Lumida
/PSN
⌘K
Parsons Corp

Parsons Corp

PSN
$45.75USD↓-0.28%-0.13 today

MARKET CAP

4.9B

P/E (TTM)

21.9x

FWD P/E

—

DAY RANGE

$45 – $46

52W RANGE

$36
$90

AI Summary

Stalk
TrimMedium

PSN remains entrenched in a Stage 4 downtrend, trading below declining EMAs with no active bullish patterns. The medium-term tradable side stays bearish as rallies into the EMA cluster continue to fail. Short-term timing is neutral amid consolidation and oversold context. As a speculative strategy, trimming into any bounce toward EMA resistance preserves discipline and mitigates risk in an unclear technical environment.

  • ↑Reported Q1 revenue $1.8B (+8% YoY; +12% in federal solutions)
  • ↑Backlog at $9.3B (71% funded) secures H2 2026 revenues
  • ↓Federal solutions EBITDA down 34% QoQ due to fixed-price mix
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Parsons Corporation (NYSE: PSN) specializes in technology-driven solutions in the defense and critical infrastructure sectors. The company's diversified portfolio includes federal solutions, cyber operations, and environmental services. Parsons is positioned to benefit from increased government spending on infrastructure modernization and defense initiatives, especially in the context of rising geopolitical tensions.

Bull says

  • ↑Reported Q1 revenue $1.8B (+8% YoY; +12% in federal solutions)
  • ↑Backlog at $9.3B (71% funded) secures H2 2026 revenues
  • ↑Federal bookings jumped 51% YoY, delivering a 1.3x book-to-bill ratio
  • ↑Adjusted EBITDA margin rose to 10.1% on improved contract execution
  • ↑FY27 defense budget ~$1.5T provides robust spending tailwind
  • ↑Applied Sciences acquisition expands water infrastructure expertise

Bear says

  • ↓Federal solutions EBITDA down 34% QoQ due to fixed-price mix
  • ↓SG&A up 10% YoY, compressing margins
  • ↓Heavy federal contract reliance exposes revenue to approval delays
  • ↓Declining earnings revisions suggest falling analyst expectations
  • ↓Low earnings and dividend yields limit investor returns
  • ↓High short interest underscores market skepticism

Investment themes with PSN

Defense Tech↓ -1.40%

LMT · RTX · GD

Earnings Call · Q2 2025 · Mgmt. Guidance

Updated 08-19-2026neutral

Transcript signals

Bull points

  • $6 billion awaiting notice of award. We have a $55 billion pipeline.
  • funded backlog that you're seeing that raises any risk to that outlook, or does that look all well aligned at this point?
  • Our funded backlog is the highest it's been at 70%, so very strong.

Bear points

  • the biggest driver, of course, was the lower volume on our confidential contract that came down about $250 million year over year. Fixed price contracts obviously are creative, so the impact from that put a damper on the margins.
  • total revenue of $1.6 billion decreased 5% from the prior year period and was down 9% on an organic basis.
  • second quarter total revenue decreased 19 percent from the prior year period and 20 percent on an organic basis.
Read full transcript analysis ›