FSS Stock Analysis: Federal Signal | NYSE
Farm & Heavy Construction Machinery | NYSE, USA | Market Cap: 7.997m USD | 12M Return: 19.8% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 65.3M
EPS Trend: 99.6%
Qual. Beats: 5
Rev. Trend: 97.6%
Qual. Beats: 2
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 10.5 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: 270.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.12 > 0.02 and ΔFCF/TA 1.26 > 1.0 |
| NWC/Revenue: 24.28% < 20% (prev 20.33%; Δ 3.94% < -1%) |
| CFO/TA 0.13 > 3% & CFO 319.3m > Net Income 270.7m |
| Net Debt (545.0m) to EBITDA (458.3m): 1.19 < 3 |
| Current Ratio: 2.84 > 1.5 & < 3 |
| Outstanding Shares: last quarter (61.5m) vs 12m ago -0.49% < -2% |
| Gross Margin: 28.42% > 18% (prev 28.83%; Δ -0.40% > 0.5%) |
| Asset Turnover: 108.1% > 50% (prev 101.1%; Δ 6.98% > 0%) |
| Interest Coverage Ratio: 20.71 > 6 (EBIT TTM 372.7m / Interest Expense TTM 18.0m) |
| A: 0.23 (Total Current Assets 876.8m - Total Current Liabilities 308.2m) / Total Assets 2.45b |
| B: 0.56 (Retained Earnings 1.38b / Total Assets 2.45b) |
| C: 0.17 (EBIT TTM 372.7m / Avg Total Assets 2.17b) |
| D: 1.41 (Book Value of Equity 1.43b / Total Liabilities 1.02b) |
| Altman-Z'' = 5.98 = AAA |
| DSRI: 1.13 (Receivables 310.1m/223.2m, Revenue 2.34b/1.90b) |
| GMI: 1.01 (GM 28.83% / 28.42%) |
| AQI: 1.01 (AQ_t 0.51 / AQ_t-1 0.51) |
| SGI: 1.23 (Revenue 2.34b / 1.90b) |
| TATA: -0.02 (NI 270.7m - CFO 319.3m) / TA 2.45b) |
| Beneish M = -2.74 (Cap -4..+1) = A |
As of July 06, 2026, the stock is trading at USD 131.09 with a total of 952,300 shares traded. Over the past week, the price has changed by +3.24%, over one month by +23.10%, over three months by +20.30% and over the past year by +19.76%.
Current recommended Stop Loss: 126.10 (which is 3.8% or 1.2 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 | 9.5% |
P/E Trailing = 29.7932
P/E Forward = 27.248
P/S = 3.4141
P/B = 5.5746
P/EG = 1.9487
Revenue TTM = 2.34b USD
EBIT TTM = 372.7m USD
EBITDA TTM = 458.3m USD
Long Term Debt = 546.7m USD (from longTermDebt, last quarter)
Short Term Debt = 11.1m USD (from shortTermDebt, last quarter)
Debt = 616.4m USD (from shortLongTermDebtTotal, last quarter) + Leases 33.6m
Net Debt = 545.0m USD (calculated: Debt 616.4m - CCE 71.4m)
Enterprise Value = 8.54b USD (8.00b + Debt 616.4m - CCE 71.4m)
Interest Coverage Ratio = 20.71 (Ebit TTM 372.7m / Interest Expense TTM 18.0m)
EV/FCF = 29.39x (Enterprise Value 8.54b / FCF TTM 290.6m)
FCF Yield = 3.40% (FCF TTM 290.6m / Enterprise Value 8.54b)
FCF Margin = 12.41% (FCF TTM 290.6m / Revenue TTM 2.34b)
Net Margin = 11.56% (Net Income TTM 270.7m / Revenue TTM 2.34b)
Gross Margin = 28.42% ((Revenue TTM 2.34b - Cost of Revenue TTM 1.68b) / Revenue TTM)
Gross Margin QoQ = 27.96% (prev 27.50%)
Tobins Q-Ratio = 3.48 (Enterprise Value 8.54b / Total Assets 2.45b)
Interest Expense / Debt = 2.92% (Interest Expense 18.0m / Debt 616.4m)
Taxrate = 23.68% (84.0m / 354.7m)
NOPAT = 284.4m (EBIT 372.7m * (1 - 23.68%))
Current Ratio = 2.84 (Total Current Assets 876.8m / Total Current Liabilities 308.2m)
Debt / Equity = 0.43 (Debt 616.4m / totalStockholderEquity, last quarter 1.43b)
Debt / EBITDA = 1.19 (Net Debt 545.0m / EBITDA 458.3m)
Debt / FCF = 1.88 (Net Debt 545.0m / FCF TTM 290.6m)
Total Stockholder Equity = 1.35b (last 4 quarters mean from totalStockholderEquity)
RoA = 12.49% (Net Income 270.7m / Total Assets 2.45b)
RoE = 20.05% (Net Income TTM 270.7m / Total Stockholder Equity 1.35b)
RoCE = 19.65% (EBIT 372.7m / Capital Employed (Equity 1.35b + L.T.Debt 546.7m))
RoIC = 13.64% (NOPAT 284.4m / Invested Capital 2.09b)
WACC = 9.57% (E(8.00b)/V(8.61b) * Re(10.14%) + D(616.4m)/V(8.61b) * Rd(2.92%) * (1-Tc(0.24)))
Discount Rate = 10.14% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -18.40 | Cagr: -0.07%
[DCF] Terminal Value 74.11% ; FCFF base≈253.9m ; Y1≈291.1m ; Y5≈428.4m
[DCF] Fair Price = 77.99 (EV 5.30b - Net Debt 545.0m = Equity 4.76b / Shares 61.0m; r=9.57% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 99.59 | EPS CAGR: 28.59% | SUE: 4.0 | # QB: 5
Revenue Correlation: 97.58 | Revenue CAGR: 13.12% | SUE: 2.30 | # QB: 2
EPS current Quarter (2026-06-30): EPS=1.29 | Chg30d=+0.11% | Revisions=-22% | Analysts=7
EPS next Quarter (2026-09-30): EPS=1.27 | Chg30d=+0.11% | Revisions=+10% | Analysts=7
EPS current Year (2026-12-31): EPS=4.97 | Chg30d=+0.03% | Revisions=+70% | GrowthEPS=+17.5% | GrowthRev=+20.7%
EPS next Year (2027-12-31): EPS=5.55 | Chg30d=+0.10% | Revisions=+70% | GrowthEPS=+11.6% | GrowthRev=+6.3%
[Analyst] Revisions Ratio: +43% (up=20, down=7)