FEDERAL SIGNAL CORP (FSS) Fundamental Analysis & Valuation

NYSE:FSS • US3138551086

Current stock price

105.57 USD
+0.22 (+0.21%)
At close:
105.57 USD
0 (0%)
After Hours:

This FSS fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. FSS Profitability Analysis

1.1 Basic Checks

  • In the past year FSS was profitable.
  • In the past year FSS had a positive cash flow from operations.
  • FSS had positive earnings in each of the past 5 years.
  • Each year in the past 5 years FSS 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 2025 100M 200M 300M

1.2 Ratios

  • The Return On Assets of FSS (10.31%) is better than 83.97% of its industry peers.
  • With an excellent Return On Equity value of 17.84%, FSS belongs to the best of the industry, outperforming 82.44% of the companies in the same industry.
  • With an excellent Return On Invested Capital value of 13.36%, FSS belongs to the best of the industry, outperforming 83.97% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for FSS is above the industry average of 10.16%.
Industry RankSector Rank
ROA 10.31%
ROE 17.84%
ROIC 13.36%
ROA(3y)10.76%
ROA(5y)9.51%
ROE(3y)17.26%
ROE(5y)15.72%
ROIC(3y)13.52%
ROIC(5y)11.69%
FSS Yearly ROA, ROE, ROICFSS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • With a decent Profit Margin value of 11.31%, FSS is doing good in the industry, outperforming 77.86% of the companies in the same industry.
  • In the last couple of years the Profit Margin of FSS has grown nicely.
  • With a decent Operating Margin value of 16.37%, FSS is doing good in the industry, outperforming 77.86% of the companies in the same industry.
  • FSS's Operating Margin has improved in the last couple of years.
  • FSS's Gross Margin of 28.95% is in line compared to the rest of the industry. FSS outperforms 45.04% of its industry peers.
  • In the last couple of years the Gross Margin of FSS has grown nicely.
Industry RankSector Rank
OM 16.37%
PM (TTM) 11.31%
GM 28.95%
OM growth 3Y13.58%
OM growth 5Y6.55%
PM growth 3Y10.46%
PM growth 5Y5.86%
GM growth 3Y6.39%
GM growth 5Y2.2%
FSS Yearly Profit, Operating, Gross MarginsFSS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20 25

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. FSS Health Analysis

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.
  • The number of shares outstanding for FSS has been reduced compared to 1 year ago.
  • The number of shares outstanding for FSS has been increased compared to 5 years ago.
  • Compared to 1 year ago, FSS has a worse debt to assets ratio.
FSS Yearly Shares OutstandingFSS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 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 2025 500M 1B 1.5B 2B

2.2 Solvency

  • An Altman-Z score of 6.27 indicates that FSS is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 6.27, FSS belongs to the top of the industry, outperforming 83.21% of the companies in the same industry.
  • FSS has a debt to FCF ratio of 2.49. This is a good value and a sign of high solvency as FSS would need 2.49 years to pay back of all of its debts.
  • With a decent Debt to FCF ratio value of 2.49, FSS is doing good in the industry, outperforming 73.28% of the companies in the same industry.
  • A Debt/Equity ratio of 0.41 indicates that FSS is not too dependend on debt financing.
  • With a Debt to Equity ratio value of 0.41, FSS perfoms like the industry average, outperforming 56.49% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.41
Debt/FCF 2.49
Altman-Z 6.27
ROIC/WACC1.41
WACC9.48%
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 2025 200M 400M 600M 800M 1B

2.3 Liquidity

  • FSS has a Current Ratio of 3.02. This indicates that FSS is financially healthy and has no problem in meeting its short term obligations.
  • The Current ratio of FSS (3.02) is better than 77.86% of its industry peers.
  • A Quick Ratio of 1.35 indicates that FSS should not have too much problems paying its short term obligations.
  • With a Quick ratio value of 1.35, FSS perfoms like the industry average, outperforming 56.49% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 3.02
Quick Ratio 1.35
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 2025 200M 400M 600M 800M

