KeyBanc analyst Sangita Jain has revised the price target for Parsons Corporation (PSN, Financial), reducing it from $76 to $73, while maintaining an Overweight rating. This adjustment comes in the wake of a challenging first quarter in 2025, where all entities within the engineering and construction sector under KeyBanc's analysis fell short following a robust performance in 2024.
The firm's report highlights that the quarter's difficulties were largely influenced by broader economic and policy uncertainties. These included actions by the Trump administration that have triggered concerns over various factors, such as digital currencies like DOGE, ambiguities surrounding USAID contracts, and the effect of tariffs.
Despite potential fluctuations in earnings reports, KeyBanc suggests that investors are expected to pay less attention to quarterly financial surprises. Instead, the primary focus will likely shift towards the overall business sentiment and future outlook, which could better indicate long-term prospects for Parsons and similar companies in the sector.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 9 analysts, the average target price for Parsons Corp (PSN, Financial) is $84.12 with a high estimate of $122.12 and a low estimate of $58.00. The average target implies an upside of 31.28% from the current price of $64.08. More detailed estimate data can be found on the Parsons Corp (PSN) Forecast page.
Based on the consensus recommendation from 11 brokerage firms, Parsons Corp's (PSN, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Parsons Corp (PSN, Financial) in one year is $78.80, suggesting a upside of 22.97% from the current price of $64.08. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Parsons Corp (PSN) Summary page.
