Federal Signal (NYSE:FSS) Downgraded by Zacks Research to “Hold”

Federal Signal (NYSE:FSS) was downgraded by analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

FSS has been the topic of several other reports. KeyCorp reissued an “overweight” rating and set a $140.00 target price on shares of Federal Signal in a research note on Thursday, April 30th. DA Davidson lifted their price target on Federal Signal from $125.00 to $132.00 and gave the company a “neutral” rating in a report on Friday, May 1st. Wall Street Zen lowered Federal Signal from a “buy” rating to a “hold” rating in a research report on Saturday, August 1st. Finally, Weiss Ratings raised Federal Signal from a “buy (b-)” rating to a “buy (b)” rating in a research note on Tuesday, June 23rd. Three equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $137.33.

Federal Signal Stock Performance

Shares of FSS opened at $123.29 on Wednesday. The company has a 50-day moving average of $120.33 and a two-hundred day moving average of $115.71. The stock has a market cap of $7.53 billion, a price-to-earnings ratio of 26.57, a PEG ratio of 1.72 and a beta of 1.24. The company has a debt-to-equity ratio of 0.30, a current ratio of 2.74 and a quick ratio of 1.21. Federal Signal has a one year low of $101.18 and a one year high of $134.51.

Federal Signal (NYSE:FSS) last released its quarterly 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. The business had revenue of $670.20 million for the quarter, compared to analyst estimates of $667.04 million. Federal Signal had a net margin of 11.66% and a return on equity of 21.36%. The firm’s revenue was up 18.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.17 earnings per share. Federal Signal has set its FY 2026 guidance at 5.120-5.300 EPS. On average, equities research analysts expect that Federal Signal will post 5.23 earnings per share for the current year.

Insider Activity

In related news, VP Diane Bonina sold 14,856 shares of the stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $130.44, for a total transaction of $1,937,816.64. Following the completion of the sale, the vice president directly owned 15,689 shares in the company, valued at approximately $2,046,473.16. This trade represents a 48.64% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 3.30% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of FSS. Geode Capital Management LLC lifted its holdings in Federal Signal by 1.1% in the 4th quarter. Geode Capital Management LLC now owns 1,725,757 shares of the conglomerate’s stock worth $187,427,000 after purchasing an additional 18,587 shares during the last quarter. First Trust Advisors LP grew its holdings in Federal Signal by 12.0% during the first quarter. First Trust Advisors LP now owns 1,161,865 shares of the conglomerate’s stock valued at $125,644,000 after purchasing an additional 124,270 shares during the last quarter. B. Metzler seel. Sohn & Co. AG grew its holdings in Federal Signal by 60.5% during the fourth quarter. B. Metzler seel. Sohn & Co. AG now owns 30,772 shares of the conglomerate’s stock valued at $3,342,000 after purchasing an additional 11,605 shares during the last quarter. Montanaro Asset Management Ltd raised its position in shares of Federal Signal by 65.9% in the fourth quarter. Montanaro Asset Management Ltd now owns 68,500 shares of the conglomerate’s stock valued at $7,438,000 after purchasing an additional 27,200 shares during the period. Finally, Vaughan Nelson Investment Management L.P. bought a new position in shares of Federal Signal in the first quarter valued at approximately $57,749,000. 92.73% of the stock is owned by institutional investors and hedge funds.

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.