WallStSmart

Eastern Co (EML)vsFederal Signal Corporation (FSS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Federal Signal Corporation generates 898% more annual revenue ($2.45B vs $245.33M). FSS leads profitability with a 11.7% profit margin vs 2.4%. EML appears more attractively valued with a PEG of 1.15. FSS earns a higher WallStSmart Score of 64/100 (C+).

EML

Hold

44

out of 100

Grade: D

Growth: 2.0Profit: 4.5Value: 6.0Quality: 8.5
Piotroski: 5/9Altman Z: 3.41

FSS

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 5.0Quality: 7.5
Piotroski: 3/9Altman Z: 3.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EMLUndervalued (+26.5%)

Margin of Safety

+26.5%

Fair Value

$25.53

Current Price

$24.90

$0.63 discount

UndervaluedFair: $25.53Overvalued

Intrinsic value data unavailable for FSS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EML2 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.4110/10

Safe zone — low bankruptcy risk

FSS3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
18.7%8/10

18.7% revenue growth

EPS GrowthGrowth
20.7%8/10

Earnings expanding 20.7% YoY

Areas to Watch

EML4 concerns · Avg: 3.3/10
P/E RatioValuation
32.1x4/10

Premium valuation, high expectations priced in

Market CapQuality
$148.78M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.1%3/10

ROE of 3.1% — below average capital efficiency

Profit MarginProfitability
2.4%3/10

2.4% margin — thin

FSS3 concerns · Avg: 3.7/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

P/E RatioValuation
26.9x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : EML

The strongest argument for EML centers on Price/Book, Altman Z-Score. PEG of 1.15 suggests the stock is reasonably priced for its growth.

Bull Case : FSS

The strongest argument for FSS centers on Altman Z-Score, Revenue Growth, EPS Growth. Revenue growth of 18.7% demonstrates continued momentum.

Bear Case : EML

The primary concerns for EML are P/E Ratio, Market Cap, Return on Equity. Thin 2.4% margins leave little buffer for downturns.

Bear Case : FSS

The primary concerns for FSS are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

EML profiles as a value stock while FSS is a growth play — different risk/reward profiles.

FSS carries more volatility with a beta of 1.23 — expect wider price swings.

FSS is growing revenue faster at 18.7% — sustainability is the question.

FSS generates stronger free cash flow (95M), providing more financial flexibility.

Bottom Line

FSS scores higher overall (64/100 vs 44/100) and 18.7% revenue growth. EML offers better value entry with a 26.5% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Eastern Co

INDUSTRIALS · TOOLS & ACCESSORIES · USA

The Eastern Company designs, manufactures, and sells engineering solutions to industrial markets in the United States and internationally. The company is headquartered in Naugatuck, Connecticut.

Federal Signal Corporation

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

Federal Signal Corporation designs, manufactures, and supplies a suite of integrated products and solutions for municipal, government, industrial, and commercial customers in the United States, Canada, Europe, and internationally. The company is headquartered in Oak Brook, Illinois.

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