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Parsons Corporation (PSN) Stock Analysis

Recovery setup

SellModerate Confidence

Technology · Information Technology Services

Sell if holding. Multiple concerning factors at $51.48: Concentration risk — Customer: U.S. federal government; Concentration risk — Customer: one customer set within the federal government.

Parsons Corporation provides technology-driven defense and infrastructure solutions through Federal Solutions (51% of 2025 revenue) and Critical Infrastructure (49%) segments, generating $6.4B in revenue. The U.S. federal government and its agencies represent substantially all... Read more

$51.48+18.5% A.UpsideScore 5.6/10#12 of 34 Information Technology Services
QualityF-score7 / 9FCF yield4.98%
Stop $47.88Target $60.99(analyst − 13%)A.R:R 2.0:1
Analyst target$70.10+36.2%10 analysts
$60.99our TP
$51.48price
$70.10mean
$80

Sell if holding. Multiple concerning factors at $51.48: Concentration risk — Customer: U.S. federal government; Concentration risk — Customer: one customer set within the federal government. Chart setup: Death cross but MACD improving, RSI 49. Score 5.6/10, moderate confidence.

Passes 8/9 gates (positive momentum, favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 78d clear, semi cycle peak clear, materials cycle peak clear). Suitability: moderate.

Val7.6Qual4.3Grw5.8Mom6.6Sent6.7Ins6.6Peer1.9Tech3.9Risk6.45.6OVERALL

Recent Developments — Parsons Corporation

Latest news

Generated 2026-05-20T21:06:21Z.

Thesis

Rewards
Strong earnings beat streak (3/4)
Attractive valuation
Risks
Concentration risk — Customer: U.S. federal government
Concentration risk — Customer: one customer set within the federal government
V7 low-quality RISK_OFF penalty: -0.5 (Q=4.3)

Key Metrics

P/E (TTM)24.6
P/E (Fwd)14.0
Mkt Cap$5.5B
EV/EBITDA13.5
Profit Mgn3.6%
ROE11.0%
Rev Growth-4.1%
Beta0.59
DividendNone
Rating analysts18

Quality Signals

Piotroski F7/9

Options Flow

P/C0.06bullish
IV44%normal
Max Pain$125+142.8% vs spot

Concentration Risks(10-K Item 1A)

  • HIGHCustomerU.S. federal government
    10-K Item 1: 'The U.S. government and its agencies represent substantially all of the revenue of our Federal Solutions segment'
  • HIGHCustomerone customer set within the federal government
    10-K Item 1A: 'One customer set within the federal government exceeded 20% of Parsons' revenue during 2025. The volume of work... was significantly reduced during 2025 and is currently winding down.'

Material Events(8-K, last 90d)

  • 2026-03-17Item 5.02LOW
    CHRO Susan Balaguer announced retirement effective April 1, 2026, remaining in advisory role through May 2026. Soo Lagasse appointed as CHRO effective April 1, 2026. Clean handoff; $250K cash bonus paid to Balaguer.
    SEC filing →
  • 2026-02-26Item 5.02LOW
    Compensation Committee approved special retention PSU award to CEO Carey Smith with target grant-date value of $10M (60% PSUs, 40% RSUs), vesting over four years tied to EPS growth. Routine compensatory arrangement.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
0.9
Quality Rank
3.3
Value Rank
3.5

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

52w Position
1.5
Bollinger
4.6
Support Resistance
5.7
GatesDeath cross (50MA < 200MA)Momentum 6.6>=5.5A.R:R 2.0 ≥ 1.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 78d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Moderate
RSI
49 · Neutral
↑ 20D MA↓ 50D MA↓ 200D MADEATH CROSSSupport $48.23Resistance $55.79

Price Targets

$48
$61
A.Upside+18.5%
A.R:R2.0:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeRisk-Off

Analyst Consensus

Analysts18
Consensus3.9/5
Avg Target$70

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-08-05 (78d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is PSN stock a buy right now?

Sell if holding. Multiple concerning factors at $51.48: Concentration risk — Customer: U.S. federal government; Concentration risk — Customer: one customer set within the federal government. Chart setup: Death cross but MACD improving, RSI 49. Prior stop was $47.88. Score 5.6/10, moderate confidence.

What is the PSN stock price target?

Take-profit target: $60.99 (+18.5% upside). Prior stop was $47.88. Stop-loss: $47.88.

What are the risks of investing in PSN?

Concentration risk — Customer: U.S. federal government; Concentration risk — Customer: one customer set within the federal government; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.3).

Is PSN overvalued or undervalued?

Parsons Corporation trades at a P/E of 24.6 (forward 14.0). TrendMatrix value score: 7.6/10. Verdict: Sell.

What do analysts say about PSN?

18 analysts cover PSN with a consensus score of 3.9/5. Average price target: $70.

What does Parsons Corporation do?Parsons Corporation provides technology-driven defense and infrastructure solutions through Federal Solutions (51% of...

Parsons Corporation provides technology-driven defense and infrastructure solutions through Federal Solutions (51% of 2025 revenue) and Critical Infrastructure (49%) segments, generating $6.4B in revenue. The U.S. federal government and its agencies represent substantially all Federal Solutions revenue; one confidential federal customer set exceeded 20% of consolidated 2025 revenues but is winding down.

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