Is the business good?
How good a business is PSN?
Parsons Corporation earns 8.2% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
8.2%
Return on invested capital · cost of capital 9.0% · 0.76 points below what the capital costs: growth destroys value
- Operating margin
- 6.4%
Operating margin · Information Technology Services median 7.9% · 12 months to Q1 2026
- Cash conversion
- 1.83×
Cash conversion · 2.00× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −2.4%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 4.5% |
| FY2021 | 3.6% |
| FY2022 | 4.4% |
| FY2023 | 5.3% |
| FY2024 | 6.3% |
| FY2025 | 6.6% |
Details›
- Gross margin12 months to Q1 2026
- 23%
- Operating margin12 months to Q1 2026
- 6.4%
- Net margin12 months to Q1 2026
- 3.6%
- Free cash flow margin
- 6.6%
- Revenue, trailing twelve months
- $6.30B
- Free cash flow, trailing twelve months
- $417M
- Net income, trailing twelve months
- $228M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 8.2%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Information Technology Services
Ranks #24 of 37 by Smart Score