DA Davidson Issues Positive Forecast for Federal Signal (NYSE:FSS) Stock Price

Key Points

• DA Davidson raised its price target for Federal Signal from $100.00 to $112.00, indicating a potential downside of 11.34% from the current stock price and maintaining a "neutral" rating.
• Analyst consensus for Federal Signal shows a "Hold" rating with an average price target of $123.00, while Raymond James Financial has set a more optimistic target of $145.00 with an "outperform" rating.
• Federal Signal reported a strong earnings result with $1.17 EPS for the latest quarter, exceeding expectations and showing a 15.1% year-over-year revenue increase.

Federal Signal (NYSE:FSS - Get Free Report) had its target price raised by investment analysts at DA Davidson from $100.00 to $112.00 in a report released on Thursday,Benzinga reports. The firm presently has a "neutral" rating on the conglomerate's stock. DA Davidson's target price would suggest a potential downside of 9.33% from the stock's current price. DA Davidson also issued estimates for Federal Signal's Q3 2025 earnings at $1.05 EPS, FY2025 earnings at $3.97 EPS and FY2026 earnings at $4.37 EPS.

FSS has been the subject of several other research reports. KeyCorp reiterated a "sector weight" rating on shares of Federal Signal in a research report on Friday, July 11th. Raymond James Financial lifted their price objective on Federal Signal from $120.00 to $145.00 and gave the company an "outperform" rating in a research report on Thursday. Finally, CJS Securities downgraded Federal Signal from a "strong-buy" rating to a "hold" rating and set a $125.00 target price for the company. in a research report on Thursday. Three research analysts have rated the stock with a hold rating and two have given a buy rating to the company's stock. According to MarketBeat, Federal Signal has a consensus rating of "Hold" and a consensus target price of $123.00.

Federal Signal Price Performance

FSS traded up $0.95 during trading on Thursday, hitting $123.52. The company's stock had a trading volume of 39,792 shares, compared to its average volume of 582,368. The firm's 50 day moving average price is $105.18 and its two-hundred day moving average price is $92.41. The company has a quick ratio of 1.25, a current ratio of 2.60 and a debt-to-equity ratio of 0.20. Federal Signal has a 12 month low of $66.47 and a 12 month high of $128.50. The stock has a market capitalization of $7.51 billion, a price-to-earnings ratio of 34.43, a price-to-earnings-growth ratio of 2.18 and a beta of 1.30.

Federal Signal (NYSE:FSS - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The conglomerate reported $1.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.06 by $0.11. Federal Signal had a return on equity of 18.91% and a net margin of 11.22%. The firm had revenue of $564.60 million during the quarter, compared to the consensus estimate of $537.24 million. During the same quarter in the previous year, the company posted $0.95 EPS. The business's revenue for the quarter was up 15.1% compared to the same quarter last year. Sell-side analysts forecast that Federal Signal will post 3.34 earnings per share for the current fiscal year.

Federal Signal announced that its board has authorized a share repurchase program on Tuesday, April 22nd that permits the company to buyback $150.00 million in shares. This buyback authorization permits the conglomerate to reacquire up to 3.3% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's leadership believes its stock is undervalued.

Institutional Investors Weigh In On Federal Signal

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Physician Wealth Advisors Inc. increased its holdings in Federal Signal by 47.0% in the second quarter. Physician Wealth Advisors Inc. now owns 291 shares of the conglomerate's stock valued at $31,000 after purchasing an additional 93 shares during the last quarter. Maryland State Retirement & Pension System increased its holdings in Federal Signal by 0.6% in the second quarter. Maryland State Retirement & Pension System now owns 17,918 shares of the conglomerate's stock valued at $1,907,000 after purchasing an additional 106 shares during the last quarter. Nisa Investment Advisors LLC increased its holdings in Federal Signal by 5.1% in the second quarter. Nisa Investment Advisors LLC now owns 2,339 shares of the conglomerate's stock valued at $249,000 after purchasing an additional 113 shares during the last quarter. CoreCap Advisors LLC increased its holdings in Federal Signal by 19.9% in the fourth quarter. CoreCap Advisors LLC now owns 875 shares of the conglomerate's stock valued at $81,000 after purchasing an additional 145 shares during the last quarter. Finally, Creative Financial Designs Inc. ADV increased its holdings in Federal Signal by 16.9% in the first quarter. Creative Financial Designs Inc. ADV now owns 1,119 shares of the conglomerate's stock valued at $82,000 after purchasing an additional 162 shares during the last quarter. Institutional investors own 92.73% of the company's stock.

About Federal Signal

Federal Signal Corp. engages in the design and manufacture of products and integrated solutions for municipal, governmental, industrial, and commercial customers. It operates through the Environmental Solutions Group and Safety and Security Systems Group segments. The Environment Solutions Group segment is involved in the manufacture and supply of street sweeper vehicles, sewer cleaners, vacuum loader trucks, hydro-excavation trucks, and water blasting equipment.