Federal Signal Corp FSS

IndustrialsMachinery, Tools, Heavy Vehicles, Trains & ShipsUnited States of America

Last close 117.01 USD on Nov 2, 2026, +8.2% year to date

Quant rating

Quant rating B Rank 99 of 486 in Industrials

Growth B 132 of 486
Valuation B 140 of 486
Quality A 57 of 486
Revisions C 232 of 486
Momentum C 242 of 486

Wall Street consensus Buy (2.00)Average target 139.79 USD +19.5%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 7.1B
Enterprise value: 7.5B
52-week range: 101.58 – 134.40
3-year range: 63.25 – 134.40
Dividend yield: 0.53%
Beta (5 years): 1.22
Shares outstanding: 61.0M
Next earnings: Feb 23, 2027

About the company

Federal Signal Corporation is a global designer, manufacturer and supplier of products and total solutions that serve municipal, governmental, industrial, and commercial customers. Its segments include Environmental Solutions Group (Environmental Solutions) and Safety and Security Systems Group (Safety and Security Systems). The Environmental Solutions segment manufactures and supplies a full range of street sweepers, sewer cleaners, industrial vacuum loaders, safe-digging trucks, high-performance water blasting equipment, road-marking and line-removal equipment, dump truck bodies, trailers, metal extraction support equipment, and multipurpose maintenance vehicles. The Safety and Security Systems segment manufactures and supplies systems and products that law enforcement, fire rescue, emergency medical services, campuses, military facilities, and industrial sites use to protect people and property. Its brands include Jetstream, Blasters, Federal Signal VAMA, and Victor, among others.

Growth and profitability fiscal year ends December 31

Growth and profitability by fiscal year
	2025	2024	2023	2022	2021	5Y avg
Revenue (mil)	2,180	1,862	1,723	1,435	1,213	–
Revenue growth	17.1%	8.1%	20.1%	18.3%	7.3%	14.0%
EPS (basic, normalized)	4.23	3.34	2.58	1.96	1.75	–
EPS growth	26.6%	29.5%	31.6%	12.0%	–	–
Gross margin	28.9%	28.6%	26.1%	24.0%	23.8%	26.3%
Net margin	11.3%	11.6%	9.1%	8.4%	8.3%	9.7%
ROE	19.2%	19.8%	16.9%	14.6%	13.5%	16.8%

Balance sheet, last quarter
Cash & short-term investments (mil)	73.7
Current ratio	2.97x
Long-term debt (mil)	420
Net debt (mil)	347
Total equity (mil)	1,579
Net debt / equity	0.22x
Net debt / EBITDA	0.79x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2025 actual	2,180	+17.1%	3.4x	439	+24.5%	17.1x	4.23	+26.6%	27.7x
2026	2,628	+20.5%	2.8x	547	+24.6%	13.7x	5.25	+24.1%	22.3x
2027	2,793	+6.3%	2.7x	592	+8.3%	12.6x	5.78	+10.2%	20.2x
2028	3,019	+8.1%	2.5x	648	+9.4%	11.6x	6.46	+11.7%	18.1x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2026	2,628	−0.4%	−0.5%	−0.2%	5.25	+0.4%	+1.0%	+5.6%
2027	2,793	0.0%	−0.2%	−0.2%	5.78	+0.6%	+0.9%	+4.3%
2028	3,019	−0.5%	−2.8%	−2.8%	6.46	−0.7%	−2.3%	−0.9%

Earnings surprises EPS beat in 4 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	425	490	474	472	464	565	555	597	626	670
Sales mean (mil)	426	486	482	482	463	537	545	546	579	667
Surprise	−0.2%	+0.9%	−1.5%	−2.1%	+0.3%	+5.1%	+1.8%	+9.5%	+8.0%	+0.5%
EPS reported	0.64	0.95	0.88	0.87	0.76	1.17	1.14	1.16	1.18	1.42
EPS mean	0.57	0.84	0.84	0.87	0.73	1.06	1.08	1.07	0.89	1.29
Surprise	+13.2%	+12.6%	+5.3%	−0.2%	+3.9%	+10.5%	+6.0%	+8.5%	+32.4%	+10.3%

Peer comparison Machinery, Tools, Heavy Vehicles, Trains & Ships

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
FSS Federal Signal Corp	7.1B	0.79x	11.3%	4.52x	22.3x	20.2x	13.7x	12.6x
CAT Caterpillar Inc	282.1B	2.87x	13.1%	13.13x	22.5x	19.0x	18.2x	15.5x
DE Deere & Co	180.0B	6.48x	11.0%	6.43x	36.9x	29.4x	31.9x	27.1x
PCAR Paccar Inc	54.1B	1.93x	8.4%	2.58x	17.4x	14.9x	15.6x	13.8x
AME AMETEK Inc	55.5B	0.65x	20.0%	4.93x	28.9x	25.7x	21.4x	18.5x
DOV Dover Corporation	28.7B	0.78x	13.6%	3.76x	20.1x	18.3x	14.8x	13.6x
Mean		2.25x	12.9%	5.89x	24.7x	21.2x	19.3x	16.9x
Median		1.36x	12.2%	4.72x	22.4x	19.6x	16.9x	14.7x

