Handelsbanken Fonder AB Boosts Stake in Federal Signal Corporation $FSS

Handelsbanken Fonder AB boosted its position in Federal Signal Corporation (NYSE:FSS) by 15.7% during the third quarter, Holdings Channel reports. The fund owned 258,160 shares of the conglomerate’s stock after acquiring an additional 35,000 shares during the period. Handelsbanken Fonder AB’s holdings in Federal Signal were worth $30,718,000 at the end of the most recent reporting period.

Other large investors also recently modified their holdings of the company. Allianz Asset Management GmbH bought a new position in Federal Signal during the third quarter valued at approximately $108,884,000. Norges Bank purchased a new stake in shares of Federal Signal in the 2nd quarter valued at $79,165,000. First Trust Advisors LP grew its holdings in shares of Federal Signal by 49.6% during the 2nd quarter. First Trust Advisors LP now owns 1,501,431 shares of the conglomerate’s stock valued at $159,782,000 after purchasing an additional 497,652 shares during the last quarter. Greenvale Capital LLP purchased a new position in Federal Signal in the 2nd quarter worth $25,491,000. Finally, Assenagon Asset Management S.A. purchased a new position in Federal Signal in the 3rd quarter worth $23,037,000. 92.73% of the stock is owned by hedge funds and other institutional investors.

Federal Signal Stock Down 0.9%

Shares of NYSE:FSS opened at $116.51 on Friday. The stock’s 50-day moving average is $114.60 and its 200 day moving average is $117.28. The company has a market cap of $7.09 billion, a PE ratio of 29.06, a P/E/G ratio of 1.81 and a beta of 1.35. The company has a debt-to-equity ratio of 0.41, a current ratio of 3.02 and a quick ratio of 1.25. Federal Signal Corporation has a 1 year low of $66.47 and a 1 year high of $132.89.

Federal Signal (NYSE:FSS) last issued its quarterly earnings data on Wednesday, February 25th. The conglomerate reported $1.16 earnings per share for the quarter, topping analysts’ consensus estimates of $1.08 by $0.08. Federal Signal had a return on equity of 20.14% and a net margin of 11.31%.The firm had revenue of $597.10 million for the quarter, compared to analyst estimates of $551.36 million. During the same period last year, the company earned $0.87 EPS. The business’s quarterly revenue was up 26.5% compared to the same quarter last year. Federal Signal has set its FY 2026 guidance at 4.500-4.800 EPS. Sell-side analysts anticipate that Federal Signal Corporation will post 3.34 EPS for the current year.

Key Stories Impacting Federal Signal

Here are the key news stories impacting Federal Signal this week:

• Positive Sentiment: Q4 results and guidance beat — Federal Signal reported Q4 EPS above estimates and revenue beat, with management setting FY2026 guidance that supported the rally; the earnings surprise was the main catalyst for the recent jump in the share price. Earnings Transcript
• Positive Sentiment: Dividend increase — the board raised the quarterly cash dividend by ~7% to $0.15 per share, a shareholder-friendly move that supports income-focused demand. Dividend Press Release
• Positive Sentiment: Analyst upgrades and model lifts — CJS Securities upgraded FSS to “market outperform” with a $140 target, and Sidoti raised FY2026 and FY2027 EPS estimates (and several quarterly estimates), reinforcing the bullish fundamental view. Analyst Upgrade (Benzinga)
• Positive Sentiment: Technical momentum/ratings improvement — FSS received a Relative Strength (RS) rating lift to 74, which likely supported short-term buying from momentum/rotation flows. RS Rating Lift
• Neutral Sentiment: Board changes — the company announced two new director appointments, a governance update that is unlikely to move fundamentals immediately but can matter to long-term investors. Director Appointments
• Negative Sentiment: Small Q1 cut in Sidoti note — while Sidoti raised FY2026 and other quarterly forecasts, it trimmed its Q1 2026 EPS view (from $0.97 to $0.93), a modest near-term revision that could temper expectations for the coming quarter. Sidoti Estimates
• Negative Sentiment: Post-rally consolidation and lighter volume — after strong post-earnings gains, the stock is pulling back on below-average volume and is trading slightly under its 200?day moving average, suggesting short-term profit-taking and consolidation risk. Trading Summary

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on FSS. CJS Securities raised Federal Signal from a “market perform” rating to a “market outperform” rating and set a $140.00 price objective on the stock in a research note on Thursday. Wall Street Zen lowered Federal Signal from a “buy” rating to a “hold” rating in a research report on Saturday. Finally, Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Federal Signal in a research note on Monday, December 29th. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $126.75.

Federal Signal 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.