Parsons Corp

Parsons is an engineering and technology contractor. U.S. federal agencies, state and city governments, international clients and private infrastructure owners pay it to design, integrate and manage complex systems, from missile-defense systems to rail lines and water treatment plants. In fiscal 2025, which ended December 31, 2025, revenue was $6.4 billion, down 5.7% from the prior year, and net income was $241.1 million. It has two segments of almost equal size.

Federal Solutions brought in $3.22 billion, or 50.6% of revenue. Substantially all of it comes from U.S. government agencies, including the Department of War, the Intelligence Community, the Missile Defense Agency and NASA. Parsons supplies cyber and electronic warfare capabilities, space ground systems, missile-defense engineering and intelligence work. It also sells products such as its C2Core mission-planning software and ZEUS laser system.

Critical Infrastructure brought in $3.14 billion, or 49.4%, but supplied 54% of adjusted EBITDA, a measure of operating profit before interest, taxes, depreciation and amortization. Engineering News Record ranks Parsons the world's top program manager. The segment oversees, plans and designs airports, rail and transit, bridges, highways, water systems and urban developments. Clients include Amtrak, the New York and Paris transportation authorities and Saudi Arabia's Public Investment Fund. North America supplied 81.4% of fiscal 2025 revenue and the Middle East 18.3%.

• In Q3 FY2026 (ended Sep 30, 2026), revenue was $1.65B, up 1.8% from a year earlier, and net income was $54.2M (-15.5%).
• For fiscal 2025, revenue was $6.36B (-5.7% year over year; +10.2% a year from FY2020 to FY2025) with a 3.8% net margin.

• Over FY2021–FY2025: $204.7M in buybacks and $0.00 in dividends.
• The company pays no regular dividend.
• Shares outstanding changed +3.2% from Oct 27, 2021 to Oct 20, 2026.

Rank among 1514 US companies

Market value at each year end

Parsons’s market value went from $4.10B at the end of 2019 to $5.33B on Oct 28, 2026, up 30%; since the end of 2025 it is down 19%.

Form 4 filings from 2025-10-29 to 2026-10-29 (25 read): 7 open-market purchases ($3.1M) and 0 sales ($0.00).

Large shareholders (13G filings)

ETFs with the most weight in PSN

1. Heavy reliance on U.S. government budgets. Federal Solutions, about half of fiscal 2025 revenue, gets substantially all its sales from U.S. agencies. Budget cuts, shifting spending priorities or damaged relationships with Washington could shrink revenue and slow growth.
2. Contract terminations, audits and procurement penalties. Government clients can terminate contracts at any time and audit costs, which can lower what Parsons is paid. Breaking complex procurement rules could bring penalties, suspension or a ban from bidding on future work.
3. Sizable exposure to the Middle East. The Middle East supplied 18.3% of fiscal 2025 revenue, from clients such as the Royal Commission for Riyadh City and Dubai agencies. Turmoil or political upheaval there could disrupt projects and future business.
4. Employee stock plan holds majority stake. Parsons' February 2026 annual report said its employee stock ownership plan (ESOP) held a majority of shares, limiting outsiders' influence. Participants can receive and trade shares; large sales could depress the price.
5. Cost overruns and disputed change orders. Profit depends on estimating costs and schedules correctly on complex projects. Revised estimates can cut reported earnings, and clients may refuse claims for extra work Parsons has done beyond a contract's original scope.
6. Backlog may not become revenue. Backlog, or signed work not yet performed, was $8.7 billion at December 31, 2025, down 2% from a year earlier. Cancellations, delays or scope cuts could mean less revenue than expected.

• Oct 28, 2026 Executive or board change
• Oct 28, 2026 Quarterly results released
• Jul 29, 2026 Quarterly results released
• Apr 29, 2026 Quarterly results released
• Apr 15, 2026 Shareholder vote results
• Mar 17, 2026 Executive or board change; Investor presentation or announcement
• Feb 26, 2026 Executive or board change
• Feb 11, 2026 Quarterly results released
• Jan 15, 2026 Other company announcement
• Dec 18, 2025 Executive or board change

Parsons paid no dividends from fiscal 2021 through fiscal 2025, and in its annual report filed February 11, 2026, it said it had no plans to declare any. An income investor would receive no cash payouts and could raise cash only by trimming the position. The company spent about $205 million repurchasing its own shares over those five years, including $125 million in fiscal 2025, yet shares outstanding rose 3.2% between October 2021 and October 2026.

Past downturns hit the stock unevenly. In the 2020 COVID crash it fell 43.8% between February 19 and March 18, 2020, and did not regain that peak until October 2022. In the 2022 bear market its worst dip was 14.2%, and it rose 17.2% while the market slid from January to October. Its steepest fall came later: a 64.4% peak-to-trough drop within the three years to October 28, 2026. A single stock carries more risk than a diversified fund.