moneyheap
PSN · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Parsons Corporation (PSN) stock moving?
Parsons reported a strong Q3 2026 on Oct 28: revenue of $1.65B beat the $1.631B estimate, adjusted EPS of $0.89 beat $0.79, and adjusted EBITDA rose 6% to a record $168M with margin at 10.2%. Total backlog reached a record $9.4B and the book-to-bill ratio was 1.1x, with Federal Solutions awards up 53%. Offsetting this, revenue fell 1% organically and net income dropped $10M to $54M on transaction costs. FY2026 sales guidance was narrowed to $6.25B-$6.45B, with the midpoint reaffirmed. The CFO, Matt Ofilos, resigned effective Nov 6, and George Ball returned as interim CFO while a search runs. Since then, UBS (Oct 29) and Citigroup (Nov 10) kept Buy ratings and raised targets to $64 and $63, and Altamira won a four-year $63M NASIC task order on Nov 10, after a Riyadh Metro JV selection on Nov 3. The stock closed at $47.80 on Oct 22, rose to $52.95 on Nov 2 (intraday high $53.40), dipped to $48.90 on Nov 6 around the CFO exit date, and recovered to $51.56 on Nov 10. Earnings day volume of 1.96M shares was the highest in the window, versus roughly 1.0-1.7M on typical days, and Nov 9 volume was the lowest at about 0.70M. At $51.56, the shares sit about 22% below Citigroup's $63 target. Key risks include the open CFO seat, procurement timing, geopolitical uncertainty, and the pending novation of the remote-location contracts divestiture.
News behind the analysis
- Citigroup Maintains Buy on Parsons, Raises Price Target to $63Citigroup kept its Buy rating on Parsons and raised its price target to $63.
- Parsons Subsidiary Altamira Awarded $63 Million NASIC Task OrderParsons' subsidiary Altamira won a four-year, $63 million task order to support the National Air & Space Intelligence Center.
- Parsons’ Altamira Awarded $63M, 4-Year Task Order From National Air & Space Intelligence Center To Support Collaboration Collection Under Services Of Common Concern ProgramBenzinga reported the $63M four-year NASIC task order awarded to Altamira under the Services of Common Concern program.
- Royal Commission for Riyadh City Selects Parsons-Led Joint Venture for Riyadh Metro Red Line ExtensionParsons' joint venture RMTC was selected to provide project and construction management services for the Riyadh Metro Red Line Extension; terms were not disclosed.
- Parsons JV Riyadh Metro Transit Consultants Selected To Provide Project And Construction Management On The Riyadh Metro Red Line Extension; Terms Not DisclosedBenzinga covered the selection of the Parsons-led RMTC joint venture for the Riyadh Metro Red Line Extension.
- UBS Adjusts Price Target on Parsons to $64 From $61, Maintains Buy RatingUBS raised its price target on Parsons to $64 from $61 and kept its Buy rating.
- Parsons Corporation Announces Chief Financial Officer TransitionCFO Matt Ofilos resigned effective Nov 6, 2026, and former CFO George Ball was named interim CFO while a permanent successor is sought.
- Parsons Corporation Reports Third Quarter 2026 Financial ResultsQ3 revenue was $1.65B and adjusted EPS $0.89, with record adjusted EBITDA of $168M and record total backlog of $9.4B.
- Parsons Corp Q3 Adj. EPS $0.89 Beats $0.79 Estimate, Sales $1.650B Beat $1.631B EstimateParsons beat both adjusted EPS and sales consensus estimates for the third quarter.
About Parsons Corporation
Parsons is a Virginia-based company that provides technology and engineering services to US national security agencies and to infrastructure owners worldwide. It stands out for combining defense work like cyber, electronic warfare, space and missile defense with large civil infrastructure work in transportation, water and urban development, including major Middle East projects.
How it makes money
Parsons makes its money from government and commercial contracts, many of them multi-year, in two segments. Federal Solutions covers defense, intelligence and other US government technology work and has historically been somewhat more than half of revenue. Critical Infrastructure covers design, engineering and program management for transportation, water and urban projects in North America and the Middle East. Total annual revenue is roughly $6.3 billion (approximate, 2025 and the trailing twelve months). In 2026 the company cut its guidance after an organic revenue decline.
What usually moves PSN
- US defense and federal budget spending and contract awards
- Infrastructure funding in the US and Middle East
- Contract wins, recompetes and backlog
- Acquisitions and integration
- Margin trends and guidance revisions