Federal Signal Corp. FSS
Auto Manufacturing · data as of November 13, 2026
Federal Signal Corp. (FSS) is a industrial company listed in the US with a market value of about $7.0B. In the twelve months to September 30, 2026 it had revenue of $2.5B and net income of $297M, a net margin of 11.7%.
Its overall Stock Analiz score is 4.4 out of 5 (excellent). The strongest part is track record (5/5); the weakest is value (4/5).
Key numbers: a P/E of 23.9, a price to free cash flow of 19.3, 5-year revenue growth of 14% a year, a 5-year average ROIC of 13%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 34% below the current price.
Score: 4.4 / 5
Checks passed
- P/E below 25
- P/E below the industry median
- P/FCF below 20
- PEG below 1.5
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- Profit margin improving
- 3-year free cash flow growth above 10% a year
Checks not passed
- Price below intrinsic value (DCF, moderate assumptions)
- Strong R&D investment or growth above 20%
- Share count down over 3 years (buybacks)
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $2.5B | $2.2B | $1.9B | $1.7B | $1.4B | $1.2B | $1.1B | $1.2B | $1.1B | $898M | $708M |
| Net income | $297M | $247M | $216M | $157M | $120M | $101M | $96M | $108M | $94M | $62M | $44M |
| Free cash flow | $365M | $227M | $191M | $164M | $19M | $64M | $106M | $68M | $79M | $65M | $19M |
| EPS (diluted) | $4.82 | $4.01 | $3.50 | $2.56 | $1.97 | $1.63 | $1.56 | $1.76 | $1.54 | $1.02 | $0.71 |
| Net margin | 11.7% | 11.3% | 11.6% | 9.1% | 8.4% | 8.3% | 8.5% | 8.9% | 8.6% | 6.9% | 6.2% |
| ROIC | — | 13.1% | 16.0% | 13.2% | 10.3% | 10.2% | 10.8% | 12.9% | 13.2% | 9.9% | 9.2% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 7 analysts is $140.14, 21% above the current price; targets range from $126.00 to $150.00; the consensus rating is “Buy”; expected EPS is $5.26 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is Federal Signal’s P/E ratio?
About 23.9, based on the last twelve months of diluted earnings per share (forward P/E about 21.0).
Is Federal Signal stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 34% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Federal Signal pay a dividend?
Yes. The dividend yield is about 0.51%, and it has paid dividends for 10 years in our data.
Is Federal Signal a good stock to buy?
We do not give buy or sell advice. Federal Signal scores 4.4 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
Similar companies
Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.