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Federal Signal Corporation (FSS)



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Upturn Advisory Summary
04/01/2025: FSS (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit 33.87% | Avg. Invested days 49 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 4.58B USD | Price to earnings Ratio 21.44 | 1Y Target Price 104 |
Price to earnings Ratio 21.44 | 1Y Target Price 104 | ||
Volume (30-day avg) 696117 | Beta 1.02 | 52 Weeks Range 72.70 - 101.73 | Updated Date 04/1/2025 |
52 Weeks Range 72.70 - 101.73 | Updated Date 04/1/2025 | ||
Dividends yield (FY) 0.76% | Basic EPS (TTM) 3.5 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 11.62% | Operating Margin (TTM) 14.87% |
Management Effectiveness
Return on Assets (TTM) 10.45% | Return on Equity (TTM) 19.77% |
Valuation
Trailing PE 21.44 | Forward PE 19.46 | Enterprise Value 4654994499 | Price to Sales(TTM) 2.46 |
Enterprise Value 4654994499 | Price to Sales(TTM) 2.46 | ||
Enterprise Value to Revenue 2.5 | Enterprise Value to EBITDA 13.62 | Shares Outstanding 61097100 | Shares Floating 59553151 |
Shares Outstanding 61097100 | Shares Floating 59553151 | ||
Percent Insiders 2.65 | Percent Institutions 100.58 |
Analyst Ratings
Rating 3.86 | Target Price 101.33 | Buy 2 | Strong Buy 2 |
Buy 2 | Strong Buy 2 | ||
Hold 3 | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Federal Signal Corporation

Company Overview
History and Background
Federal Signal Corporation was founded in 1901 as Federal Electric Company. Initially focused on electric signs, it evolved into a diversified manufacturer of safety and signaling equipment, communication and security systems, and infrastructure-related products.
Core Business Areas
- Environmental Solutions Group (ESG): Manufactures street sweepers, sewer cleaners, and safe-digging trucks. The group services municipal, contractor, and industrial customers.
- Safety and Security Systems Group (SSS): Provides warning lights, sirens, public address systems, and security solutions for emergency vehicles, industrial facilities, and mass notification systems.
Leadership and Structure
Jennifer L. Sherman serves as the President and Chief Executive Officer. The organizational structure consists of functional departments like finance, operations, and marketing reporting to executive leadership, with business units operating with a degree of autonomy.
Top Products and Market Share
Key Offerings
- Street Sweepers: Manufactures Elgin street sweepers, holding a significant portion of the North American market. Competitors include Tennant Company and Aebi Schmidt Holding AG. Market share is approximately 30% in North America.
- Sewer Cleaners: Manufactures Vactor sewer cleaners, which hold a large market share in North America. Competitors include Vacall and Super Products. Market share is approximately 50% in North America.
- Warning Lights and Sirens: Manufactures Federal Signal warning lights and sirens used in emergency vehicles. Market share is approximately 40% in North America. Competitors include Whelen Engineering and SoundOff Signal.
Market Dynamics
Industry Overview
The industry includes manufacturers of environmental and safety solutions driven by infrastructure spending, regulatory requirements, and public safety concerns. The industry is influenced by government regulations and technological advancements.
Positioning
Federal Signal Corporation holds a leading position in its niche markets through established brands and strong customer relationships. Its competitive advantages include a broad product portfolio and established distribution network.
Total Addressable Market (TAM)
The total addressable market for Federal Signal's products is estimated to be in the billions of dollars annually. Federal Signal is well-positioned to capture a significant portion of this TAM, particularly in North America.
Upturn SWOT Analysis
Strengths
- Strong brand recognition
- Established market position
- Diversified product portfolio
- Extensive distribution network
- High switching costs for customers
Weaknesses
- Dependence on government spending
- Exposure to cyclical industries
- Potential for product liability claims
- Raw material price fluctuations
Opportunities
- Increased infrastructure spending
- Expansion into emerging markets
- Development of new technologies
- Acquisitions of complementary businesses
- Stricter environmental regulations
Threats
- Economic downturns
- Increased competition
- Changes in government regulations
- Disruptive technologies
- Raw material price increases
Competitors and Market Share
Key Competitors
- TEN
- WM
- CNI
Competitive Landscape
Federal Signal Corporation's strengths include its established brands and strong market position. Its disadvantages compared to some competitors include a smaller scale and a greater reliance on government spending.
Major Acquisitions
Joe Johnson Equipment
- Year: 2021
- Acquisition Price (USD millions): 246
- Strategic Rationale: Expanded its environmental solutions offerings in Canada.
FS Solutions
- Year: 2018
- Acquisition Price (USD millions): 47.3
- Strategic Rationale: Expanded its aftermarket support services.
Growth Trajectory and Initiatives
Historical Growth: Federal Signal Corporation has experienced steady growth in recent years, driven by organic growth and strategic acquisitions.
Future Projections: Analysts project continued revenue growth in the mid-single digits over the next few years, driven by infrastructure spending and international expansion.
Recent Initiatives: Recent initiatives include acquisitions of smaller companies in the environmental solutions space and investments in new product development.
Summary
Federal Signal Corporation is a well-established company with a strong market position in its niche industries. Its diversified product portfolio and established brands provide a solid foundation for future growth. It's positioned to benefit from increased infrastructure spending but faces risks from economic downturns and increased competition. Continued innovation and strategic acquisitions will be key to maintaining its competitive edge.
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Sources and Disclaimers
Data Sources:
- Federal Signal Corporation Annual Reports
- SEC Filings
- Analyst Reports
- Market Research Reports
Disclaimers:
This analysis is based on publicly available information and analyst estimates. It is not financial advice and should not be used as the sole basis for investment decisions.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Federal Signal Corporation
Exchange NYSE | Headquaters Downers Grove, IL, United States | ||
IPO Launch date 1982-03-01 | President, CEO & Director Ms. Jennifer L. Sherman | ||
Sector Industrials | Industry Pollution & Treatment Controls | Full time employees 4700 | Website https://www.federalsignal.com |
Full time employees 4700 | Website https://www.federalsignal.com |
Federal Signal Corporation 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. It operates through two segments, Environmental Solutions Group, and Safety and Security Systems Group. The company offers street sweepers, sewer cleaners, industrial vacuum loaders, safe-digging trucks, dump truck bodies, and trailers, as well as waterblasting, road-marking, line-removal, metal extraction support equipment, and multi-purpose maintenance vehicles under the Elgin, Vactor, Guzzler, TRUVAC, WestechTM, Jetstream, Blasters, Mark Rite Lines, Trackless, Ox Bodies, Crysteel, J-Craft, Duraclass, Rugby, Travis, OSW, NTE, WTB, Ground Force, TowHaul, Bucks, and Switch-N-Go brands; and provides refuse and recycling collection vehicles through a dealer network or direct sales to service customers. It is also involved in sale of parts, service and repair, equipment rentals, and training. The company also provides systems for community alerting, emergency vehicles, first responder interoperable communications, and industrial communications; public safety equipment, such as vehicle lightbars and sirens, industrial signaling equipment, public warning systems, and general alarm/public address systems under the Federal Signal, Federal Signal VAMA, and Victor brand names through wholesalers, distributors, independent manufacturer representatives, original equipment manufacturers, and direct sales force, as well as independent foreign distributors. Federal Signal Corporation was founded in 1901 and is based in Oak Brook, Illinois.
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