FSS Stock Analysis: Federal Signal | NYSE
Farm & Heavy Construction Machinery | NYSE, USA | Market Cap: 7.033m USD | 12M Return: 2% | US3138551086 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 54.2M
EPS Trend: 99.6%
Qual. Beats: 0
Rev. Trend: 97.2%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 11.7 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 an industrial manufacturer that designs, produces, and supplies a broad range of equipment and integrated solutions for municipal, governmental, industrial, and commercial customers across the U.S., Canada, Europe, and other international markets. The company operates through two business segments: the Environmental Solutions Group and the Safety and Security Systems Group.
Under the Environmental Solutions Group, the company offers a diversified portfolio of specialized vehicles and equipment, including street sweepers, sewer cleaners, industrial vacuum loaders, safe-digging trucks, dump truck bodies, trailers, waterblasting and road-marking equipment, line-removal tools, metal extraction support equipment, and multi-purpose maintenance vehicles. These are sold under a wide array of recognized brands such as ELGIN, VACTOR, GUZZLER, TRUVAC, WESTECH, JETSTREAM, BLASTERS, MARK RITE LINES, HOG, NEW WAY, TRACKLESS, OX BODIES, CRYSTEEL, J-CRAFT, DURACLASS, RUGBY, TRAVIS, OSW, NTE, WTB, GROUND FORCE, TOWHAUL, BUCKS, and SWITCH-N-GO. Refuse and recycling collection vehicles are distributed through a dealer network as well as via direct relationships with service customers.
The Safety and Security Systems Group focuses on public safety and industrial communications, offering community alerting systems, emergency vehicle equipment, first responder interoperable communications, and industrial communication systems. The segment also supplies public safety equipment such as vehicle lightbars and sirens, industrial signaling equipment, public warning systems, and general alarm/public address systems under the Federal Signal, Federal Signal VAMA, and Victor brand names. These products are sold through wholesalers, distributors, independent manufacturer representatives, original equipment manufacturers (OEMs), the companys direct sales force, and independent foreign distributors.
In addition to equipment sales, the company generates recurring revenue through the sale of parts, service and repair, equipment rentals, and training programs. Federal Signal Corporation was founded in 1901 and is headquartered in Downers Grove, Illinois.
- Environmental Solutions backlog expands on federal infrastructure spending
- Pricing actions and bolt-on acquisitions expand consolidated operating margins
- Municipal government capex cycles drive sweeper and refuse vehicle demand
| Net Income: 296.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.15 > 0.02 and ΔFCF/TA 3.54 > 1.0 |
| NWC/Revenue: 22.50% < 20% (prev 21.18%; Δ 1.32% < -1%) |
| CFO/TA 0.16 > 3% & CFO 402.8m > Net Income 296.9m |
| Net Debt (532.6m) to EBITDA (505.6m): 1.05 < 3 |
| Current Ratio: 2.97 > 1.5 & < 3 |
| Outstanding Shares: last quarter (61.5m) vs 12m ago 0.16% < -2% |
| Gross Margin: 29.10% > 18% (prev 28.92%; Δ 0.18% > 0.5%) |
| Asset Turnover: 116.0% > 50% (prev 106.0%; Δ 9.99% > 0%) |
| Interest Coverage Ratio: 17.84 > 6 (EBIT TTM 410.3m / Interest Expense TTM 23.0m) |
| A: 0.23 (Total Current Assets 865.2m - Total Current Liabilities 291.8m) / Total Assets 2.45b |
| B: 0.62 (Retained Earnings 1.52b / Total Assets 2.45b) |
| C: 0.19 (EBIT TTM 410.3m / Avg Total Assets 2.20b) |
| D: 1.80 (Book Value of Equity 1.58b / Total Liabilities 875.7m) |
| Altman-Z'' = 6.70 = AAA |
| DSRI: 0.92 (Receivables 300.1m/263.6m, Revenue 2.55b/2.06b) |
| GMI: 0.99 (GM 28.92% / 29.10%) |
| AQI: 0.86 (AQ_t 0.43 / AQ_t-1 0.50) |
| SGI: 1.24 (Revenue 2.55b / 2.06b) |
| TATA: -0.04 (NI 296.9m - CFO 402.8m) / TA 2.45b) |
| Beneish M = -3.01 (Cap -4..+1) = AA |
As of November 03, 2026, the stock is trading at USD 117.01 with a total of 517,366 shares traded. Over the past week, the price has changed by +2.51%, over one month by +0.58%, over three months by -9.27% and over the past year by +2.00%.
