Is It Time to Reevaluate Federal Signal Following Its Acquisition of Blasters?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 30 2025
0mins
Should l Buy FSS?
Source: Yahoo Finance
Stock Performance: Federal Signal's stock has seen a 4.9% increase over the past week and a 23.6% rise year-to-date, despite a recent 1.5% decline in the last month, driven by the acquisition of Blasters, Inc. and expansion plans.
Valuation Insights: The company scores 1 out of 6 on undervaluation checks, indicating potential concerns, while a Discounted Cash Flow (DCF) analysis suggests the stock is undervalued by 13.7% based on future cash flow projections.
PE Ratio Analysis: Federal Signal's current Price-to-Earnings (PE) ratio of 29x is above its peers and industry average, suggesting it may be overvalued compared to a fair PE ratio of 25x, which considers growth and risk factors.
Investment Narratives: The article introduces "Narratives" as a tool for investors to connect their perspectives on Federal Signal's future with financial forecasts, allowing for a more personalized approach to investment decisions.
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Analyst Views on FSS
Wall Street analysts forecast FSS stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for FSS is 112.00 USD with a low forecast of 112.00 USD and a high forecast of 112.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Analyst Rating
1 Buy
2 Hold
0 Sell
Moderate Buy
Current: 112.410
Low
112.00
Averages
112.00
High
112.00
Current: 112.410
Low
112.00
Averages
112.00
High
112.00
About FSS
Federal Signal Corporation is a global designer, manufacturer and supplier of products and total solutions that serve municipal, governmental, industrial, and commercial customers. Its segments include Environmental Solutions Group (Environmental Solutions) and Safety and Security Systems Group (Safety and Security Systems). The Environmental Solutions segment manufactures and supplies a full range of street sweepers, sewer cleaners, industrial vacuum loaders, safe-digging trucks, high-performance water blasting equipment, road-marking and line-removal equipment, dump truck bodies, trailers, metal extraction support equipment, and multipurpose maintenance vehicles. The Safety and Security Systems segment manufactures and supplies systems and products that law enforcement, fire rescue, emergency medical services, campuses, military facilities, and industrial sites use to protect people and property. Its brands include Jetstream, Blasters, Federal Signal VAMA, and Victor, among others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Federal Signal Corporation to Announce Q4 Earnings
- Earnings Announcement Schedule: Federal Signal Corporation is set to announce its fourth-quarter earnings before the market opens on February 25, 2026, which is expected to provide investors with critical financial performance data to assess the company's future growth potential.
- Investor Conference Call: On the same day at 10 a.m. Eastern Time, the company will host an investor conference call led by CEO Jennifer L. Sherman and CFO Ian A. Hudson, aimed at addressing questions from investors and analysts to enhance transparency.
- Webcast Access: Investors and analysts can access the webcast via the company's website, ensuring broad participation and further enhancing interaction and communication between the company and its investors.
- Replay Service: After the call concludes, investors can access a replay of the conference call through the company's website, providing a convenient way for those unable to participate live to obtain important information, thereby increasing information accessibility.
See More
Federal Signal Corporation to Announce Q4 Earnings
- Earnings Announcement: Federal Signal Corporation is set to release its fourth-quarter earnings before the market opens on February 25, 2026, which is expected to provide investors with insights into the company's financial performance and future outlook.
- Investor Conference Call: On the same day at 10 a.m. Eastern Time, the company will host an investor conference call led by CEO Jennifer L. Sherman and CFO Ian A. Hudson, aimed at addressing questions from investors and analysts.
- Webcast Access: Investors and analysts can access the webcast via the company’s website, ensuring transparency and enhancing engagement with investors, which may bolster market confidence.
- Replay Availability: An archived replay of the conference call will be available shortly after the call concludes on the company’s website, further enhancing information accessibility and transparency, aiding investors in making informed decisions.
See More
Federal Signal Corporation Completes Acquisition of Mega, Enhancing Metal Extraction Market Competitiveness
- Acquisition Completed: Federal Signal Corporation announced on January 16, 2026, the completion of its acquisition of Mega, which is expected to enhance its depth in the global metal extraction support equipment market and positively impact earnings and cash flow in 2026.
