PARSONS CORP (PSN) Fundamental Analysis & Valuation

NYSE:PSN • US70202L1026

Current stock price

56.01 USD
-1.12 (-1.96%)
At close:
55.8 USD
-0.21 (-0.37%)
After Hours:

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

5

1. PSN Profitability Analysis

1.1 Basic Checks

  • PSN had positive earnings in the past year.
  • PSN had a positive operating cash flow in the past year.
  • In the past 5 years PSN has always been profitable.
  • Each year in the past 5 years PSN had a positive operating cash flow.
PSN Yearly Net Income VS EBIT VS OCF VS FCFPSN 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 0 100M 200M 300M 400M 500M

1.2 Ratios

  • PSN has a Return On Assets (4.18%) which is in line with its industry peers.
  • PSN has a Return On Equity (9.13%) which is in line with its industry peers.
  • With a Return On Invested Capital value of 7.83%, PSN perfoms like the industry average, outperforming 56.98% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for PSN is below the industry average of 13.03%.
Industry RankSector Rank
ROA 4.18%
ROE 9.13%
ROIC 7.83%
ROA(3y)3.94%
ROA(5y)3.16%
ROE(3y)8.63%
ROE(5y)6.8%
ROIC(3y)8.23%
ROIC(5y)6.36%
PSN Yearly ROA, ROE, ROICPSN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • PSN has a Profit Margin (3.79%) which is in line with its industry peers.
  • PSN's Profit Margin has improved in the last couple of years.
  • PSN has a Operating Margin of 6.53%. This is comparable to the rest of the industry: PSN outperforms 56.98% of its industry peers.
  • In the last couple of years the Operating Margin of PSN has grown nicely.
  • Looking at the Gross Margin, with a value of 22.49%, PSN is doing worse than 69.77% of the companies in the same industry.
  • PSN's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 6.53%
PM (TTM) 3.79%
GM 22.49%
OM growth 3Y17.37%
OM growth 5Y10.8%
PM growth 3Y18.02%
PM growth 5Y8.55%
GM growth 3Y-0.11%
GM growth 5Y0.1%
PSN Yearly Profit, Operating, Gross MarginsPSN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10 15 20

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. PSN Health Analysis

2.1 Basic Checks

  • PSN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • PSN has about the same amout of shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, PSN has more shares outstanding
  • Compared to 1 year ago, PSN has an improved debt to assets ratio.
PSN Yearly Shares OutstandingPSN Yearly Shares OutstandingYearly Shares Outstanding 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M
PSN Yearly Total Debt VS Total AssetsPSN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

2.2 Solvency

  • PSN has an Altman-Z score of 2.89. This is not the best score and indicates that PSN is in the grey zone with still only limited risk for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 2.89, PSN is in line with its industry, outperforming 58.14% of the companies in the same industry.
  • PSN has a debt to FCF ratio of 3.04. This is a good value and a sign of high solvency as PSN would need 3.04 years to pay back of all of its debts.
  • The Debt to FCF ratio of PSN (3.04) is comparable to the rest of the industry.
  • A Debt/Equity ratio of 0.47 indicates that PSN is not too dependend on debt financing.
  • PSN has a Debt to Equity ratio (0.47) which is in line with its industry peers.
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF 3.04
Altman-Z 2.89
ROIC/WACC0.99
WACC7.89%
PSN Yearly LT Debt VS Equity VS FCFPSN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

2.3 Liquidity

  • PSN has a Current Ratio of 1.75. This is a normal value and indicates that PSN is financially healthy and should not expect problems in meeting its short term obligations.
  • PSN's Current ratio of 1.75 is fine compared to the rest of the industry. PSN outperforms 60.47% of its industry peers.
  • PSN has a Quick Ratio of 1.75. This is a normal value and indicates that PSN is financially healthy and should not expect problems in meeting its short term obligations.
  • PSN has a Quick ratio of 1.75. This is in the better half of the industry: PSN outperforms 60.47% of its industry peers.
Industry RankSector Rank
Current Ratio 1.75
Quick Ratio 1.75
PSN Yearly Current Assets VS Current LiabilitesPSN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

