FEDERAL SIGNAL CORP (FSS) Stock Fundamental Analysis

NYSE:FSS • US3138551086

117.63 USD
-1.79 (-1.5%)
At close: Feb 26, 2026
117.63 USD
0 (0%)
After Hours: 2/26/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

Taking everything into account, FSS scores 6 out of 10 in our fundamental rating. FSS was compared to 130 industry peers in the Machinery industry. FSS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. FSS is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • FSS had positive earnings in the past year.
  • FSS had a positive operating cash flow in the past year.
  • Of the past 5 years FSS 4 years were profitable.
  • Of the past 5 years FSS 4 years had a positive operating cash flow.
FSS Yearly Net Income VS EBIT VS OCF VS FCFFSS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M

1.2 Ratios

  • FSS has a Return On Assets of 12.16%. This is amongst the best in the industry. FSS outperforms 88.46% of its industry peers.
  • With an excellent Return On Equity value of 17.84%, FSS belongs to the best of the industry, outperforming 83.85% of the companies in the same industry.
  • FSS has a Return On Invested Capital of 15.81%. This is amongst the best in the industry. FSS outperforms 91.54% of its industry peers.
  • FSS had an Average Return On Invested Capital over the past 3 years of 12.32%. This is above the industry average of 10.27%.
  • The last Return On Invested Capital (15.81%) for FSS is above the 3 year average (12.32%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 12.16%
ROE 17.84%
ROIC 15.81%
ROA(3y)9.96%
ROA(5y)9.04%
ROE(3y)15.98%
ROE(5y)14.89%
ROIC(3y)12.32%
ROIC(5y)11.14%
FSS Yearly ROA, ROE, ROICFSS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15

1.3 Margins

  • FSS has a Profit Margin of 11.47%. This is in the better half of the industry: FSS outperforms 78.46% of its industry peers.
  • In the last couple of years the Profit Margin of FSS has grown nicely.
  • With a decent Operating Margin value of 16.08%, FSS is doing good in the industry, outperforming 76.15% of the companies in the same industry.
  • In the last couple of years the Operating Margin of FSS has grown nicely.
  • The Gross Margin of FSS (28.92%) is comparable to the rest of the industry.
  • FSS's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 16.08%
PM (TTM) 11.47%
GM 28.92%
OM growth 3Y12.91%
OM growth 5Y4.49%
PM growth 3Y11.9%
PM growth 5Y5.52%
GM growth 3Y6.36%
GM growth 5Y1.61%
FSS Yearly Profit, Operating, Gross MarginsFSS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20 25

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FSS is still creating some value.
  • There is no outstanding debt for FSS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
FSS Yearly Shares OutstandingFSS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M
FSS Yearly Total Debt VS Total AssetsFSS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B

2.2 Solvency

  • An Altman-Z score of 9.87 indicates that FSS is not in any danger for bankruptcy at the moment.
  • FSS's Altman-Z score of 9.87 is amongst the best of the industry. FSS outperforms 93.85% of its industry peers.
  • FSS has a debt to FCF ratio of 0.97. This is a very positive value and a sign of high solvency as it would only need 0.97 years to pay back of all of its debts.
  • FSS's Debt to FCF ratio of 0.97 is amongst the best of the industry. FSS outperforms 89.23% of its industry peers.
  • A Debt/Equity ratio of 0.15 indicates that FSS is not too dependend on debt financing.
  • FSS's Debt to Equity ratio of 0.15 is fine compared to the rest of the industry. FSS outperforms 72.31% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 0.97
Altman-Z 9.87
ROIC/WACC1.72
WACC9.18%
FSS Yearly LT Debt VS Equity VS FCFFSS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.3 Liquidity

  • FSS has a Current Ratio of 2.61. This indicates that FSS is financially healthy and has no problem in meeting its short term obligations.
  • The Current ratio of FSS (2.61) is better than 71.54% of its industry peers.
  • A Quick Ratio of 1.25 indicates that FSS should not have too much problems paying its short term obligations.
  • FSS has a Quick ratio of 1.25. This is comparable to the rest of the industry: FSS outperforms 49.23% of its industry peers.
Industry RankSector Rank
Current Ratio 2.61
Quick Ratio 1.25
FSS Yearly Current Assets VS Current LiabilitesFSS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 26.65% over the past year.
  • Measured over the past years, FSS shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.43% on average per year.
EPS 1Y (TTM)26.65%
EPS 3Y29.01%
EPS 5Y20.43%
EPS Q2Q%33.33%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%26.5%

