The 11 Companies That Will Rebuild America's Aging Infrastructure
3. Chicago Bridge & Iron Co. N.V. (NYSE: CBI)
> Notable Projects: Georgia Power nuclear containment vessels, Valero Energy Diesel, Chevron Cabinda Gas Processing Complex Hydrotreater in Angola
> 2013 Revenue: $6.5 billion
> Employees: 18,000
> Dividend Yield: 0.4%
CB&I is about to be transformed. What was technically a Dutch company is spending about $3 billion to acquire the Shaw Group Inc. (NYSE: SHAW). CB&I is a key infrastructure player, with about 18,000 employees worldwide and a focus in oil and gas infrastructure, steel plate structures and plant manufacturing. Shaw Group is a vertically integrated player in energy, chemicals, environmental, infrastructure and emergency response industries, with about 25,000 employees. After this combination is finalized, the combined outfit may have about 40,000 employees after accounting for redundancies.
CB&I has a market value of about $4.7 billion and its sales are expected to be about $6.5 billion this year. Shaw has a market value of about $3.1 billion and is expected to have about $5.4 billion in annual sales. If America is going to get serious on its energy infrastructure ahead, CB&I stands to greatly win.
4. Emerson Electric Co. (NYSE: EMR)
> Notable Project: UCB’s $228 million construction of biopharma project in Switzerland
> 2013 Revenue: $25 billion
> Employees: 135,000
> Dividend Yield: 3.0%
Emerson is based in St. Louis, Missouri, and offers engineering and project management services for many industries and many government agencies. It manufactures major equipment for utilities and industry, power and telecom, heating and air-conditioning, network power, climate technologies and more. Emerson’s headcount is about 135,000 employees globally.
Emerson has a market value of roughly $39 billion, and it is expected to have $25 billion in sales in 2013, but the company projected that sales of $32 billion to $35 billion were possible in 2015.
5. Fluor Corp. (NYSE: FLR)
> Notable Project: DOE environmental cleanup of 586-square-mile Hanford site near Richland, Washington
> 2013 Revenue: $29.5 billion
> Employees: 43,000
> Dividend Yield: 1.0%
Fluor is based in Irving, Texas, and provides engineering, procurement, construction, maintenance and project management services to the oil and gas industries, industrial and infrastructure segments and the government. It has some 43,000 employees. Fluor has a market value of $10.4 billion, and it is projected to have annual sales of about $29.5 billion.
6. Great Lakes Dredge & Dock Corp. (NASDAQ: GLDD)
> Notable Project: Baltimore Harbor maintenance dredging
> 2013 Revenue: $800 million
> Employees: 396 full-time (2011)
> Dividend Yield: 0.9%
GLD&D is based in Oak Brook, Illinois, and is smaller than most infrastructure players. This company still has larger scale importance and could have real growth opportunities ahead due to its marine construction with dredging and commercial and industrial demolition operations. It supports the construction of breakwaters, jetties, canals and other marine structures, and it then gets ongoing maintenance of these projects.
GLD&D is the smallest of these potential winners, with a market value of only $570 million or so. Its annual revenues are expected to grow to almost $800 million this year.
7. Jacobs Engineering Group Inc. (NYSE: JEC)
> Notable Project: NASA testing/operations support services Kennedy Space Center
> 2013 Revenue: $13.1 billion
> Employees: 48,000
> Dividend Yield: N/A
Jacobs is based in Pasadena, California, and provides professional, technical and construction services for government, NASA, oil and gas, building projects, infrastructure and more. The company has about 48,000 workers and much of its effort is international. The market value of Jacobs is $5.9 billion and it is expected to have revenues of roughly $13.1 billion this year.