FSS Stock Analysis: Federal Signal | NYSE
Farm & Heavy Construction Machinery | NYSE, USA | Market Cap: 7.062m USD | 12M Return: -2.9% | US3138551086 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 46.4M
EPS Trend: 99.6%
Qual. Beats: 6
Rev. Trend: 96.9%
Qual. Beats: 0
Warnings
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: 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 (457.5m) to EBITDA (483.5m): 0.95 < 3 |
| Current Ratio: 2.74 > 1.5 & < 3 |
| Outstanding Shares: last quarter (61.5m) vs 12m ago 0.33% < -2% |
| Gross Margin: 29.17% > 18% (prev 29.04%; Δ 0.13% > 0.5%) |
| Asset Turnover: 112.4% > 50% (prev 103.1%; Δ 9.33% > 0%) |
| Interest Coverage Ratio: 19.18 > 6 (EBIT TTM 393.2m / 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: 0.18 (EBIT TTM 393.2m / Avg Total Assets 2.18b) |
| D: 1.62 (Book Value of Equity 1.51b / Total Liabilities 932.4m) |
| Altman-Z'' = 6.32 = AAA |
| DSRI: 0.98 (Receivables 288.8m/238.3m, Revenue 2.45b/1.97b) |
| GMI: 1.00 (GM 29.04% / 29.17%) |
| 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 = -2.71 (Cap -4..+1) = A |
As of September 29, 2026, the stock is trading at USD 115.01 with a total of 391,335 shares traded. Over the past week, the price has changed by -0.07%, over one month by -2.64%, over three months by -9.11% and over the past year by -2.87%.
Current recommended Stop Loss: 109.30 (which is 5% or 1.7 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 | 145.6 | 26.6% |
P/E Trailing = 24.8262
P/E Forward = 20.1207
P/S = 2.8849
P/B = 4.6599
P/EG = 1.4372
Revenue TTM = 2.45b USD
EBIT TTM = 393.2m USD
EBITDA TTM = 483.5m USD
Long Term Debt = 446.3m USD (from longTermDebt, last quarter)
Short Term Debt = 14.0m USD (from shortTermDebt, last quarter)
Debt = 520.3m USD (from shortLongTermDebtTotal, last quarter) + Leases 34.5m
Net Debt = 457.5m USD (calculated: Debt 520.3m - CCE 62.8m)
Enterprise Value = 7.52b USD (7.06b + Debt 520.3m - CCE 62.8m)
Interest Coverage Ratio = 19.18 (Ebit TTM 393.2m / Interest Expense TTM 20.5m)
EV/FCF = 22.17x (Enterprise Value 7.52b / FCF TTM 339.2m)
FCF Yield = 4.51% (FCF TTM 339.2m / Enterprise Value 7.52b)
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 = 29.17% ((Revenue TTM 2.45b - Cost of Revenue TTM 1.73b) / Revenue TTM)
Gross Margin QoQ = 30.41% (prev 28.68%)
Tobins Q-Ratio = 3.08 (Enterprise Value 7.52b / Total Assets 2.44b)
Interest Expense / Debt = 3.94% (Interest Expense 20.5m / Debt 520.3m)
Taxrate = 23.42% (87.3m / 372.7m)
NOPAT = 301.1m (EBIT 393.2m * (1 - 23.42%))
Current Ratio = 2.74 (Total Current Assets 856.9m / Total Current Liabilities 312.9m)
Debt / Equity = 0.35 (Debt 520.3m / totalStockholderEquity, last quarter 1.51b)
Debt / EBITDA = 0.95 (Net Debt 457.5m / EBITDA 483.5m)
Debt / FCF = 1.35 (Net Debt 457.5m / 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 = 21.17% (EBIT 393.2m / Capital Employed (Equity 1.41b + L.T.Debt 446.3m))
RoIC = 14.49% (NOPAT 301.1m / Invested Capital 2.08b)
WACC = 10.32% (E(7.06b)/V(7.58b) * Re(10.86%) + D(520.3m)/V(7.58b) * Rd(3.94%) * (1-Tc(0.23)))
Discount Rate = 10.86% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -52.49 | Cagr: -0.07%
[DCF] Terminal Value 71.86% ; FCFF base≈294.1m ; Y1≈337.2m ; Y5≈496.2m
[DCF] Fair Price = 83.21 (EV 5.54b - Net Debt 457.5m = Equity 5.08b / Shares 61.0m; r=10.32% [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=1.32 | Chg30d=+0.31% | Revisions=+67% | Analysts=8
EPS current Year (2026-12-31): EPS=5.23 | Chg30d=+0.60% | Revisions=+67% | GrowthEPS=+23.7% | GrowthRev=+21.0%
EPS next Year (2027-12-31): EPS=5.78 | Chg30d=+0.80% | Revisions=+70% | GrowthEPS=+10.5% | GrowthRev=+5.8%
[Analyst] Revisions Ratio: +86% (up=19, down=0)