Federated Hermes, Inc. (NYSE:FHI) Receives Consensus Recommendation of “Hold” from Analysts

Federated Hermes, Inc. (NYSE:FHI) has been given an average rating of “Hold” by the seven research firms that are presently covering the company, Marketbeat reports. One analyst has rated the stock with a sell rating, four have issued a hold rating and two have issued a buy rating on the company. The average 12-month target price among brokers that have issued a report on the stock in the last year is $54.00.

Several research firms have commented on FHI. Royal Bank Of Canada lowered their price target on shares of Federated Hermes from $56.00 to $54.00 and set a “sector perform” rating for the company in a report on Wednesday, May 6th. Wall Street Zen cut shares of Federated Hermes from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Argus upgraded shares of Federated Hermes to a “hold” rating in a report on Monday, February 2nd. TD Cowen lowered their price target on shares of Federated Hermes from $58.00 to $54.00 and set a “hold” rating for the company in a report on Monday, May 4th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Federated Hermes in a report on Tuesday, April 21st.

Federated Hermes Trading Up 1.9%

Shares of FHI stock opened at $56.98 on Thursday. The company has a debt-to-equity ratio of 0.29, a quick ratio of 2.73 and a current ratio of 3.28. Federated Hermes has a fifty-two week low of $41.55 and a fifty-two week high of $59.05. The stock has a market capitalization of $4.33 billion, a P/E ratio of 11.04, a price-to-earnings-growth ratio of 2.00 and a beta of 0.67. The company has a 50 day moving average price of $56.25 and a 200 day moving average price of $54.10.

Federated Hermes (NYSE:FHI) last posted its quarterly earnings results on Thursday, April 30th. The company reported $1.27 EPS for the quarter, topping the consensus estimate of $1.20 by $0.07. Federated Hermes had a net margin of 21.47% and a return on equity of 33.90%. The company had revenue of $478.96 million during the quarter, compared to analysts’ expectations of $475.22 million. During the same quarter in the previous year, the business posted $1.25 EPS. The firm’s revenue was up 13.1% on a year-over-year basis. Equities research analysts predict that Federated Hermes will post 5.1 EPS for the current fiscal year.

Federated Hermes Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Friday, May 8th were issued a dividend of $0.38 per share. This is a boost from Federated Hermes’s previous quarterly dividend of $0.34. The ex-dividend date was Friday, May 8th. This represents a $1.52 annualized dividend and a yield of 2.7%. Federated Hermes’s dividend payout ratio (DPR) is presently 29.46%.

Insider Activity at Federated Hermes

In other Federated Hermes news, VP Bryan M. Burke sold 4,000 shares of the business’s stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $54.20, for a total transaction of $216,800.00. Following the completion of the transaction, the vice president owned 74,921 shares in the company, valued at $4,060,718.20. The trade was a 5.07% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, VP Paul A. Uhlman sold 72,392 shares of the company’s stock in a transaction on Thursday, March 12th. The shares were sold at an average price of $56.23, for a total transaction of $4,070,602.16. Following the completion of the transaction, the vice president owned 263,987 shares of the company’s stock, valued at approximately $14,843,989.01. The trade was a 21.52% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders own 4.20% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of FHI. MAI Capital Management grew its position in shares of Federated Hermes by 86.7% in the 3rd quarter. MAI Capital Management now owns 476 shares of the company’s stock valued at $25,000 after buying an additional 221 shares during the last quarter. Torren Management LLC purchased a new position in shares of Federated Hermes in the 4th quarter valued at $25,000. Root Financial Partners LLC grew its position in shares of Federated Hermes by 71.0% in the 1st quarter. Root Financial Partners LLC now owns 571 shares of the company’s stock valued at $32,000 after buying an additional 237 shares during the last quarter. CIBC Private Wealth Group LLC grew its position in shares of Federated Hermes by 119.7% in the 4th quarter. CIBC Private Wealth Group LLC now owns 736 shares of the company’s stock valued at $38,000 after buying an additional 401 shares during the last quarter. Finally, Parkside Financial Bank & Trust grew its position in shares of Federated Hermes by 145.8% in the 4th quarter. Parkside Financial Bank & Trust now owns 848 shares of the company’s stock valued at $44,000 after buying an additional 503 shares during the last quarter. 75.94% of the stock is owned by hedge funds and other institutional investors.

About Federated Hermes

Federated Hermes, Inc is a global investment manager that provides a range of asset management solutions to institutional and individual investors. The company offers active strategies across equity, fixed income, multi-asset, liquidity, and alternative investments. Through its suite of mutual funds, separate accounts and collective investment vehicles, Federated Hermes seeks to deliver performance-driven outcomes aligned with client objectives and risk tolerances.

In addition to traditional investment management, Federated Hermes has developed specialized capabilities in sustainability and responsible investing, integrating environmental, social and governance (ESG) research into its investment process.