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

6

3. FSS Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 26.65% over the past year.
  • FSS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.43% yearly.
  • The Revenue has grown by 17.14% in the past year. This is quite good.
  • FSS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.03% yearly.
EPS 1Y (TTM)26.65%
EPS 3Y29.01%
EPS 5Y20.43%
EPS Q2Q%33.33%
Revenue 1Y (TTM)17.14%
Revenue growth 3Y14.97%
Revenue growth 5Y14.03%
Sales Q2Q%26.5%

3.2 Future

  • FSS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.82% yearly.
  • Based on estimates for the next years, FSS will show a small growth in Revenue. The Revenue will grow by 6.31% on average per year.
EPS Next Y12.09%
EPS Next 2Y13.15%
EPS Next 3Y14.82%
EPS Next 5YN/A
Revenue Next Year22.47%
Revenue Next 2Y14.67%
Revenue Next 3Y13.58%
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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 1B 2B 3B
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 2 4 6

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3

4. FSS Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 24.96, the valuation of FSS can be described as rather expensive.
  • FSS's Price/Earnings ratio is in line with the industry average.
  • The average S&P500 Price/Earnings ratio is at 25.23. FSS is around the same levels.
  • With a Price/Forward Earnings ratio of 22.27, FSS is valued on the expensive side.
  • The rest of the industry has a similar Price/Forward Earnings ratio as FSS.
  • FSS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.28.
Industry RankSector Rank
PE 24.96
Fwd PE 22.27
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

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FSS is on the same level as its industry peers.
  • FSS's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 28.31
EV/EBITDA 15.81
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.
  • A more expensive valuation may be justified as FSS's earnings are expected to grow with 14.82% in the coming years.
PEG (NY)2.07
PEG (5Y)1.22
EPS Next 2Y13.15%
EPS Next 3Y14.82%

More info and screens

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

6

5. FSS Dividend Analysis

5.1 Amount

  • FSS has a yearly dividend return of 0.56%, which is pretty low.
  • Compared to an average industry Dividend Yield of 1.18, FSS has a dividend in line with its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.91, FSS's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.56%

5.2 History

  • On average, the dividend of FSS grows each year by 11.75%, which is quite nice.
  • FSS has been paying a dividend for at least 10 years, so it has 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)11.75%
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 2026 0.1 0.2 0.3 0.4 0.5

5.3 Sustainability

  • FSS pays out 13.83% of its income as dividend. This is a sustainable payout ratio.
  • FSS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP13.83%
EPS Next 2Y13.15%
EPS Next 3Y14.82%
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 2025 50M 100M 150M 200M
FSS Dividend Payout.FSS Dividend Payout, showing the Payout Ratio.FSS Dividend Payout.PayoutRetained Earnings

More info and screens

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FSS Fundamentals: All Metrics, Ratios and Statistics

FEDERAL SIGNAL CORP

NYSE:FSS (3/20/2026, 8:04:00 PM)

After market: 105.57 0 (0%)

