Federal Signal Corporation (NYSE:FSS) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Shares of Federal Signal Corporation (NYSE:FSS) have been given a consensus recommendation of “Moderate Buy” by the six analysts that are covering the stock, MarketBeat reports. Two equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company. The average 1 year price objective among brokers that have updated their coverage on the stock in the last year is $131.75.

A number of research firms have weighed in on FSS. Weiss Ratings reiterated a “buy (b-)” rating on shares of Federal Signal in a research note on Monday, December 29th. Wall Street Zen lowered Federal Signal from a “buy” rating to a “hold” rating in a report on Saturday, February 28th. KeyCorp upgraded Federal Signal from a “sector weight” rating to an “overweight” rating and set a $130.00 price target for the company in a research report on Tuesday, March 10th. Finally, CJS Securities raised Federal Signal from a “market perform” rating to a “market outperform” rating and set a $140.00 price target for the company in a report on Thursday, February 26th.

Institutional Trading of Federal Signal

A number of hedge funds have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC grew its position in Federal Signal by 140.6% during the second quarter. EverSource Wealth Advisors LLC now owns 243 shares of the conglomerate’s stock valued at $26,000 after buying an additional 142 shares during the period. Palladiem LLC acquired a new position in shares of Federal Signal in the fourth quarter worth about $27,000. Caitong International Asset Management Co. Ltd boosted its stake in shares of Federal Signal by 3,100.0% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 256 shares of the conglomerate’s stock worth $30,000 after acquiring an additional 248 shares in the last quarter. Covestor Ltd boosted its stake in shares of Federal Signal by 118.0% during the 4th quarter. Covestor Ltd now owns 279 shares of the conglomerate’s stock worth $30,000 after acquiring an additional 151 shares in the last quarter. Finally, MAI Capital Management grew its position in shares of Federal Signal by 1,003.8% during the 2nd quarter. MAI Capital Management now owns 287 shares of the conglomerate’s stock valued at $31,000 after acquiring an additional 261 shares during the period. 92.73% of the stock is owned by hedge funds and other institutional investors.

Federal Signal Stock Up 3.4%

NYSE:FSS opened at $112.25 on Wednesday. The company has a debt-to-equity ratio of 0.41, a current ratio of 3.02 and a quick ratio of 1.35. The company’s fifty day moving average price is $113.39 and its 200-day moving average price is $115.24. Federal Signal has a 1-year low of $66.47 and a 1-year high of $132.89. The firm has a market capitalization of $6.83 billion, a P/E ratio of 27.99, a PEG ratio of 1.64 and a beta of 1.32.

Federal Signal (NYSE:FSS) last posted its earnings results on Wednesday, February 25th. The conglomerate reported $1.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.08 by $0.08. Federal Signal had a net margin of 11.31% and a return on equity of 20.14%. The company had revenue of $597.10 million during the quarter, compared to the consensus estimate of $551.36 million. During the same period in the previous year, the firm posted $0.87 earnings per share. The firm’s quarterly revenue was up 26.5% on a year-over-year basis. Federal Signal has set its FY 2026 guidance at 4.500-4.800 EPS. As a group, equities research analysts anticipate that Federal Signal will post 3.34 EPS for the current year.

Federal Signal Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, March 26th. Stockholders of record on Friday, March 13th will be issued a dividend of $0.15 per share. This is a positive change from Federal Signal’s previous quarterly dividend of $0.14. The ex-dividend date of this dividend is Friday, March 13th. This represents a $0.60 annualized dividend and a dividend yield of 0.5%. Federal Signal’s payout ratio is presently 14.96%.

Federal Signal Company Profile

Federal Signal Corporation (NYSE: FSS), headquartered in Oak Brook, Illinois, is a diversified industrial company that designs, manufactures and markets a broad range of products and services for municipal, commercial and industrial customers worldwide. Founded in 1901 in Chicago, the company has grown through a combination of organic investment and strategic acquisitions to become a leading provider of environmental management and safety and security solutions.

Federal Signal operates through two primary business segments.