Forgent Power Solutions, Inc. (FPS) AI Stock Analysis

Forgent Power Solutions, Inc. engages in the design and manufacture of electrical distribution equipment used in data centers, the power grid, and energy-intensive industrial facilities. The company's products include dry type transformers, liquid filled transformers, switchgear, switchboards, panelboards, remote power panels, generator connection cabinets, tap boxes, automatic transfer switches, gear ehouses, power skids, power distribution units, and ups ehouses. It also provides maintenance, testing, repair, modernization, start-up and commissioning, and aftermarket retrofit services. It serves technology, power, utility, and industrial companies.

Forgent Power Solutions increased revenue from $181.3M in FY2024 to $753.2M in FY2025, reaching $1.42B in FY2026, representing a two-year revenue compound annual growth rate of 179.9%. Revenue growth was 315.4% in FY2025 and 88.5% in FY2026, with latest quarterly revenue growth at 94.3% year-over-year for the period ended June 30, 2026. Operating margins shifted from -2.6% in FY2024 to 9.6% in FY2025 and 16.0% in FY2026, while gross margin declined from 37.4% in FY2024 to 31.4% in FY2026. Net income improved from -$17.8M in FY2024 to $15.2M in FY2025 and $81.8M in FY2026, yielding diluted EPS of $0.30.

As of June 30, 2026, the company held $121.7M in cash and short-term investments against total debt of $703.8M, resulting in net debt of $582.1M. Shareholders' equity stood at $564.3M, with a debt-to-equity ratio of 1.25 and a current ratio of 1.54. In FY2026, operating cash flow was $85.6M, while capital expenditures reached $115.9M, producing free cash flow of -$30.3M. Cash deployment during the year included $1.52B spent on share buybacks and $1.4M paid in dividends.

At a last close of $31.68, Forgent Power Solutions holds a market capitalization of $10.11B and an enterprise value of $11.55B. The stock trades at a trailing P/E of 105.6x and a forward P/E of 32.6x, compared to medians of 24.8x and 17.2x for its US-listed Industrials peers. Its price-to-sales multiple is 7.1x versus the peer median of 1.5x, and its EV/EBITDA stands at 46.0x against the peer median of 13.9x. The shares trade between a 52-week low of $25.95 and a 52-week high of $66.00.

Wall Street coverage includes 9 Strong Buy, 1 Buy, and 2 Hold recommendations, with no Sell or Strong Sell ratings. The mean price target is $54.67, representing a 72.6% premium over the last close of $31.68. For the fiscal year ending June 30, 2027, consensus estimates project revenue of $2.54B and EPS of $1.35, representing 98.8% EPS growth. For the following fiscal year, 12 analysts project revenue of $3.41B and EPS of $2.02.

This page is an AI-written research summary of Forgent Power Solutions, Inc. (FPS). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: FPS income statement, FPS balance sheet, FPS key metrics, FPS analyst forecast, FPS chart. See the FPS stock overview for the latest quote and news.