105.57

+0.22 (+0.21%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-25
Earnings (Next)04-28
Inst Owners101.85%
Inst Owner Change-1.83%
Ins Owners1.72%
Ins Owner Change0.96%
Market Cap6.43B
Revenue(TTM)2.18B
Net Income(TTM)246.60M
Analysts78
Price Target134.23 (27.15%)
Short Float %5.35%
Short Ratio7.37
Dividend
Industry RankSector Rank
Dividend Yield 0.56%
Yearly Dividend0.56
Dividend Growth(5Y)11.75%
DP13.83%
Div Incr Years2
Div Non Decr Years10
Ex-Date03-13
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.21%
Min EPS beat(2)4.98%
Max EPS beat(2)7.44%
EPS beat(4)4
Avg EPS beat(4)6.17%
Min EPS beat(4)2.84%
Max EPS beat(4)9.43%
EPS beat(8)7
Avg EPS beat(8)6.43%
EPS beat(12)11
Avg EPS beat(12)7.48%
EPS beat(16)14
Avg EPS beat(16)7.82%
Revenue beat(2)2
Avg Revenue beat(2)4.58%
Min Revenue beat(2)0.79%
Max Revenue beat(2)8.37%
Revenue beat(4)3
Avg Revenue beat(4)3.12%
Min Revenue beat(4)-0.74%
Max Revenue beat(4)8.37%
Revenue beat(8)3
Avg Revenue beat(8)0.7%
Revenue beat(12)7
Avg Revenue beat(12)1.34%
Revenue beat(16)9
Avg Revenue beat(16)1.17%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-0.67%
EPS NQ rev (3m)-0.49%
EPS NY rev (1m)1.6%
EPS NY rev (3m)1.85%
Revenue NQ rev (1m)4.15%
Revenue NQ rev (3m)4.33%
Revenue NY rev (1m)5.62%
Revenue NY rev (3m)7.56%
Valuation
Industry RankSector Rank
PE 24.96
Fwd PE 22.27
P/S 2.95
P/FCF 28.31
P/OCF 25.24
P/B 4.65
P/tB 16.95
EV/EBITDA 15.81
EPS(TTM)4.23
EY4.01%
EPS(NY)4.74
Fwd EY4.49%
FCF(TTM)3.73
FCFY3.53%
OCF(TTM)4.18
OCFY3.96%
SpS35.81
BVpS22.7
TBVpS6.23
PEG (NY)2.07
PEG (5Y)1.22
Graham Number46.48
Profitability
Industry RankSector Rank
ROA 10.31%
ROE 17.84%
ROCE 16.91%
ROIC 13.36%
ROICexc 13.77%
ROICexgc 27%
OM 16.37%
PM (TTM) 11.31%
GM 28.95%
FCFM 10.42%
ROA(3y)10.76%
ROA(5y)9.51%
ROE(3y)17.26%
ROE(5y)15.72%
ROIC(3y)13.52%
ROIC(5y)11.69%
ROICexc(3y)14.15%
ROICexc(5y)12.2%
ROICexgc(3y)27.57%
ROICexgc(5y)24.46%
ROCE(3y)17.11%
ROCE(5y)14.81%
ROICexgc growth 3Y10.63%
ROICexgc growth 5Y1.8%
ROICexc growth 3Y12.14%
ROICexc growth 5Y4.83%
OM growth 3Y13.58%
OM growth 5Y6.55%
PM growth 3Y10.46%
PM growth 5Y5.86%
GM growth 3Y6.39%
GM growth 5Y2.2%
F-Score6
Asset Turnover0.91
Health
Industry RankSector Rank
Debt/Equity 0.41
Debt/FCF 2.49
Debt/EBITDA 1.29
Cap/Depr 34.29%
Cap/Sales 1.27%
Interest Coverage 24.96
Cash Conversion 58.23%
Profit Quality 92.09%
Current Ratio 3.02
Quick Ratio 1.35
Altman-Z 6.27
F-Score6
WACC9.48%
ROIC/WACC1.41
Cap/Depr(3y)48.88%
Cap/Depr(5y)63.54%
Cap/Sales(3y)1.74%
Cap/Sales(5y)2.4%
Profit Quality(3y)94.84%
Profit Quality(5y)72.83%
High Growth Momentum
Growth
EPS 1Y (TTM)26.65%
EPS 3Y29.01%
EPS 5Y20.43%
EPS Q2Q%33.33%
EPS Next Y12.09%
EPS Next 2Y13.15%
EPS Next 3Y14.82%
EPS Next 5YN/A
Revenue 1Y (TTM)17.14%
Revenue growth 3Y14.97%
Revenue growth 5Y14.03%
Sales Q2Q%26.5%
Revenue Next Year22.47%
Revenue Next 2Y14.67%
Revenue Next 3Y13.58%
Revenue Next 5Y6.31%
EBIT growth 1Y25.85%
EBIT growth 3Y30.58%
EBIT growth 5Y21.5%
EBIT Next Year43.6%
EBIT Next 3Y22.58%
EBIT Next 5YN/A
FCF growth 1Y19.09%
FCF growth 3Y129.45%
FCF growth 5Y16.35%
OCF growth 1Y10.12%
OCF growth 3Y52.51%
OCF growth 5Y13.34%

FEDERAL SIGNAL CORP / FSS Fundamental Analysis 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 24.96 and the Price/Book (PB) ratio is 4.65.


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 13.83%.