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

4

3. PSN Growth Analysis

3.1 Past

  • The earnings per share for PSN have decreased by -3.06% in the last year.
  • Measured over the past years, PSN shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.72% on average per year.
  • PSN shows a decrease in Revenue. In the last year, the revenue decreased by -5.72%.
  • PSN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.18% yearly.
EPS 1Y (TTM)-3.06%
EPS 3Y20.76%
EPS 5Y26.72%
EPS Q2Q%-3.85%
Revenue 1Y (TTM)-5.72%
Revenue growth 3Y14.9%
Revenue growth 5Y10.18%
Sales Q2Q%-7.52%

3.2 Future

  • Based on estimates for the next years, PSN will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.89% on average per year.
  • Based on estimates for the next years, PSN will show a small growth in Revenue. The Revenue will grow by 5.49% on average per year.
EPS Next Y4.16%
EPS Next 2Y8.79%
EPS Next 3Y10.89%
EPS Next 5YN/A
Revenue Next Year3.59%
Revenue Next 2Y5.57%
Revenue Next 3Y5.49%
Revenue Next 5YN/A

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
PSN Yearly Revenue VS EstimatesPSN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2B 4B 6B
PSN Yearly EPS VS EstimatesPSN Yearly EPS VS EstimatesYearly EPS VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3 4

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Find the best growth stocksShow best growing peers

4

4. PSN Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 17.67, which indicates a rather expensive current valuation of PSN.
  • Based on the Price/Earnings ratio, PSN is valued a bit cheaper than the industry average as 61.63% of the companies are valued more expensively.
  • When comparing the Price/Earnings ratio of PSN to the average of the S&P500 Index (26.86), we can say PSN is valued slightly cheaper.
  • The Price/Forward Earnings ratio is 16.96, which indicates a correct valuation of PSN.
  • PSN's Price/Forward Earnings ratio is in line with the industry average.
  • PSN is valuated cheaply when we compare the Price/Forward Earnings ratio to 37.39, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 17.67
Fwd PE 16.96
PSN Price Earnings VS Forward Price EarningsPSN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as PSN.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of PSN indicates a somewhat cheap valuation: PSN is cheaper than 65.12% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 14.6
EV/EBITDA 12.73
PSN Per share dataPSN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40 50

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PSN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)4.25
PEG (5Y)0.66
EPS Next 2Y8.79%
EPS Next 3Y10.89%

More info and screens

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

0

5. PSN Dividend Analysis

5.1 Amount

  • PSN does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

PSN Fundamentals: All Metrics, Ratios and Statistics

PARSONS CORP

NYSE:PSN (4/10/2026, 8:04:00 PM)

After market: 55.8 -0.21 (-0.37%)