3.2 Future

  • The Earnings Per Share is expected to grow by 10.95% on average over the next years. This is quite good.
  • FSS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.31% yearly.
EPS Next Y10.32%
EPS Next 2Y10.79%
EPS Next 3Y10.95%
EPS Next 5YN/A
Revenue Next Year15.95%
Revenue Next 2Y12.58%
Revenue Next 3Y10.88%
Revenue Next 5Y6.31%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
FSS Yearly Revenue VS EstimatesFSS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 500M 1B 1.5B 2B 2.5B
FSS Yearly EPS VS EstimatesFSS Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3 4 5

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Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 27.81, the valuation of FSS can be described as expensive.
  • FSS's Price/Earnings ratio is in line with the industry average.
  • FSS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
  • With a Price/Forward Earnings ratio of 25.21, FSS can be considered very expensive at the moment.
  • FSS's Price/Forward Earnings is on the same level as the industry average.
  • FSS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.13.
Industry RankSector Rank
PE 27.81
Fwd PE 25.21
FSS Price Earnings VS Forward Price EarningsFSS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • FSS's Enterprise Value to EBITDA ratio is in line with the industry average.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as FSS.
Industry RankSector Rank
P/FCF 32.56
EV/EBITDA 18.23
FSS Per share dataFSS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FSS does not grow enough to justify the current Price/Earnings ratio.
  • The excellent profitability rating of FSS may justify a higher PE ratio.
PEG (NY)2.69
PEG (5Y)1.36
EPS Next 2Y10.79%
EPS Next 3Y10.95%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • With a yearly dividend of 0.48%, FSS is not a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 1.19, FSS has a dividend in line with its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.80, FSS's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.48%

5.2 History

  • The dividend of FSS is nicely growing with an annual growth rate of 8.46%!
  • FSS has paid a dividend for at least 10 years, which is a reliable track record.
  • FSS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.46%
Div Incr Years2
Div Non Decr Years10
FSS Yearly Dividends per shareFSS Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.1 0.2 0.3 0.4 0.5

5.3 Sustainability

  • FSS pays out 13.95% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of FSS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP13.95%
EPS Next 2Y10.79%
EPS Next 3Y10.95%
FSS Yearly Income VS Free CF VS DividendFSS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M
FSS Dividend Payout.FSS Dividend Payout, showing the Payout Ratio.FSS Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

FEDERAL SIGNAL CORP

NYSE:FSS (2/26/2026, 8:04:00 PM)

After market: 117.63 0 (0%)

