Citigroup Cuts Parsons (NYSE:PSN) Price Target to $53.00

Parsons (NYSE:PSN) had its price objective decreased by Citigroup from $66.00 to $53.00 in a research report released on Thursday morning,Benzinga reports. Citigroup currently has a buy rating on the stock.

Other analysts also recently issued research reports about the company. William Blair restated an “outperform” rating on shares of Parsons in a report on Wednesday. KeyCorp cut shares of Parsons from an “overweight” rating to a “sector weight” rating in a report on Tuesday, April 14th. TD Cowen reissued a “buy” rating on shares of Parsons in a research report on Wednesday. Zacks Research upgraded shares of Parsons from a “strong sell” rating to a “hold” rating in a report on Monday, April 13th. Finally, Jefferies Financial Group restated a “hold” rating on shares of Parsons in a report on Wednesday, July 8th. Nine analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Parsons has an average rating of “Moderate Buy” and an average target price of $66.82.

Parsons Stock Up 2.8%

Shares of Parsons stock opened at $44.37 on Thursday. The stock’s fifty day moving average is $55.09 and its 200-day moving average is $58.10. The firm has a market capitalization of $4.74 billion, a PE ratio of 30.60, a price-to-earnings-growth ratio of 1.39 and a beta of 0.66. The company has a quick ratio of 1.75, a current ratio of 1.66 and a debt-to-equity ratio of 0.54. Parsons has a 12-month low of $36.26 and a 12-month high of $89.50.

Parsons (NYSE:PSN) last announced its earnings results on Wednesday, July 29th. The company reported ($0.06) EPS for the quarter, missing the consensus estimate of $0.76 by ($0.82). Parsons had a net margin of 2.50% and a return on equity of 8.10%. The company had revenue of $1.59 billion for the quarter, compared to analysts’ expectations of $1.61 billion. During the same period in the prior year, the company earned $0.78 earnings per share. The company’s revenue for the quarter was down .5% on a year-over-year basis. Equities analysts anticipate that Parsons will post 2.97 earnings per share for the current year.

Insider Buying and Selling at Parsons

In related news, CEO Carey A. Smith purchased 12,500 shares of the stock in a transaction dated Friday, May 8th. The shares were acquired at an average cost of $49.97 per share, for a total transaction of $624,625.00. Following the acquisition, the chief executive officer directly owned 575,376 shares in the company, valued at approximately $28,751,538.72. The trade was a 2.22% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director George L. Ball purchased 10,000 shares of the company’s stock in a transaction dated Wednesday, May 13th. The stock was bought at an average cost of $50.00 per share, for a total transaction of $500,000.00. Following the completion of the purchase, the director directly owned 150,383 shares of the company’s stock, valued at $7,519,150. The trade was a 7.12% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased 32,500 shares of company stock valued at $1,637,325 in the last quarter. Company insiders own 1.31% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Public Employees Retirement System of Ohio increased its position in Parsons by 0.9% in the 3rd quarter. Public Employees Retirement System of Ohio now owns 17,029 shares of the company’s stock worth $1,412,000 after purchasing an additional 144 shares during the last quarter. Kennedy Capital Management LLC lifted its holdings in shares of Parsons by 0.4% during the 4th quarter. Kennedy Capital Management LLC now owns 47,680 shares of the company’s stock valued at $2,947,000 after buying an additional 194 shares during the last quarter. NewEdge Advisors LLC lifted its holdings in shares of Parsons by 38.0% during the 1st quarter. NewEdge Advisors LLC now owns 959 shares of the company’s stock valued at $57,000 after buying an additional 264 shares during the last quarter. Oregon Public Employees Retirement Fund grew its stake in shares of Parsons by 2.8% in the 1st quarter. Oregon Public Employees Retirement Fund now owns 10,900 shares of the company’s stock valued at $590,000 after buying an additional 300 shares in the last quarter. Finally, Versant Capital Management Inc grew its stake in shares of Parsons by 183.6% in the 2nd quarter. Versant Capital Management Inc now owns 553 shares of the company’s stock valued at $29,000 after buying an additional 358 shares in the last quarter. Hedge funds and other institutional investors own 98.02% of the company’s stock.

Key Stories Impacting Parsons

Here are the key news stories impacting Parsons this week:

• Positive Sentiment: UBS, Stifel Nicolaus, Truist Financial and Barclays maintained bullish ratings, although each reduced its price target. The revised targets—$58 from UBS, $66 from Stifel, $60 from Truist and $60 from Barclays—still imply meaningful upside from recent levels. UBS price target article
• Positive Sentiment: Management highlighted strong bookings, strategic growth opportunities and a planned divestiture targeted for completion in the third quarter. Parsons is forecasting 2026 revenue of $6.2 billion to $6.5 billion, which could support longer-term execution if project issues are resolved. Parsons outlook article
• Neutral Sentiment: Multiple law firms announced investigations into possible securities-law violations following the earnings disclosure. These announcements are investor solicitations and do not establish wrongdoing, but they add headline and potential litigation risk. Parsons securities investigation article
• Negative Sentiment: Parsons reported second-quarter adjusted EPS of negative $0.06 versus the $0.76 analyst consensus, with revenue of $1.59 billion below the $1.61 billion estimate. Net income fell by $70 million year over year, adjusted EBITDA declined 72%, and the adjusted EBITDA margin contracted by 670 basis points.
• Negative Sentiment: The company cut 2026 revenue guidance to $6.2 billion–$6.5 billion from $6.5 billion–$6.8 billion and adjusted EBITDA guidance to $500 million–$560 million from $615 million–$675 million. Parsons cited a terminated fixed-price contract, project delays, portfolio-shaping actions and a joint-venture program charge. Parsons guidance cut article

About Parsons

Parsons Corporation (NYSE: PSN) is a technology-driven engineering, construction, technical and professional services firm. The company delivers end-to-end solutions that span feasibility studies, design and engineering, construction management, system integration and ongoing operations support. Parsons serves both government and commercial clients and focuses on critical infrastructure, defense, security, intelligence and environmental programs.

Core services include program and construction management for transportation systems, water and environmental infrastructure, cybersecurity and advanced systems integration.