Federal Signal Corporation (NYSE:FSS) came out with its full-year results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Federal Signal reported US$1.7b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$2.56 beat expectations, being 3.8% higher than what the analysts expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Federal Signal

Following the latest results, Federal Signal's four analysts are now forecasting revenues of US$1.89b in 2024. This would be a decent 9.7% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to climb 18% to US$3.04. Before this earnings report, the analysts had been forecasting revenues of US$1.82b and earnings per share (EPS) of US$2.92 in 2024. It looks like there's been a modest increase in sentiment following the latest results, withthe analysts becoming a bit more optimistic in their predictions for both revenues and earnings.

It will come as no surprise to learn that the analysts have increased their price target for Federal Signal 7.3% to US$73.50on the back of these upgrades. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Federal Signal analyst has a price target of US$80.00 per share, while the most pessimistic values it at US$67.00. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's clear from the latest estimates that Federal Signal's rate of growth is expected to accelerate meaningfully, with the forecast 9.7% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 8.0% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 3.2% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Federal Signal is expected to grow much faster than its industry.