XTX Topco Ltd Takes Position in Federal Signal Corporation (NYSE:FSS)

Key Points

• XTX Topco Ltd has acquired 26,171 shares of Federal Signal Corporation, valued at approximately $1,925,000, during the first quarter.
• Federal Signal recently reported earnings per share (EPS) of $1.17 for the quarter, exceeding expectations and marking a 15.1% increase in revenue compared to the previous year.
• The company has announced a quarterly dividend of $0.14 per share, which will be paid to shareholders on August 28th, and has authorized a $150 million stock buyback plan.

XTX Topco Ltd purchased a new stake in Federal Signal Corporation (NYSE:FSS - Free Report) during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm purchased 26,171 shares of the conglomerate's stock, valued at approximately $1,925,000.

Several other hedge funds and other institutional investors also recently modified their holdings of the business. Opal Wealth Advisors LLC bought a new stake in Federal Signal during the 1st quarter worth approximately $29,000. Bessemer Group Inc. grew its holdings in Federal Signal by 78.4% during the 1st quarter. Bessemer Group Inc. now owns 421 shares of the conglomerate's stock worth $31,000 after acquiring an additional 185 shares during the last quarter. Harbor Investment Advisory LLC grew its holdings in Federal Signal by 201.8% during the 1st quarter. Harbor Investment Advisory LLC now owns 658 shares of the conglomerate's stock worth $48,000 after acquiring an additional 440 shares during the last quarter. CoreCap Advisors LLC grew its holdings in Federal Signal by 19.9% during the 4th quarter. CoreCap Advisors LLC now owns 875 shares of the conglomerate's stock worth $81,000 after acquiring an additional 145 shares during the last quarter. Finally, Creative Financial Designs Inc. ADV grew its holdings in Federal Signal by 16.9% during the 1st quarter. Creative Financial Designs Inc. ADV now owns 1,119 shares of the conglomerate's stock worth $82,000 after acquiring an additional 162 shares during the last quarter. Institutional investors own 92.73% of the company's stock.

Analyst Ratings Changes

A number of brokerages have commented on FSS. DA Davidson boosted their price target on shares of Federal Signal from $100.00 to $112.00 and gave the company a "neutral" rating in a research note on Thursday. KeyCorp reiterated a "sector weight" rating on shares of Federal Signal in a report on Friday, July 11th. CJS Securities reiterated a "market perform" rating and issued a $125.00 target price on shares of Federal Signal in a report on Thursday. Wall Street Zen upgraded shares of Federal Signal from a "hold" rating to a "buy" rating in a report on Saturday. Finally, Raymond James Financial increased their price target on shares of Federal Signal from $120.00 to $145.00 and gave the company an "outperform" rating 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. According to data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $123.00.

Federal Signal Stock Performance

NYSE:FSS traded down $4.09 on Friday, reaching $122.48. 1,064,348 shares of the company's stock were exchanged, compared to its average volume of 825,709. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.60 and a quick ratio of 1.09. The firm has a market cap of $7.45 billion, a price-to-earnings ratio of 34.12, a P/E/G ratio of 2.55 and a beta of 1.30. Federal Signal Corporation has a 52 week low of $66.47 and a 52 week high of $128.50. The stock has a fifty day simple moving average of $105.18 and a 200-day simple moving average of $92.45.

Federal Signal (NYSE:FSS - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The conglomerate reported $1.17 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.06 by $0.11. Federal Signal had a net margin of 11.22% and a return on equity of 18.91%. The firm had revenue of $564.60 million for the quarter, compared to the consensus estimate of $537.24 million. During the same period in the prior year, the firm posted $0.95 earnings per share. The company's revenue for the quarter was up 15.1% on a year-over-year basis. As a group, sell-side analysts predict that Federal Signal Corporation will post 3.34 earnings per share for the current year.

Federal Signal Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, August 28th. Stockholders of record on Friday, August 15th will be issued a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Friday, August 15th. Federal Signal's dividend payout ratio is presently 15.60%.

Federal Signal declared that its board has approved a stock repurchase program on Tuesday, April 22nd that allows the company to buyback $150.00 million in outstanding shares. This buyback authorization allows the conglomerate to purchase up to 3.3% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's board believes its stock is undervalued.

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.