- Strategic Fit: The integration of Mega not only enriches Federal Signal's specialty vehicle platform but also enhances global market reach through a shared customer base and complementary product portfolio, laying the groundwork for significant growth opportunities.
- Leadership Welcome: CEO Jennifer L. Sherman expressed excitement in welcoming Mega's talented team, emphasizing that the acquisition will bring new expertise and technological advantages to further drive business development.
- Optimistic Market Outlook: The acquisition is anticipated to strengthen Federal Signal's competitiveness in the metal extraction and construction markets, combining with existing Ground Force and TowHaul businesses to create a more formidable market presence and support long-term growth in the industry.
See More
Federal Signal Corporation Acquires Mega Corp, Enhancing Metal Extraction Market Competitiveness
- Acquisition Completed: Federal Signal Corporation has finalized its acquisition of Mega Corp, which is expected to enhance its depth in the global metal extraction support equipment market and positively impact earnings and cash flow in 2026.
- Strategic Fit: The integration of Mega not only enriches Federal Signal's specialty vehicle platform but also enhances global market reach through a complementary product portfolio and shared customer base, positioning the company to capture significant growth opportunities.
- Leadership Welcome: CEO Jennifer L. Sherman expressed excitement in welcoming Mega's talented team, emphasizing that this acquisition brings both talent and technology advantages that will further drive business development.
- Market Outlook: This acquisition is viewed as a strategic expansion for Federal Signal in the metal extraction and construction markets, expected to enhance overall market competitiveness and customer service capabilities through the integration of existing Ground Force and TowHaul businesses.
See More
Federal Signal Acquires Mega Corp for $45.5 Million
- Acquisition Agreement: Federal Signal has signed a definitive agreement to acquire Mega Corp for $45.5 million, enhancing its depth in the global metal extraction support equipment market, with completion expected in Q1 2026.
- Market Expansion: Mega generated approximately $40 million in net sales for 2024, with 30% from aftermarket parts, allowing Federal Signal to broaden its product portfolio and share customer bases through this acquisition.
- Team Integration: The acquisition will bring approximately 95 talented employees from Mega into the Federal Signal family, strengthening operational capabilities and enhancing market competitiveness.
- Financial Impact: The transaction is anticipated to be accretive to earnings and cash flow in 2026, further driving growth potential within Federal Signal's specialty vehicle platform.
See More
Federal Signal Acquires Mega Corp for $45.5 Million
- Acquisition Agreement: Federal Signal has signed a definitive agreement to acquire Mega Corp for $45.5 million, enhancing its depth in the global metal extraction support equipment market, with completion expected in Q1 2026.
- Market Expansion: Mega generated approximately $40 million in net sales for 2024, with 30% from aftermarket parts, providing Federal Signal with a new customer base and product portfolio.
- Strategic Fit: The acquisition is viewed as a logical extension of Federal Signal's existing Ground Force and TowHaul businesses, expected to enhance its competitive position within the specialty vehicle platform.
- Team Integration: Approximately 95 employees from Mega will join Federal Signal, strengthening the company's expertise in the metal extraction and construction markets and driving future growth opportunities.
See More
Federal Signal Corporation to Announce Q4 Earnings
- Earnings Announcement Schedule: Federal Signal Corporation is set to announce its fourth-quarter earnings before the market opens on February 25, 2026, which is expected to provide investors with critical financial performance data to assess the company's future growth potential.
- Investor Conference Call: On the same day at 10 a.m. Eastern Time, the company will host an investor conference call led by CEO Jennifer L. Sherman and CFO Ian A. Hudson, aimed at addressing questions from investors and analysts to enhance transparency.
- Webcast Access: Investors and analysts can access the webcast via the company's website, ensuring broad participation and further enhancing interaction and communication between the company and its investors.
- Replay Service: After the call concludes, investors can access a replay of the conference call through the company's website, providing a convenient way for those unable to participate live to obtain important information, thereby increasing information accessibility.
See More
Federal Signal Corporation to Announce Q4 Earnings
- Earnings Announcement: Federal Signal Corporation is set to release its fourth-quarter earnings before the market opens on February 25, 2026, which is expected to provide investors with insights into the company's financial performance and future outlook.