Technical analysis

1M+0.6%
3M−6.2%
1Y−0.3%
3Y+88.1%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Federal Signal Corp, fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Total revenue	2,180	1,862	1,723	1,435	1,213	1,131
Cost of revenue	1,549	1,328	1,272	1,090	924	837
Gross profit	631	533	450	345	289	294
Selling, general & administrative expenses	242	222	198	160	138	147
Research & development	13.4	12.4	12.4	11.5	11.4	12.2
Depreciation/amortization	18.4	15.0	15.2	12.9	10.9	–
Interest expense (income), operating	–	–	–	–	–	–
Unusual expense (income)	16.0	6.4	0.4	−0.4	8.2	3.4
Other operating expenses	0	0	0	0	0	0
Operating income	341	278	224	161	120	131
Net interest income (expense)	−14.1	−12.5	−19.7	−10.3	−4.5	−5.7
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	−2.3	−1.2	−1.8	0.5	1.7	−1.1
Net income before taxes	324	264	203	151	118	125
Provision for taxes	77.9	47.6	45.6	30.5	17.0	28.5
Minority interest	–	–	–	–	–	–
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	247	216	157	120	101	96.1
Extraordinary items	–	–	–	0	0	0.1
Net income	247	216	157	120	101	96.2
EBIT, normalized	357	284	225	160	131	137
EBITDA, normalized	437	349	285	215	181	182
Basic EPS, normalized	4.23	3.34	2.58	1.96	1.75	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Federal Signal Corp, fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Assets
Cash & short-term investments	63.7	91.1	61.0	47.5	40.5	81.7
Receivables	292	196	186	174	136	127
Total inventory	472	331	303	293	229	185
Prepaid expenses	26.3	24.0	19.6	17.4	25.4	11.8
Other current assets	0	0	0	0	0	0
Total current assets	854	642	570	531	431	406
Property, plant & equipment	506	420	347	313	280	242
Goodwill	620	478	473	453	432	394
Intangibles	383	200	208	208	206	154
Long-term investments	–	–	–	–	–	–
Note receivable	–	–	–	–	–	–
Other long-term assets	30.4	25.4	23.5	18.2	17.1	13.5
Total assets	2,393	1,765	1,620	1,524	1,366	1,209
Liabilities
Accounts payable	98.0	79.0	66.7	72.4	64.8	51.6
Payable/accrued	–	–	–	–	–	–
Accrued expenses	121	108	97.3	81.2	83.1	83.2
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	0.5	19.4	4.7	1.5	0.6	0.2
Other current liabilities	62.7	35.0	27.1	25.4	21.9	13.4
Total current liabilities	282	242	196	180	170	148
Long-term debt	565	204	294	362	282	210
Minority interest	–	–	–	–	–	–
Other liabilities	164	133	128	121	130	148
Total liabilities	1,011	579	619	663	582	507
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	70.8	70.3	70.0	69.5	68.9	67.8
Additional paid-in capital	330	310	291	272	257	241
Retained earnings (accumulated deficit)	1,315	1,103	916	782	684	605
Treasury stock	−264	−208	−194	−179	−151	−120
Other equity	−71.0	−89.0	−81.3	−84.0	−74.2	−91.7
Total equity	1,382	1,186	1,002	861	784	702
Total liabilities & shareholders' equity	2,393	1,765	1,620	1,524	1,366	1,209

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Federal Signal Corp, fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Operating activities
Net income	247	216	157	120	101	96.2
Depreciation, depletion & amortization	80.5	65.3	60.4	54.7	50.4	44.8
Deferred taxes	13.9	4.9	−0.3	−4.2	−6.5	5.8
Non-cash items	21.9	14.5	7.3	9.2	10.9	1.8
Changes in working capital	−108	−69.7	−30.4	−108	−53.6	−12.4
Cash from operations	255	231	194	71.8	102	136
Investing activities
Capital expenditures	−27.6	−40.6	−30.3	−53.0	−37.4	−29.7
Other investing cash flows	−500	−38.3	−53.4	−46.7	−131	−4.7
Cash from investing	−528	−78.9	−83.7	−99.7	−169	−34.4
Financing activities
Financing cash flow items	−31.4	−4.6	−3.7	−7.8	−6.7	−8.5
Cash dividends paid	−34.1	−29.3	−23.8	−21.8	−22.0	−19.4
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	310	−87.1	−70.4	65.1	55.1	−25.5
Cash from financing	244	−121	−97.9	35.5	26.4	−53.4
Foreign exchange effects	1.3	−1.3	0.7	−0.6	−0.7	1.7
Net change in cash	−27.4	30.1	13.5	7.0	−41.2	50.1
Free cash flow	227	191	164	18.8	64.4	106

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 2, 2026 after market close.