Current recommended Stop Loss: 108.20 (which is 7.5% or 2 ATR below the current price).
Federal Signal has received a consensus analysts rating of 4.43. Therefore, it is recommended to buy FSS.
- StrongBuy: 4
- Buy: 2
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 144.3 | 23.3% |
P/E Trailing = 24.8297
P/E Forward = 19.8413
P/S = 2.8729
P/B = 4.5935
P/EG = 1.4167
Revenue TTM = 2.55b USD
EBIT TTM = 410.3m USD
EBITDA TTM = 505.6m USD
Long Term Debt = 562.5m USD (from longTermDebt, last fiscal year)
Short Term Debt = 9.30m USD (from shortTermDebt, last quarter)
Debt = 606.3m USD (corrected: LT Debt 562.5m + ST Debt 9.30m) + Leases 34.5m
Net Debt = 532.6m USD (calculated: Debt 606.3m - CCE 73.7m)
Enterprise Value = 7.57b USD (7.03b + Debt 606.3m - CCE 73.7m)
Interest Coverage Ratio = 17.84 (Ebit TTM 410.3m / Interest Expense TTM 23.0m)
EV/FCF = 20.72x (Enterprise Value 7.57b / FCF TTM 365.1m)
FCF Yield = 4.83% (FCF TTM 365.1m / Enterprise Value 7.57b)
FCF Margin = 14.33% (FCF TTM 365.1m / Revenue TTM 2.55b)
Net Margin = 11.65% (Net Income TTM 296.9m / Revenue TTM 2.55b)
Gross Margin = 29.10% ((Revenue TTM 2.55b - Cost of Revenue TTM 1.81b) / Revenue TTM)
Gross Margin QoQ = 28.86% (prev 30.41%)
Tobins Q-Ratio = 3.08 (Enterprise Value 7.57b / Total Assets 2.45b)
Interest Expense / Debt = 3.79% (Interest Expense 23.0m / Debt 606.3m)
Taxrate = 23.34% (90.4m / 387.3m)
NOPAT = 314.5m (EBIT 410.3m * (1 - 23.34%))
Current Ratio = 2.97 (Total Current Assets 865.2m / Total Current Liabilities 291.8m)
Debt / Equity = 0.38 (Debt 606.3m / totalStockholderEquity, last quarter 1.58b)
Debt / EBITDA = 1.05 (Net Debt 532.6m / EBITDA 505.6m)
Debt / FCF = 1.46 (Net Debt 532.6m / FCF TTM 365.1m)
Total Stockholder Equity = 1.48b (last 4 quarters mean from totalStockholderEquity)
RoA = 13.52% (Net Income 296.9m / Total Assets 2.45b)
RoE = 20.12% (Net Income TTM 296.9m / Total Stockholder Equity 1.48b)
RoCE = 20.13% (EBIT 410.3m / Capital Employed (Equity 1.48b + L.T.Debt 562.5m))
RoIC = 14.99% (NOPAT 314.5m / Invested Capital 2.10b)
WACC = 9.46% (E(7.03b)/V(7.64b) * Re(10.03%) + D(606.3m)/V(7.64b) * Rd(3.79%) * (1-Tc(0.23)))
Discount Rate = 10.03% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -58.76 | Cagr: -0.14%
[DCF] Terminal Value 74.45% ; FCFF base≈306.9m ; Y1≈351.9m ; Y5≈517.8m
[DCF] Fair Price = 97.98 (EV 6.51b - Net Debt 532.6m = Equity 5.98b / Shares 61.0m; r=9.46% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 99.62 | EPS CAGR: 27.86% | SUE: 0.21 | # QB: 0
Revenue Correlation: 97.19 | Revenue CAGR: 15.43% | SUE: -0.26 | # QB: 0
EPS current Quarter (2027-03-31): EPS=1.25 | Chg30d=+0.00% | Revisions=+29% | Analysts=6
EPS current Year (2026-12-31): EPS=5.23 | Chg30d=+0.00% | Revisions=+67% | GrowthEPS=+23.7% | GrowthRev=+21.0%
EPS next Year (2027-12-31): EPS=5.78 | Chg30d=+0.00% | Revisions=+70% | GrowthEPS=+10.5% | GrowthRev=+5.8%
[Analyst] Revisions Ratio: +75% (up=16, down=1)