Federal Signal Lags Ford with 26.24 P/E, 5.54 P/B
Federal Signal holds a forward P/E ratio of 26.24, PEG ratio of 1.87 and P/B ratio of 5.54, earning a Value grade C in the Style Score system and a Zacks Rank #2. These metrics trail Ford's forward P/E of 9.28, PEG 0.34, P/B 1.56 and Value grade A.
1. Federal Signal Valuation Metrics
Federal Signal’s forward P/E ratio stands at 26.24, its PEG ratio is 1.87 and its P/B ratio measures 5.54. These metrics feed into a Value grade C in the Style Score system, reflecting above-average multiples relative to fundamentals.
2. Comparison with Ford Motor Company
By contrast, Ford Motor Company posts a forward P/E of 9.28, a PEG ratio of 0.34 and a P/B ratio of 1.56, earning a Value grade A. The disparity suggests Ford shares are trading at a more attractive valuation for value-focused investors.
3. Zacks Rank Implications
Federal Signal carries a Zacks Rank #2 (Buy) based on positive earnings estimate revisions, but it remains behind Ford’s Zacks Rank #1 (Strong Buy). This gap indicates that analyst revisions favor Ford’s earnings outlook more strongly than Federal Signal’s.