Federal Signal (NYSE:FSS) Releases FY 2026 Earnings Guidance

Key Points

• Federal Signal issued FY 2026 guidance for adjusted EPS of $5.12–$5.30, above the $4.97 analyst consensus, and revenue of $2.6–$2.7 billion versus the $2.6 billion consensus estimate.
• Analyst sentiment remains positive, with the stock carrying a consensus “Buy” rating and a $139.25 average price target. Recent upgrades included Zacks Research and Wall Street Zen.
• Shares opened at $111.98 after falling 4.9%, while the company declared a quarterly dividend of $0.15 per share, equivalent to a 0.5% annualized yield.

Federal Signal (NYSE:FSS - Get Free Report) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of 5.120-5.300 for the period, compared to the consensus estimate of 4.970. The company issued revenue guidance of $2.6 billion-$2.7 billion, compared to the consensus revenue estimate of $2.6 billion.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on FSS shares. KeyCorp restated an "overweight" rating and set a $140.00 target price on shares of Federal Signal in a research report on Thursday, April 30th. Zacks Research raised shares of Federal Signal from a "hold" rating to a "strong-buy" rating in a research note on Monday, May 4th. DA Davidson lifted their price objective on shares of Federal Signal from $125.00 to $132.00 and gave the company a "neutral" rating in a research report on Friday, May 1st. Wall Street Zen upgraded shares of Federal Signal from a "hold" rating to a "buy" rating in a research note on Saturday, May 2nd. Finally, Weiss Ratings upgraded shares of Federal Signal from a "buy (b-)" rating to a "buy (b)" rating in a research note on Tuesday, June 23rd. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has issued a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus price target of $139.25.

Federal Signal Stock Down 4.9%

Shares of NYSE FSS opened at $111.98 on Thursday. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.29 and a current ratio of 2.84. The company has a market capitalization of $6.83 billion, a P/E ratio of 25.45, a price-to-earnings-growth ratio of 1.70 and a beta of 1.23. The company's 50 day moving average price is $116.67 and its 200-day moving average price is $114.76. Federal Signal has a 52-week low of $101.18 and a 52-week high of $134.51.

Federal Signal (NYSE:FSS - Get Free Report) last released its earnings results on Thursday, July 30th. The conglomerate reported $1.42 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.29 by $0.13. Federal Signal had a net margin of 11.56% and a return on equity of 21.18%. The firm's quarterly revenue was up 18.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.17 EPS. Federal Signal has set its FY 2026 guidance at 5.120-5.300 EPS. Equities analysts forecast that Federal Signal will post 4.94 earnings per share for the current year.

Federal Signal Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 27th. Investors of record on Friday, August 14th will be issued a dividend of $0.15 per share. The ex-dividend date is Friday, August 14th. This represents a $0.60 annualized dividend and a yield of 0.5%. Federal Signal's dividend payout ratio is 13.64%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC lifted its position in shares of Federal Signal by 140.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 243 shares of the conglomerate's stock worth $26,000 after buying an additional 142 shares in the last quarter. Caitong International Asset Management Co. Ltd increased its position in shares of Federal Signal by 3,100.0% during the third quarter. Caitong International Asset Management Co. Ltd now owns 256 shares of the conglomerate's stock valued at $30,000 after acquiring an additional 248 shares during the last quarter. UMB Bank n.a. lifted its holdings in Federal Signal by 50.5% during the fourth quarter. UMB Bank n.a. now owns 331 shares of the conglomerate's stock worth $36,000 after acquiring an additional 111 shares during the period. Meeder Asset Management Inc. purchased a new position in Federal Signal in the fourth quarter worth $38,000. Finally, Danske Bank A S bought a new position in Federal Signal in the 3rd quarter valued at $48,000. 92.73% of the stock is currently owned by hedge funds and other institutional investors.

Federal Signal Company Profile

Federal Signal Corporation NYSE: FSS, headquartered in Oak Brook, Illinois, is a diversified industrial company that designs, manufactures and markets a broad range of products and services for municipal, commercial and industrial customers worldwide. Founded in 1901 in Chicago, the company has grown through a combination of organic investment and strategic acquisitions to become a leading provider of environmental management and safety and security solutions.

Federal Signal operates through two primary business segments.

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