Update shared on08 Oct 2025
Fair value Increased 2.69%Analysts have raised their price target for Parsons from $86.67 to $89.00, citing updated models that reflect stronger projected valuation even though estimates for profit margin have eased modestly.
What's in the News
- MPA Delivery Partners, including Parsons, secured a $665 million contract extension to manage the Hudson Tunnel Project. The project is on track to create over 95,000 jobs and drive significant economic activity nationwide. The new Gateway Tunnel is expected to be completed in 2035, with rehabilitation of the existing tunnel by 2038. (Client Announcements)
- Parsons was awarded a $13 million task order by the National Nuclear Security Administration to deploy counter-nuclear smuggling systems in 18 Indo-Pacific countries, expanding its work in global security operations. (Client Announcements)
- The company opened a new 27,000-square-foot facility in Redstone Gateway near Huntsville, Alabama, strengthening its presence in defense, space, and missile systems and supporting key national security projects. (Business Expansions)
- Parsons announced the successful go-live of New Jersey’s first statewide Advanced Traffic Management System (ATMS), recognized with the 2025 Excellence in Engineering Award for its innovation in smart mobility. (Client Announcements)
- Parsons has increased its earnings guidance for the 2025 fiscal year, now projecting $6.48 billion to $6.68 billion in revenue, up from previous estimates. (Corporate Guidance, Raised)
Valuation Changes
- Consensus Analyst Price Target has risen slightly from $86.67 to $89.00.
- Discount Rate has decreased modestly from 7.33% to 7.29%.
- Revenue Growth projection remains stable at approximately 3.67%.
- Net Profit Margin estimate has eased from 4.70% to 4.47%.
- Future P/E ratio has increased from 33.05x to 35.70x.
Disclaimer
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