Federal Signal (FSS) Q1 Earnings Top Estimates

Core Viewpoint - Federal Signal (FSS) reported quarterly earnings of $0.76 per share, exceeding the Zacks Consensus Estimate of $0.73 per share, and showing an increase from $0.64 per share a year ago [1][2] Financial Performance - The earnings surprise for the quarter was 4.11%, with the company previously expected to earn $0.86 per share but actually earning $0.87, resulting in a surprise of 1.16% [2] - Federal Signal's revenues for the quarter ended March 2025 were $463.8 million, which missed the Zacks Consensus Estimate by 0.57%, compared to $424.9 million in the same quarter last year [3] - Over the last four quarters, the company has surpassed consensus EPS estimates four times but has only topped consensus revenue estimates once [3] Stock Performance - Federal Signal shares have declined approximately 18.1% since the beginning of the year, while the S&P 500 has decreased by 5.5% [4] - The company's earnings outlook is crucial for future stock performance, with current consensus EPS estimates at $1.06 for the coming quarter and $3.77 for the current fiscal year, with revenues expected to be $533.73 million and $2.05 billion respectively [5][8] Industry Context - The Diversified Operations industry, to which Federal Signal belongs, is currently ranked in the top 36% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [9] - The correlation between near-term stock movements and earnings estimate revisions suggests that tracking these revisions can provide insights into stock performance [6][7]