NYSE: FSS · Agricultural Machinery
Federal Signal (FSS) fair value: undervalued or overvalued?
As of 3 Oct 2026, Faircurve's model values Federal Signal (FSS) at $118.32 a share. The stock last closed at $116.34, which puts the model's fair value 1.7% above the price. On the model's bands that reads as Fairly valued.
Revalued . Price is the close of 2 Oct 2026. Federal Signal Corporation.
Faircurve Insights · 3 Oct 2026
Federal Signal Corporation develops, produces, and distributes an extensive range of products and integrated solutions through its various subsidiaries.
Faircurve's model found a fair value of $118.32 a share on 3 Oct 2026, the midpoint of 2,000 simulations. The previous run, on 26 Sep 2026, gave $116.53, so the fair value moved +1.5%. The calibrated range over 63 trading days is $98.72 to $143.44, built from the fair value, and ranges built this way held the price 60% of the time at this horizon. The evidence grade is High.
The overall quality score is 69 out of 100, against comparable companies AGCO Corporation, Oshkosh Corp, Lindsay Corporation, Deere & Company, and Caterpillar Inc. Profitability scored 72, earnings quality 60, growth quality 91, capital discipline 56, balance sheet 73, and stability 44. The median size of moves around the last 8 earnings reports was 10.1%.
Written from the figures on this page for the 3 Oct 2026 valuation and checked by rule before publishing: every number is one printed here, no forecast, no instruction. The price, the gap and the verdict are the page's own and change daily. Not a recommendation.
What price range does the model give FSS?
The calibrated range for FSS over 63 trading days is $98.72 to $143.44. There is no live options data for this stock, so the range is built from the fair value and calibrated weekly against realised prices (n = 4,809 past valuations, refreshed 3 Oct 2026). Ranges built this way held the price 60% of the time at this horizon.
The model's own simulated range, from the 20th to the 80th percentile of its runs, is $88.55 to $157.56. In 52% of the simulations the fair value came out above the price the model ran on.
How does FSS score on business quality?
Federal Signal's overall quality score is 69 out of 100. Each factor below is a score against comparable companies, not a percentile of the metric beside it.
| Factor | Score (0 to 100) | Headline measure | Peer median |
|---|---|---|---|
| ProfitabilityReturn on invested capital against the peer group, with a bonus for an improving trend. | 72 | 16.3%ROIC | 11.5% |
| Earnings qualityHow much of reported profit is cash: free cash flow to net income, and the accrual ratio (the share of earnings that is not cash). | 60 | 1.19xFCF / net income | 0.96x |
| Growth qualityTrailing revenue growth, forward growth from consensus, and the direction of analyst estimate revisions. | 91 | 17.1%Revenue growth, trailing | 7.0% |
| Capital disciplineReinvestment efficiency (capital spending per unit of revenue) and net buybacks. | 56 | 0.1%Net buybacks / market value | 1.4% |
| Balance sheetNet debt to EBITDA and interest coverage. | 73 | 0.87xNet debt / EBITDA | 1.27x |
| StabilityDownside volatility of the EBITDA margin over the last five years. | 44 | 1.3 ptsEBITDA margin downside volatility, 5y | 1.2 pts |
How does FSS compare with similar companies?
The companies in agricultural machinery closest to Federal Signal in market value, each on the same model and the same date.
| Company | Last close | Model fair value | Gap | Model verdict |
|---|---|---|---|---|
| AGCO AGCO Corporation | $114.61 | $129.98 | +13.4% | Fairly valued |
| OSK Oshkosh Corp | $133.85 | $200.62 | +49.9% | Undervalued |
| LNN Lindsay Corporation | $114.35 | $107.10 | -6.3% | Fairly valued |
| DE Deere & Company | $687.00 | $623.78 | -9.2% | Fairly valued |
| CAT Caterpillar Inc. | $845.42 | $741.83 | -12.3% | Fairly valued |
All agricultural machinery stocks ranked by gap to fair value
When does FSS report earnings, and how has the stock reacted?
Federal Signal's next earnings report is scheduled for 29 Oct 2026. Companies can move their dates.
Options prices on 2 Oct 2026 imply a move of about 12.0% in either direction through the nearest expiry, about 48 days out, a window that includes the report. That is the size the market is pricing, not a direction.
How FSS moved around its last 8 earnings reports
Each move runs from the last close before the report to the first close after it, so it covers companies that report before the open and after the close. The median size across these 8 reports, ignoring direction, was 10.1%.
| Report date | Two session move |
|---|---|
| 30 Jul 2026 | +11.7% |
| 29 Apr 2026 | +10.2% |
| 25 Feb 2026 | +0.5% |
| 30 Oct 2025 | -9.0% |
| 30 Jul 2025 | +20.7% |
| 30 Apr 2025 | +31.9% |
| 26 Feb 2025 | -10.0% |
| 31 Oct 2024 | -3.5% |
Federal Signal at a glance
Federal Signal Corporation, operating through its various subsidiaries, specializes in the development, production, and distribution of an extensive range of products and integrated solutions.
- Market value
- $7.1B
- Sector
- Industrials
- Industry
- Agricultural Machinery
- Revenue expected, next twelve months
- $2.8B
- Consensus revenue growth, next fiscal year
- +21.0%
- Analysts with estimates
- 7
- Beta to the US market
- 1.20
- First valued by Faircurve
- 11 Jul 2026
How the fair value is worked out: the model prices Federal Signal on the value of the whole business, debt included, against the operating profit analysts expect next year (forward EV/EBITDA), runs 2,000 simulations across its inputs and takes the midpoint. The full method is documented here.
What changed in the latest valuation?
On 26 Sep 2026 the model's fair value for FSS was $116.53. As of 3 Oct 2026 it is $118.32, a change of +1.5%. The model revalues every stock it covers each week, and again after an earnings report.
Questions about Federal Signal's valuation
Is Federal Signal stock undervalued or overvalued?
On Faircurve's model, FSS reads as Fairly valued as of 3 Oct 2026. The model's fair value is $118.32 a share against a last close of $116.34, a gap of +1.7%.
What is FSS's fair value?
$118.32 a share as of 3 Oct 2026, the midpoint of 2,000 simulations. The model's own 20th to 80th percentile range is $88.55 to $157.56.
What price range does the model give FSS?
$98.72 to $143.44 over 63 trading days. Ranges built this way held the price 60% of the time across 4,809 past valuations, refreshed 3 Oct 2026.
When does Federal Signal report earnings next?
The next report is scheduled for 29 Oct 2026. Companies can move their dates.
How much has FSS moved on past earnings reports?
Across its last 8 reports the median two session move was 10.1%, ignoring direction. The largest was +31.9% around the report of 30 Apr 2025.
How confident is the model in this valuation?
The model's evidence grade for FSS is high. The grade looks at how complete the inputs are, how many comparable companies there are and how closely they agree, and how wide the range of outcomes is. It is not a probability that the fair value is right, or that the price reaches it.