Federal Signal
Market Cap
US$2.4b
Last Updated
2021/08/03 23:41 UTC
Data Sources
Company Financials +
Executive Summary
Federal Signal Corporation, together with its subsidiaries, designs, manufactures, and supplies a suite of products and integrated solutions for municipal, governmental, industrial, and commercial customers in the United States, Canada, Europe, and internationally. More Details
Rewards
Risk Analysis
No risks detected for FSS from our risk checks.
Snowflake Analysis
Excellent balance sheet and fair value.
Similar Companies
Share Price & News
How has Federal Signal's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FSS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: FSS's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
0.6%
FSS
1.7%
US Machinery
0.9%
US Market
1 Year Return
24.5%
FSS
48.8%
US Machinery
34.7%
US Market
Return vs Industry: FSS underperformed the US Machinery industry which returned 46.5% over the past year.
Return vs Market: FSS underperformed the US Market which returned 34.4% over the past year.
Shareholder returns
| FSS | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.6% | 1.7% | 0.9% |
| 30 Day | -2.8% | 0.6% | 0.2% |
| 90 Day | -7.2% | -2.5% | 4.7% |
| 1 Year | 25.6%24.5% | 51.9%48.8% | 36.8%34.7% |
| 3 Year | 44.1%39.4% | 60.2%50.8% | 62.5%52.4% |
| 5 Year | 219.7%198.9% | 137.7%112.9% | 123.1%98.4% |
Long-Term Price Volatility Vs. Market
How volatile is Federal Signal's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Federal Signal (NYSE:FSS) Is Paying Out A Larger Dividend Than Last Year1 week ago | Simply Wall St
An Intrinsic Calculation For Federal Signal Corporation (NYSE:FSS) Suggests It's 38% UndervaluedValuation
Is Federal Signal undervalued compared to its fair value and its price relative to the market?
38.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FSS ($38.83) is trading below our estimate of fair value ($62.72)
Significantly Below Fair Value: FSS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: FSS is good value based on its PE Ratio (22.8x) compared to the US Machinery industry average (31x).
PE vs Market: FSS is poor value based on its PE Ratio (22.8x) compared to the US market (17.9x).
Price to Earnings Growth Ratio
PEG Ratio: FSS is poor value based on its PEG Ratio (1.6x)
Price to Book Ratio
PB vs Industry: FSS is overvalued based on its PB Ratio (3.2x) compared to the US Machinery industry average (2.8x).
Future Growth
How is Federal Signal forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
14.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FSS's forecast earnings growth (14.3% per year) is above the savings rate (2%).
Earnings vs Market: FSS's earnings (14.3% per year) are forecast to grow slower than the US market (15% per year).
High Growth Earnings: FSS's earnings are forecast to grow, but not significantly.
Revenue vs Market: FSS's revenue (7.4% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: FSS's revenue (7.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FSS's Return on Equity is forecast to be low in 3 years time (11.8%).
Past Performance
How has Federal Signal performed over the past 5 years?
19.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FSS has high quality earnings.
Growing Profit Margin: FSS's current net profit margins (8.7%) are lower than last year (8.7%).
Past Earnings Growth Analysis
Earnings Trend: FSS's earnings have grown by 19.3% per year over the past 5 years.
Accelerating Growth: FSS's earnings growth over the past year (0.3%) is below its 5-year average (19.3% per year).
Earnings vs Industry: FSS earnings growth over the past year (0.3%) underperformed the Machinery industry 6.6%.
Return on Equity
High ROE: FSS's Return on Equity (13.8%) is considered low.
Financial Health
How is Federal Signal's financial position?
Financial Position Analysis
Short Term Liabilities: FSS's short term assets ($428.2M) exceed its short term liabilities ($170.9M).
Long Term Liabilities: FSS's short term assets ($428.2M) exceed its long term liabilities ($372.5M).
Debt to Equity History and Analysis
Debt Level: FSS's debt to equity ratio (29.9%) is considered satisfactory.
Reducing Debt: FSS's debt to equity ratio has increased from 16.6% to 29.9% over the past 5 years.
Debt Coverage: FSS's debt is well covered by operating cash flow (49.5%).
Interest Coverage: FSS's interest payments on its debt are well covered by EBIT (29.8x coverage).
Balance Sheet
Dividend
What is Federal Signal current dividend yield, its reliability and sustainability?
0.93%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: FSS's dividend (0.93%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.32%).
High Dividend: FSS's dividend (0.93%) is low compared to the top 25% of dividend payers in the US market (3.57%).
Stability and Growth of Payments
Stable Dividend: FSS's dividend payments have been volatile in the past 10 years.
Growing Dividend: FSS's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (19.9%), FSS's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.4yrs
Average management tenure
CEO
Jennifer Sherman (56 yo)
5.58yrs
Tenure
US$4,691,321
Compensation
Ms. Jennifer L. Sherman has been the Chief Executive Officer, President and Director of Federal Signal Corporation since January 1, 2016. Ms. Sherman served as the Chief Operating Officer of Federal Signal...
CEO Compensation Analysis
Compensation vs Market: Jennifer's total compensation ($USD4.69M) is about average for companies of similar size in the US market ($USD3.71M).
Compensation vs Earnings: Jennifer's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: FSS's management team is considered experienced (4.4 years average tenure).
Board Members
Experienced Board: FSS's board of directors are considered experienced (5.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Federal Signal Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Federal Signal Corporation
- Ticker: FSS
- Exchange: NYSE
- Founded: 1901
- Industry: Construction Machinery and Heavy Trucks
- Sector: Capital Goods
- Market Cap: US$2.376b
- Shares outstanding: 61.13m
- Website: https://www.federalsignal.com
Number of Employees
Location
- Federal Signal Corporation
- 1415 West 22nd Street
- Suite 1100
- Oak Brook
- Illinois
- 60523
- United States
Listings
Biography
Federal Signal Corporation, together with its subsidiaries, designs, manufactures, and supplies a suite of products and integrated solutions for municipal, governmental, industrial, and commercial customer...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/08/03 23:41 |
| End of Day Share Price | 2021/08/03 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.