- Investor Conference Call: On the same day at 10 a.m. Eastern Time, the company will host an investor conference call led by CEO Jennifer L. Sherman and CFO Ian A. Hudson, aimed at addressing questions from investors and analysts.
- Webcast Access: Investors and analysts can access the webcast via the company’s website, ensuring transparency and enhancing engagement with investors, which may bolster market confidence.
- Replay Availability: An archived replay of the conference call will be available shortly after the call concludes on the company’s website, further enhancing information accessibility and transparency, aiding investors in making informed decisions.
See More
Federal Signal Corporation Completes Acquisition of Mega, Enhancing Metal Extraction Market Competitiveness
- Acquisition Completed: Federal Signal Corporation announced on January 16, 2026, the completion of its acquisition of Mega, which is expected to enhance its depth in the global metal extraction support equipment market and positively impact earnings and cash flow in 2026.
- Strategic Fit: The integration of Mega not only enriches Federal Signal's specialty vehicle platform but also enhances global market reach through a shared customer base and complementary product portfolio, laying the groundwork for significant growth opportunities.
- Leadership Welcome: CEO Jennifer L. Sherman expressed excitement in welcoming Mega's talented team, emphasizing that the acquisition will bring new expertise and technological advantages to further drive business development.
- Optimistic Market Outlook: The acquisition is anticipated to strengthen Federal Signal's competitiveness in the metal extraction and construction markets, combining with existing Ground Force and TowHaul businesses to create a more formidable market presence and support long-term growth in the industry.
See More
Federal Signal Corporation Acquires Mega Corp, Enhancing Metal Extraction Market Competitiveness
- Acquisition Completed: Federal Signal Corporation has finalized its acquisition of Mega Corp, which is expected to enhance its depth in the global metal extraction support equipment market and positively impact earnings and cash flow in 2026.
- Strategic Fit: The integration of Mega not only enriches Federal Signal's specialty vehicle platform but also enhances global market reach through a complementary product portfolio and shared customer base, positioning the company to capture significant growth opportunities.
- Leadership Welcome: CEO Jennifer L. Sherman expressed excitement in welcoming Mega's talented team, emphasizing that this acquisition brings both talent and technology advantages that will further drive business development.
- Market Outlook: This acquisition is viewed as a strategic expansion for Federal Signal in the metal extraction and construction markets, expected to enhance overall market competitiveness and customer service capabilities through the integration of existing Ground Force and TowHaul businesses.
See More
Federal Signal Acquires Mega Corp for $45.5 Million
- Acquisition Agreement: Federal Signal has signed a definitive agreement to acquire Mega Corp for $45.5 million, enhancing its depth in the global metal extraction support equipment market, with completion expected in Q1 2026.
- Market Expansion: Mega generated approximately $40 million in net sales for 2024, with 30% from aftermarket parts, allowing Federal Signal to broaden its product portfolio and share customer bases through this acquisition.
- Team Integration: The acquisition will bring approximately 95 talented employees from Mega into the Federal Signal family, strengthening operational capabilities and enhancing market competitiveness.
- Financial Impact: The transaction is anticipated to be accretive to earnings and cash flow in 2026, further driving growth potential within Federal Signal's specialty vehicle platform.
See More
Federal Signal Acquires Mega Corp for $45.5 Million
- Acquisition Agreement: Federal Signal has signed a definitive agreement to acquire Mega Corp for $45.5 million, enhancing its depth in the global metal extraction support equipment market, with completion expected in Q1 2026.
- Market Expansion: Mega generated approximately $40 million in net sales for 2024, with 30% from aftermarket parts, providing Federal Signal with a new customer base and product portfolio.
- Strategic Fit: The acquisition is viewed as a logical extension of Federal Signal's existing Ground Force and TowHaul businesses, expected to enhance its competitive position within the specialty vehicle platform.
- Team Integration: Approximately 95 employees from Mega will join Federal Signal, strengthening the company's expertise in the metal extraction and construction markets and driving future growth opportunities.
See More
