ScoreWhy is Federal Signal Corp. ?
1
High Management Efficiency with a high ROCE of 16.00%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.11 times
3
Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 16.00%
4
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD 255.8 MM
- INTEREST COVERAGE RATIO(Q) Highest at 3,473.53
- RAW MATERIAL COST(Y) Fallen by -1.96% (YoY)
5
With ROCE of 20.66%, it has a very expensive valuation with a 4.92 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 15.27%, its profits have risen by 18.4% ; the PEG ratio of the company is 1.7
6
Consistent Returns over the last 3 years
- Along with generating 15.27% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Federal Signal Corp. should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Federal Signal Corp. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Federal Signal Corp.
36.17%
0.85
38.01%
S&P 500
14.9%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
12.31%
EBIT Growth (5y)
19.31%
EBIT to Interest (avg)
20.92
Debt to EBITDA (avg)
1.11
Net Debt to Equity (avg)
0.19
Sales to Capital Employed (avg)
1.29
Tax Ratio
23.27%
Dividend Payout Ratio
13.69%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
16.00%
ROE (avg)
15.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
Price to Book Value
5.54
EV to EBIT
22.66
EV to EBITDA
18.40
EV to Capital Employed
5.04
EV to Sales
3.64
PEG Ratio
2.32
Dividend Yield
0.47%
ROCE (Latest)
22.22%
ROE (Latest)
18.24%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bullish
Dow Theory
No Trend
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 248.1 MM
INTEREST COVERAGE RATIO(Q)
Highest at 4,139.29
RAW MATERIAL COST(Y)
Fallen by 1.53% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 14.28 %
INVENTORY TURNOVER RATIO(HY)
Highest at 4.17 times
DIVIDEND PER SHARE(HY)
Highest at USD 8.5
-2What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)
Lowest at 12.62%
Here's what is working for Federal Signal Corp.
Operating Cash Flow
Highest at USD 248.1 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Interest Coverage Ratio
Highest at 4,139.29
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio
Lowest at 14.28 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 4.17 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Dividend per share
Highest at USD 8.5
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Raw Material Cost
Fallen by 1.53% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at USD 20.3 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for Federal Signal Corp.
Dividend Payout Ratio
Lowest at 12.62% and Fallen
In each year in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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