Conestoga Capital Advisors LLC Sells 98,479 Shares of Federal Signal Corporation $FSS

Conestoga Capital Advisors LLC decreased its position in shares of Federal Signal Corporation (NYSE:FSS) by 9.0% in the 4th quarter, HoldingsChannel reports. The firm owned 1,000,084 shares of the conglomerate’s stock after selling 98,479 shares during the quarter. Federal Signal accounts for 1.8% of Conestoga Capital Advisors LLC’s portfolio, making the stock its 25th largest holding. Conestoga Capital Advisors LLC’s holdings in Federal Signal were worth $108,599,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also bought and sold shares of FSS. Allspring Global Investments Holdings LLC lifted its stake in shares of Federal Signal by 47.2% in the fourth quarter. Allspring Global Investments Holdings LLC now owns 88,210 shares of the conglomerate’s stock valued at $9,579,000 after buying an additional 28,299 shares in the last quarter. Tudor Investment Corp ET AL lifted its stake in shares of Federal Signal by 200.0% in the third quarter. Tudor Investment Corp ET AL now owns 265,308 shares of the conglomerate’s stock valued at $31,569,000 after buying an additional 176,870 shares in the last quarter. Nordea Investment Management AB bought a new position in shares of Federal Signal in the fourth quarter valued at $8,590,000. Fort Washington Investment Advisors Inc. OH lifted its stake in shares of Federal Signal by 76.7% in the fourth quarter. Fort Washington Investment Advisors Inc. OH now owns 247,531 shares of the conglomerate’s stock valued at $26,879,000 after buying an additional 107,474 shares in the last quarter. Finally, B. Metzler seel. Sohn & Co. AG lifted its stake in shares of Federal Signal by 60.5% in the fourth quarter. B. Metzler seel. Sohn & Co. AG now owns 30,772 shares of the conglomerate’s stock valued at $3,342,000 after buying an additional 11,605 shares in the last quarter. Institutional investors own 92.73% of the company’s stock.

Analyst Ratings Changes

A number of research analysts have weighed in on the stock. Wall Street Zen lowered shares of Federal Signal from a “buy” rating to a “hold” rating in a research note on Saturday, February 28th. CJS Securities raised shares of Federal Signal from a “market perform” rating to a “market outperform” rating and set a $140.00 price objective on the stock in a research note on Thursday, February 26th. Finally, KeyCorp restated an “overweight” rating and set a $140.00 price target on shares of Federal Signal in a report on Thursday. Four research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $134.25.

Federal Signal Stock Up 1.5%

Federal Signal stock opened at $123.27 on Friday. Federal Signal Corporation has a fifty-two week low of $80.79 and a fifty-two week high of $132.89. The stock has a market cap of $7.51 billion, a PE ratio of 28.02, a price-to-earnings-growth ratio of 1.84 and a beta of 1.33. The firm’s 50-day simple moving average is $112.42 and its 200 day simple moving average is $113.58. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.35 and a current ratio of 2.84.

Federal Signal (NYSE:FSS) last released its quarterly earnings results on Wednesday, April 29th. The conglomerate reported $1.18 earnings per share for the quarter, topping the consensus estimate of $0.89 by $0.29. Federal Signal had a net margin of 11.56% and a return on equity of 21.18%. The business had revenue of $625.60 million for the quarter, compared to analysts’ expectations of $579.87 million. During the same period in the previous year, the company earned $0.76 earnings per share. The firm’s revenue for the quarter was up 35.0% compared to the same quarter last year. Federal Signal has set its FY 2026 guidance at 4.800-5.050 EPS. Research analysts predict that Federal Signal Corporation will post 4.71 EPS for the current fiscal year.

Federal Signal Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, May 29th. Investors of record on Friday, May 15th will be issued a dividend of $0.15 per share. The ex-dividend date is Friday, May 15th. This represents a $0.60 annualized dividend and a yield of 0.5%. Federal Signal’s payout ratio is 13.64%.

More Federal Signal News

Here are the key news stories impacting Federal Signal this week:

• Positive Sentiment: Q1 beat — FSS posted $1.18 EPS vs. a $0.89 consensus and revenue of $625.6M (up 35% YoY), signaling solid demand and margin expansion. Federal Signal (FSS) Q1 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Raised FY‑2026 guidance — management lifted adjusted EPS guidance to $4.80–$5.05 (above consensus) and increased the SSG EBITDA margin target to 22%–28%, providing an explicit profit‑margin upside path. Federal Signal raises 2026 adjusted EPS outlook to $4.80-$5.05 while lifting SSG margin target to 22%-28%
• Positive Sentiment: Operational strength & cash flow — the company reported a ~52% improvement in operating income, strong cash generation and higher EBITDA margin targets, which supports deleveraging and reinvestment optionality. Federal Signal Reports First Quarter Results
• Positive Sentiment: Market reaction — press coverage and premarket commentary highlighted the beat and guidance lift, driving a notable intraday rally. Federal Signal Shares Rally Premarket After 2026 Guidance Lifted
• Neutral Sentiment: Investor materials available — management provided a slide deck and hosted a conference call (useful for color on order trends, backlog and margin cadence). Listen to Conference Call / View Slide Deck
• Negative Sentiment: Valuation and execution risk — FSS now trades at a higher multiple (P/E ~26) and the upside depends on realizing the elevated SSG margins and sustaining revenue growth; monitor margin execution, backlog conversion and cyclical demand.

About Federal Signal

Federal Signal Corporation (NYSE: FSS), headquartered in Oak Brook, Illinois, is a diversified industrial company that designs, manufactures and markets a broad range of products and services for municipal, commercial and industrial customers worldwide. Founded in 1901 in Chicago, the company has grown through a combination of organic investment and strategic acquisitions to become a leading provider of environmental management and safety and security solutions.

Federal Signal operates through two primary business segments.