56.01

-1.12 (-1.96%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)02-11
Earnings (Next)04-29
Inst Owners119.68%
Inst Owner Change-0.01%
Ins Owners1.31%
Ins Owner Change17.41%
Market Cap5.99B
Revenue(TTM)6.36B
Net Income(TTM)241.14M
Analysts82.22
Price Target80.72 (44.12%)
Short Float %4.38%
Short Ratio3.52
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.59%
Min EPS beat(2)-6.2%
Max EPS beat(2)13.38%
EPS beat(4)3
Avg EPS beat(4)3.96%
Min EPS beat(4)-6.2%
Max EPS beat(4)13.38%
EPS beat(8)6
Avg EPS beat(8)6.14%
EPS beat(12)9
Avg EPS beat(12)7.68%
EPS beat(16)10
Avg EPS beat(16)5.16%
Revenue beat(2)0
Avg Revenue beat(2)-4.17%
Min Revenue beat(2)-4.76%
Max Revenue beat(2)-3.58%
Revenue beat(4)0
Avg Revenue beat(4)-3.88%
Min Revenue beat(4)-5.34%
Max Revenue beat(4)-1.84%
Revenue beat(8)3
Avg Revenue beat(8)1.17%
Revenue beat(12)7
Avg Revenue beat(12)5.07%
Revenue beat(16)11
Avg Revenue beat(16)5.27%
PT rev (1m)-4.46%
PT rev (3m)-8.04%
EPS NQ rev (1m)-0.44%
EPS NQ rev (3m)-10.38%
EPS NY rev (1m)-0.93%
EPS NY rev (3m)-4.45%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-3.68%
Revenue NY rev (1m)-0.3%
Revenue NY rev (3m)-0.87%
Valuation
Industry RankSector Rank
PE 17.67
Fwd PE 16.96
P/S 0.94
P/FCF 14.6
P/OCF 12.53
P/B 2.27
P/tB 46.29
EV/EBITDA 12.73
EPS(TTM)3.17
EY5.66%
EPS(NY)3.3
Fwd EY5.9%
FCF(TTM)3.84
FCFY6.85%
OCF(TTM)4.47
OCFY7.98%
SpS59.47
BVpS24.69
TBVpS1.21
PEG (NY)4.25
PEG (5Y)0.66
Graham Number41.96
Profitability
Industry RankSector Rank
ROA 4.18%
ROE 9.13%
ROCE 9.8%
ROIC 7.83%
ROICexc 8.8%
ROICexgc 26.37%
OM 6.53%
PM (TTM) 3.79%
GM 22.49%
FCFM 6.45%
ROA(3y)3.94%
ROA(5y)3.16%
ROE(3y)8.63%
ROE(5y)6.8%
ROIC(3y)8.23%
ROIC(5y)6.36%
ROICexc(3y)9.16%
ROICexc(5y)7.07%
ROICexgc(3y)27.76%
ROICexgc(5y)21.45%
ROCE(3y)10.78%
ROCE(5y)8.25%
ROICexgc growth 3Y21.1%
ROICexgc growth 5Y11.74%
ROICexc growth 3Y22.51%
ROICexc growth 5Y10.75%
OM growth 3Y17.37%
OM growth 5Y10.8%
PM growth 3Y18.02%
PM growth 5Y8.55%
GM growth 3Y-0.11%
GM growth 5Y0.1%
F-Score6
Asset Turnover1.1
Health
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF 3.04
Debt/EBITDA 2.34
Cap/Depr 58.35%
Cap/Sales 1.07%
Interest Coverage 9.48
Cash Conversion 89.93%
Profit Quality 170.2%
Current Ratio 1.75
Quick Ratio 1.75
Altman-Z 2.89
F-Score6
WACC7.89%
ROIC/WACC0.99
Cap/Depr(3y)47.2%
Cap/Depr(5y)36.33%
Cap/Sales(3y)0.85%
Cap/Sales(5y)0.77%
Profit Quality(3y)199.98%
Profit Quality(5y)220.35%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.06%
EPS 3Y20.76%
EPS 5Y26.72%
EPS Q2Q%-3.85%
EPS Next Y4.16%
EPS Next 2Y8.79%
EPS Next 3Y10.89%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.72%
Revenue growth 3Y14.9%
Revenue growth 5Y10.18%
Sales Q2Q%-7.52%
Revenue Next Year3.59%
Revenue Next 2Y5.57%
Revenue Next 3Y5.49%
Revenue Next 5YN/A
EBIT growth 1Y-7.91%
EBIT growth 3Y34.86%
EBIT growth 5Y22.08%
EBIT Next Year48.12%
EBIT Next 3Y6.61%
EBIT Next 5YN/A
FCF growth 1Y-13.49%
FCF growth 3Y25.65%
FCF growth 5Y9.97%
OCF growth 1Y-8.64%
OCF growth 3Y26.29%
OCF growth 5Y10.59%

PARSONS CORP / PSN Fundamental Analysis FAQ

What is the ChartMill fundamental rating of PARSONS CORP (PSN) stock?

ChartMill assigns a fundamental rating of 4 / 10 to PSN.


What is the valuation status of PARSONS CORP (PSN) stock?

ChartMill assigns a valuation rating of 4 / 10 to PARSONS CORP (PSN). This can be considered as Fairly Valued.


How profitable is PARSONS CORP (PSN) stock?

PARSONS CORP (PSN) has a profitability rating of 5 / 10.


Can you provide the PE and PB ratios for PSN stock?

The Price/Earnings (PE) ratio for PARSONS CORP (PSN) is 17.67 and the Price/Book (PB) ratio is 2.27.


Can you provide the financial health for PSN stock?

The financial health rating of PARSONS CORP (PSN) is 5 / 10.