117.63

-1.79 (-1.5%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-25
Earnings (Next)04-28
Inst Owners103.4%
Inst Owner Change-1.85%
Ins Owners1.72%
Ins Owner Change-3.02%
Market Cap7.15B
Revenue(TTM)N/A
Net Income(TTM)235.80M
Analysts78
Price Target134.23 (14.11%)
Short Float %5.44%
Short Ratio7.28
Dividend
Industry RankSector Rank
Dividend Yield 0.48%
Yearly Dividend0.48
Dividend Growth(5Y)8.46%
DP13.95%
Div Incr Years2
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.21%
Min EPS beat(2)4.98%
Max EPS beat(2)9.43%
EPS beat(4)3
Avg EPS beat(4)4.03%
Min EPS beat(4)-1.15%
Max EPS beat(4)9.43%
EPS beat(8)7
Avg EPS beat(8)6.95%
EPS beat(12)11
Avg EPS beat(12)6.86%
EPS beat(16)14
Avg EPS beat(16)7.62%
Revenue beat(2)2
Avg Revenue beat(2)2.42%
Min Revenue beat(2)0.79%
Max Revenue beat(2)4.05%
Revenue beat(4)2
Avg Revenue beat(4)0.27%
Min Revenue beat(4)-3.02%
Max Revenue beat(4)4.05%
Revenue beat(8)3
Avg Revenue beat(8)0.11%
Revenue beat(12)7
Avg Revenue beat(12)0.82%
Revenue beat(16)8
Avg Revenue beat(16)0.58%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.81%
EPS NY rev (1m)0%
EPS NY rev (3m)1.23%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.42%
Valuation
Industry RankSector Rank
PE 27.81
Fwd PE 25.21
P/S 3.48
P/FCF 32.56
P/OCF 28.83
P/B 5.41
P/tB 12.28
EV/EBITDA 18.23
EPS(TTM)4.23
EY3.6%
EPS(NY)4.67
Fwd EY3.97%
FCF(TTM)3.61
FCFY3.07%
OCF(TTM)4.08
OCFY3.47%
SpS33.8
BVpS21.73
TBVpS9.58
PEG (NY)2.69
PEG (5Y)1.36
Graham Number45.48
Profitability
Industry RankSector Rank
ROA 12.16%
ROE 17.84%
ROCE 19.82%
ROIC 15.81%
ROICexc 16.34%
ROICexgc 30.17%
OM 16.08%
PM (TTM) 11.47%
GM 28.92%
FCFM 10.69%
ROA(3y)9.96%
ROA(5y)9.04%
ROE(3y)15.98%
ROE(5y)14.89%
ROIC(3y)12.32%
ROIC(5y)11.14%
ROICexc(3y)12.94%
ROICexc(5y)11.74%
ROICexgc(3y)25.46%
ROICexgc(5y)24.23%
ROCE(3y)15.45%
ROCE(5y)13.96%
ROICexgc growth 3Y14.81%
ROICexgc growth 5Y1.2%
ROICexc growth 3Y21.22%
ROICexc growth 5Y5.23%
OM growth 3Y12.91%
OM growth 5Y4.49%
PM growth 3Y11.9%
PM growth 5Y5.52%
GM growth 3Y6.36%
GM growth 5Y1.61%
F-Score7
Asset Turnover1.06
Health
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 0.97
Debt/EBITDA 0.49
Cap/Depr 37.12%
Cap/Sales 1.38%
Interest Coverage 250
Cash Conversion 60.96%
Profit Quality 93.17%
Current Ratio 2.61
Quick Ratio 1.25
Altman-Z 9.87
F-Score7
WACC9.18%
ROIC/WACC1.72
Cap/Depr(3y)69.74%
Cap/Depr(5y)69.95%
Cap/Sales(3y)2.54%
Cap/Sales(5y)2.67%
Profit Quality(3y)69.35%
Profit Quality(5y)76.55%
High Growth Momentum
Growth
EPS 1Y (TTM)26.65%
EPS 3Y29.01%
EPS 5Y20.43%
EPS Q2Q%33.33%
EPS Next Y10.32%
EPS Next 2Y10.79%
EPS Next 3Y10.95%
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%26.5%
Revenue Next Year15.95%
Revenue Next 2Y12.58%
Revenue Next 3Y10.88%
Revenue Next 5Y6.31%
EBIT growth 1Y20.31%
EBIT growth 3Y30.22%
EBIT growth 5Y13.68%
EBIT Next Year48.86%
EBIT Next 3Y23.62%
EBIT Next 5Y19.57%
FCF growth 1Y116.24%
FCF growth 3Y43.6%
FCF growth 5Y23.01%
OCF growth 1Y90.26%
OCF growth 3Y31.46%
OCF growth 5Y17.54%

FEDERAL SIGNAL CORP / FSS FAQ

What is the fundamental rating for FSS stock?

ChartMill assigns a fundamental rating of 6 / 10 to FSS.


Can you provide the valuation status for FEDERAL SIGNAL CORP?

ChartMill assigns a valuation rating of 3 / 10 to FEDERAL SIGNAL CORP (FSS). This can be considered as Overvalued.


Can you provide the profitability details for FEDERAL SIGNAL CORP?

FEDERAL SIGNAL CORP (FSS) has a profitability rating of 8 / 10.


What are the PE and PB ratios of FEDERAL SIGNAL CORP (FSS) stock?

The Price/Earnings (PE) ratio for FEDERAL SIGNAL CORP (FSS) is 27.81 and the Price/Book (PB) ratio is 5.41.


How sustainable is the dividend of FEDERAL SIGNAL CORP (FSS) stock?

The dividend rating of FEDERAL SIGNAL CORP (FSS) is 6 / 10 and the dividend payout ratio is 13.95%.