FSS Stock Analysis: Federal Signal | NYSE
Farm & Heavy Construction Machinery | NYSE, USA | Market Cap: 7.253m USD | 12M Return: 4.2% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 59.6M
EPS Trend: 99.6%
Qual. Beats: 6
Rev. Trend: 96.9%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Federal Signal Corporation (NYSE: FSS) is a Downers Grove, Illinois-based industrial manufacturer that designs, produces, and supports a broad portfolio of vehicles, equipment, and integrated systems for municipal, governmental, industrial, and commercial customers in the United States, Canada, Europe, and other international markets. The company operates through two reporting segments: Environmental Solutions Group and Safety and Security Systems Group.
The Environmental Solutions Group supplies street sweepers, sewer cleaners, industrial vacuum loaders, safe-digging trucks, dump truck bodies, trailers, waterblasting, road-marking, line-removal, and metal extraction support equipment, as well as refuse and recycling collection vehicles, marketed under a large brand family that includes Elgin, Vactor, Guzzler, TRUVAC, Westech, Jetstream, Mark Rite Lines, and others. The Safety and Security Systems Group provides community alerting systems, emergency vehicle equipment, first responder interoperable communications, industrial communications, vehicle lightbars and sirens, public warning systems, and general alarm and public address equipment, sold under the Federal Signal, Federal Signal VAMA, and Victor brands through wholesalers, distributors, independent manufacturer representatives, original equipment manufacturers, a direct sales force, and independent foreign distributors.
Beyond new equipment, Federal Signals business model includes an aftermarket component covering parts, service and repair, equipment rentals, and customer training, which is a common source of recurring revenue for industrial machinery producers. Founded in 1901, the company sits within the Industrials sector and is classified in the Construction Machinery & Heavy Transportation Equipment sub-industry.
- Municipal infrastructure spending boosts street sweeper and sewer cleaner demand
- Acquisitions expand Environmental Solutions Group margins and product portfolio
- Aging fleet replacement cycle supports refuse and recycling vehicle orders
| Net Income: 285.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 2.08 > 1.0 |
| NWC/Revenue: 22.22% < 20% (prev 21.33%; Δ 0.90% < -1%) |
| CFO/TA 0.15 > 3% & CFO 372.5m > Net Income 285.4m |
| Net Debt (547.3m) to EBITDA (492.0m): 1.11 < 3 |
| Current Ratio: 2.74 > 1.5 & < 3 |
| Outstanding Shares: last quarter (61.5m) vs 12m ago 0.33% < -2% |
| Gross Margin: 28.59% > 18% (prev 29.04%; Δ -0.45% > 0.5%) |
| Asset Turnover: 112.4% > 50% (prev 103.1%; Δ 9.33% > 0%) |
| Interest Coverage Ratio: 20.07 > 6 (EBIT TTM 411.5m / Interest Expense TTM 20.5m) |
| A: 0.22 (Total Current Assets 856.9m - Total Current Liabilities 312.9m) / Total Assets 2.44b |
| B: 0.60 (Retained Earnings 1.45b / Total Assets 2.44b) |
| C: 0.19 (EBIT TTM 411.5m / Avg Total Assets 2.18b) |
| D: 1.62 (Book Value of Equity 1.51b / Total Liabilities 932.4m) |
| Altman-Z'' = 6.37 = AAA |
| DSRI: 0.98 (Receivables 288.8m/238.3m, Revenue 2.45b/1.97b) |
| GMI: 1.02 (GM 29.04% / 28.59%) |
| AQI: 1.29 (AQ_t 0.52 / AQ_t-1 0.40) |
| SGI: 1.24 (Revenue 2.45b / 1.97b) |
| TATA: -0.04 (NI 285.4m - CFO 372.5m) / TA 2.44b) |
| Beneish M = -2.69 (Cap -4..+1) = A |
As of August 04, 2026, the stock is trading at USD 129.12 with a total of 415,315 shares traded. Over the past week, the price has changed by +9.13%, over one month by -3.54%, over three months by +10.04% and over the past year by +4.16%.
Current recommended Stop Loss: 122.90 (which is 4.8% or 1.3 ATR below the current price).
