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Parsons (PSN)
NYSE:PSN
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Parsons (PSN) Price & Analysis

675 Followers

PSN Stock Chart & Stats

$58.73
$0.95(1.62%)
At close: 4:00 PM EDT
$58.73
$0.95(1.62%)

Bulls Say, Bears Say

Bulls Say
Improving Profitability & MarginsRecord adjusted EBITDA margin and record quarterly adjusted EBITDA demonstrate durable operating leverage from higher-margin work and efficiency. Sustained margin expansion increases cash flow resilience across contract types, giving Parsons more runway to invest in tech, fund bids, and absorb fixed-price project variability over multiple quarters.
Strong Backlog & BookingsA large, highly funded backlog and above‑par book-to-bill provide multi-quarter revenue visibility and reduce top-line volatility from timing shifts. High funded backlog and $11B awarded/unbooked create structural revenue support and improve predictability of utilization and staffing plans across Federal and Critical Infrastructure segments.
Strong Cash Generation & Balance Sheet ProgressConsistent free cash flow and >100% free cash conversion indicate high earnings quality and internal funding capacity for acquisitions or capital returns. Strong OCF and FCF support strategic investments (e.g., Altamira), share repurchases, and deleveraging options, underpinning durable financial flexibility even if revenue timing fluctuates.
Bears Say
Revenue DecelerationRecent top-line deceleration and negative TTM revenue growth reflect timing/volume pressures and a confidential fixed-price contract that distorted comparisons. Slower revenue growth reduces operating leverage benefits and increases reliance on backlog conversion and margin gains to maintain earnings and cash flow over the coming quarters.
Increasing LeverageMaterial rise in debt since 2023 and a net leverage near 2.0x elevates sensitivity to revenue or margin shocks. With operating cash flow relative to total debt near ~0.31, several years of current cash generation would be needed to pay down debt, reducing optionality if large contract timing or bid losses occur.
Working Capital & SG&A PressureRising DSO and higher SG&A from recent deals create persistent cash volatility and compress margins. Elevated contract assets/unbilled balances and acquisition-related costs can lengthen cash conversion cycles and limit near-term free cash flow flexibility, stressing funding for capex, bids, or deleveraging if trends persist.

Parsons News

PSN FAQ

What was Parsons’s price range in the past 12 months?
Parsons lowest stock price was $46.88 and its highest was $89.50 in the past 12 months.
    What is Parsons’s market cap?
    Parsons’s market cap is $6.28B.
      When is Parsons’s upcoming earnings report date?
      Parsons’s upcoming earnings report date is Jul 29, 2026 which is in 2 days.
        How were Parsons’s earnings last quarter?
        Parsons released its earnings results on Apr 29, 2026. The company reported $0.79 earnings per share for the quarter, beating the consensus estimate of $0.683 by $0.107.
          Is Parsons overvalued?
          According to Wall Street analysts Parsons’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Parsons pay dividends?
            Parsons does not currently pay dividends.
            What is Parsons’s EPS estimate?
            Parsons’s EPS estimate is 0.76.
              How many shares outstanding does Parsons have?
              Parsons has 106,978,520 shares outstanding.
                What happened to Parsons’s price movement after its last earnings report?
                Parsons reported an EPS of $0.79 in its last earnings report, beating expectations of $0.683. Following the earnings report the stock price went down -2.971%.
                  Which hedge fund is a major shareholder of Parsons?
                  Currently, no hedge funds are holding shares in PSN
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Parsons

                    Parsons Corporation is a global provider of comprehensive solutions and services, primarily operating in the defense, intelligence, and critical infrastructure sectors. Its reach extends across North America, the Middle East, and other international regions. The company organizes its operations into two main divisions: Federal Solutions and Critical Infrastructure. Within its Federal Solutions segment, Parsons delivers advanced cybersecurity and intelligence capabilities. This includes developing and deploying offensive and defensive cyber platforms, tools, and operational support for clients like the U.S. Department of Defense and the wider U.S. intelligence community. It also specializes in space and geospatial technologies, offering expertise in areas such as geospatial intelligence, threat assessment, space situational awareness, small satellite deployment and integration, ground control systems, flight dynamics, and command and control solutions. Key beneficiaries of these services include the National Geospatial-Intelligence Agency, the National Reconnaissance Office, and various branches of the U.S. DoD. Furthermore, Parsons provides sophisticated missile defense and C5ISR (Command, Control, Computers, Communications, Cyber, Intelligence, Surveillance, and Reconnaissance) solutions, encompassing integrated air and missile defense, data fusion, analytics, platform system integration, directed energy, joint all-domain operations, and command and control systems, serving entities like the Defense Intelligence Agency and the DoD. The company's technology services in this segment also cover critical infrastructure components such as energy production, aviation, healthcare, bio-surveillance, and environmental systems, alongside associated infrastructure. This extends to specialized areas like nuclear waste processing, WMD elimination, program/project management, infectious disease analytics, and data protection. The Critical Infrastructure segment focuses on enhancing urban and public systems. Offerings here include intelligent transportation system management, aviation, rail, and transit system solutions, smart city software development, and robust cybersecurity for critical infrastructure assets. These services are provided to transportation authorities and rail/transit operators. Parsons also delivers essential engineering, program management, and environmental solutions to private industrial clients and public utility providers. Established in 1944, Parsons Corporation maintains its headquarters in Centreville, Virginia.

                    Parsons (PSN) Earnings & Revenues

                    PSN Company Deck

                    PSN Earnings Call

                    Q1 2026
                    0:00 / 0:00
                    Earnings Call Sentiment|Positive
                    The call conveyed a broadly positive operational and financial picture: record adjusted EBITDA margin, record total and funded backlog, strong bookings and multiple large strategic awards, completion of a strategic acquisition, and robust cash conversion. Offsetting items included working capital timing (DSO increase), higher SG&A from recent acquisitions, mixed revenue comparatives driven by a confidential contract, and conservative near-term phasing that lowers Q2 expectations. Overall the company emphasized resilience, strong forward indicators (pipeline, win rates, awards), and reiterated full-year guidance.View all PSN earnings summaries

                    PSN Stock 12 Month Forecast

                    Average Price Target

                    $66.91
                    ▲(13.93% Upside)
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11,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 2, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":82.69,"date":1764547200000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 16,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 6, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":61.8,"date":1767225600000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 23,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 6, \t&nbsp;</span>\n     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                    Ownership Overview

                    1.29%14.67%0.14%69.36%
                    0.14% Other Institutional Investors
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