‘Best of the Best’ Stock Picks #3: Federal Signal (FSS)
Federal Signal (FSS) makes everything from fire trucks to street sweepers and is benefiting for pent-up demand for its products.
Municipal spending was curtailed during the recent recession. However, the reality of equipment is that it ages — and eventually, it needs to be replaced. Well, right now we are in the early stages of the replace/upgrade cycle for many of the machines that Federal Signal sells.
Business has been much better than Wall Street anticipated, leading to FSS stock posting three consecutive earnings surprises to the upside.
FSS stock was upgraded by Portfolio Grader back in August, and continued strong growth has this company continuing to look like a “strong buy” at current prices.
Louis Navellier is the editor of Blue Chip Growth.