flow margin 6.45% (1.32%) 1.83%
Return on equity 17.90% (45.56%) 7.90%
Return on assets 9.53% (20.66%) 0.87%
Return on invested capital 5.49% (16.58%) 2.52%

Growth

Metric ACA FLR Engineering & Construction median
Revenue growth (TTM) 16.67% (4.78%) 16.67%
EPS growth (last fiscal year) 121.99% (102.52%) —
Revenue growth, 5-year CAGR 8.30% (0.36%) 11.76%
Net income growth, 5-year CAGR 14.35% 0.00% 0.00%

Health

Metric ACA FLR Engineering & Construction median
Debt to equity 0.48 0.38 0.40
Current ratio 3.12 1.80 1.39
Net debt to EBITDA 2.32 8.72 0.38

Dividend

Metric ACA FLR Engineering & Construction median
Dividend yield 0.24% 0.23% 0.65%
Payout ratio 0.03 0.00 0.00

Size

Metric ACA FLR Engineering & Construction median
Market cap 7.20b 6.89b 1.31b

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