Federal Signal (NYSE:FSS) Cut to “Hold” at Wall Street Zen

Wall Street Zen lowered shares of Federal Signal (NYSE:FSS) from a buy rating to a hold rating in a research note issued to investors on Saturday morning.

Several other research analysts have also issued reports on the stock. DA Davidson raised their target price on shares of Federal Signal from $125.00 to $132.00 and gave the company a “neutral” rating in a research note on Friday, May 1st. KeyCorp restated an “overweight” rating and issued a $140.00 price objective on shares of Federal Signal in a report on Thursday, April 30th. Weiss Ratings raised shares of Federal Signal from a “buy (b-)” rating to a “buy (b)” rating in a research note on Tuesday, June 23rd. Finally, Zacks Research raised shares of Federal Signal from a “hold” rating to a “strong-buy” rating in a research note on Monday, May 4th. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Buy” and an average price target of $137.33.

Federal Signal Trading Up 3.2%

FSS stock opened at $128.92 on Friday. The company has a quick ratio of 1.21, a current ratio of 2.74 and a debt-to-equity ratio of 0.30. Federal Signal has a twelve month low of $101.18 and a twelve month high of $134.51. The company has a market cap of $7.86 billion, a P/E ratio of 27.78, a PEG ratio of 1.71 and a beta of 1.23. The business has a fifty day moving average of $117.50 and a 200-day moving average of $114.96.

Federal Signal (NYSE:FSS) last posted its quarterly earnings results on Thursday, July 30th. The conglomerate reported $1.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.29 by $0.13. The business had revenue of $670.20 million for the quarter, compared to analysts’ expectations of $667.04 million. Federal Signal had a return on equity of 21.36% and a net margin of 11.66%.The firm’s quarterly revenue was up 18.7% compared to the same quarter last year. During the same quarter last year, the business earned $1.17 earnings per share. Federal Signal has set its FY 2026 guidance at 5.120-5.300 EPS. As a group, equities research analysts expect that Federal Signal will post 5.23 EPS for the current year.

Federal Signal Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, August 27th. Shareholders 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 dividend on an annualized basis and a yield of 0.5%. Federal Signal’s dividend payout ratio (DPR) is 12.93%.

Institutional Investors Weigh In On Federal Signal

Large investors have recently bought and sold shares of the company. Wasatch Advisors LP acquired a new stake in shares of Federal Signal during the third quarter worth $174,476,000. Norges Bank acquired a new position in Federal Signal in the 4th quarter worth $98,257,000. Vaughan Nelson Investment Management L.P. acquired a new position in Federal Signal in the 1st quarter worth $57,749,000. Invesco Ltd. increased its holdings in Federal Signal by 16.0% during the 3rd quarter. Invesco Ltd. now owns 1,967,348 shares of the conglomerate’s stock worth $234,095,000 after purchasing an additional 271,878 shares in the last quarter. Finally, UBS Group AG increased its holdings in Federal Signal by 77.0% during the 3rd quarter. UBS Group AG now owns 609,582 shares of the conglomerate’s stock worth $72,534,000 after purchasing an additional 265,145 shares in the last quarter. Institutional investors own 92.73% of the company’s stock.

About Federal Signal

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.