Federal Signal has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy FSS.
- StrongBuy: 2
- Buy: 2
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 143.6 | 11.2% |
P/E Trailing = 25.4703
P/E Forward = 23.2558
P/S = 2.9334
P/B = 4.7569
P/EG = 1.6629
Revenue TTM = 2.45b USD
EBIT TTM = 411.5m USD
EBITDA TTM = 492.0m USD
Long Term Debt = 562.5m USD (from longTermDebt, last fiscal year)
Short Term Debt = 14.0m USD (from shortTermDebt, last quarter)
Debt = 610.1m USD (corrected: LT Debt 562.5m + ST Debt 14.0m) + Leases 33.6m
Net Debt = 547.3m USD (calculated: Debt 610.1m - CCE 62.8m)
Enterprise Value = 7.80b USD (7.25b + Debt 610.1m - CCE 62.8m)
Interest Coverage Ratio = 20.07 (Ebit TTM 411.5m / Interest Expense TTM 20.5m)
EV/FCF = 22.99x (Enterprise Value 7.80b / FCF TTM 339.2m)
FCF Yield = 4.35% (FCF TTM 339.2m / Enterprise Value 7.80b)
FCF Margin = 13.86% (FCF TTM 339.2m / Revenue TTM 2.45b)
Net Margin = 11.66% (Net Income TTM 285.4m / Revenue TTM 2.45b)
Gross Margin = 28.59% ((Revenue TTM 2.45b - Cost of Revenue TTM 1.75b) / Revenue TTM)
Gross Margin QoQ = 30.41% (prev 27.96%)
Tobins Q-Ratio = 3.20 (Enterprise Value 7.80b / Total Assets 2.44b)
Interest Expense / Debt = 3.36% (Interest Expense 20.5m / Debt 610.1m)
Taxrate = 23.42% (87.3m / 372.7m)
NOPAT = 315.1m (EBIT 411.5m * (1 - 23.42%))
Current Ratio = 2.74 (Total Current Assets 856.9m / Total Current Liabilities 312.9m)
Debt / Equity = 0.40 (Debt 610.1m / totalStockholderEquity, last quarter 1.51b)
Debt / EBITDA = 1.11 (Net Debt 547.3m / EBITDA 492.0m)
Debt / FCF = 1.61 (Net Debt 547.3m / FCF TTM 339.2m)
Total Stockholder Equity = 1.41b (last 4 quarters mean from totalStockholderEquity)
RoA = 13.10% (Net Income 285.4m / Total Assets 2.44b)
RoE = 20.22% (Net Income TTM 285.4m / Total Stockholder Equity 1.41b)
RoCE = 20.85% (EBIT 411.5m / Capital Employed (Equity 1.41b + L.T.Debt 562.5m))
RoIC = 15.16% (NOPAT 315.1m / Invested Capital 2.08b)
WACC = 10.01% (E(7.25b)/V(7.86b) * Re(10.64%) + D(610.1m)/V(7.86b) * Rd(3.36%) * (1-Tc(0.23)))
Discount Rate = 10.64% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -52.49 | Cagr: -0.07%
[DCF] Terminal Value 72.78% ; FCFF base≈294.1m ; Y1≈337.2m ; Y5≈496.2m
[DCF] Fair Price = 85.63 (EV 5.77b - Net Debt 547.3m = Equity 5.22b / Shares 61.0m; r=10.01% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 99.62 | EPS CAGR: 28.34% | SUE: 1.51 | # QB: 6
Revenue Correlation: 96.95 | Revenue CAGR: 13.99% | SUE: 0.13 | # QB: 0
EPS current Quarter (2026-09-30): EPS=1.28 | Chg30d=+0.87% | Revisions=+25% | Analysts=3
EPS current Year (2026-12-31): EPS=5.01 | Chg30d=+0.87% | Revisions=+25% | GrowthEPS=+18.5% | GrowthRev=+20.6%
EPS next Year (2027-12-31): EPS=5.54 | Chg30d=+0.04% | Revisions=+25% | GrowthEPS=+10.6% | GrowthRev=+6.5%
[Analyst] Revisions Ratio: +50% (up=3, down=0)