Federated Hermes (NYSE:FHI) Releases Earnings Results, Beats Estimates By $0.19 EPS

Federated Hermes (NYSE:FHI) posted its quarterly earnings results on Thursday. The company reported $1.39 earnings per share for the quarter, beating the consensus estimate of $1.20 by $0.19, FiscalAI reports. Federated Hermes had a return on equity of 33.03% and a net margin of 21.86%.The firm had revenue of $482.83 million for the quarter, compared to analyst estimates of $468.45 million.

Federated Hermes Trading Up 0.3%

Shares of NYSE:FHI opened at $53.07 on Friday. The company has a current ratio of 3.13, a quick ratio of 2.58 and a debt-to-equity ratio of 0.29. The stock has a market capitalization of $4.12 billion, a PE ratio of 11.08, a P/E/G ratio of 0.55 and a beta of 0.75. Federated Hermes has a 1 year low of $35.05 and a 1 year high of $55.13. The firm has a fifty day moving average price of $52.28 and a 200 day moving average price of $51.41.

Analyst Upgrades and Downgrades

FHI has been the topic of a number of research reports. Zacks Research downgraded Federated Hermes from a “strong-buy” rating to a “hold” rating in a report on Tuesday, December 9th. Weiss Ratings reiterated a “buy (b)” rating on shares of Federated Hermes in a research note on Thursday, January 22nd. TD Cowen reissued a “hold” rating on shares of Federated Hermes in a research note on Wednesday, January 14th. JPMorgan Chase & Co. boosted their price target on shares of Federated Hermes from $55.00 to $56.00 and gave the company a “neutral” rating in a report on Monday, November 3rd. Finally, Wall Street Zen upgraded Federated Hermes from a “buy” rating to a “strong-buy” rating in a report on Saturday, January 10th. Two research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $51.20.

Insiders Place Their Bets

In related news, CEO Saker Anwar Nusseibeh sold 4,461 shares of the firm’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $47.85, for a total value of $213,458.85. Following the transaction, the chief executive officer directly owned 161,578 shares of the company’s stock, valued at approximately $7,731,507.30. This trade represents a 2.69% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Richard A. Novak sold 1,249 shares of the company’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $47.85, for a total value of $59,764.65. Following the sale, the insider directly owned 57,500 shares of the company’s stock, valued at $2,751,375. The trade was a 2.13% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 21,709 shares of company stock valued at $1,049,146 over the last quarter. Insiders own 3.80% of the company’s stock.

Institutional Trading of Federated Hermes

A number of institutional investors and hedge funds have recently modified their holdings of the company. AQR Capital Management LLC raised its holdings in Federated Hermes by 20.1% in the 2nd quarter. AQR Capital Management LLC now owns 2,978,885 shares of the company’s stock valued at $132,024,000 after acquiring an additional 498,202 shares in the last quarter. Invesco Ltd. raised its stake in shares of Federated Hermes by 29.6% in the third quarter. Invesco Ltd. now owns 2,939,908 shares of the company’s stock valued at $152,669,000 after purchasing an additional 670,643 shares in the last quarter. Schneider Downs Wealth Management Advisors LP boosted its stake in Federated Hermes by 3,229.0% during the third quarter. Schneider Downs Wealth Management Advisors LP now owns 2,657,263 shares of the company’s stock worth $137,992,000 after buying an additional 2,577,442 shares in the last quarter. Qube Research & Technologies Ltd increased its holdings in Federated Hermes by 28.2% in the 3rd quarter. Qube Research & Technologies Ltd now owns 778,946 shares of the company’s stock valued at $40,451,000 after buying an additional 171,442 shares during the period. Finally, Bank of America Corp DE raised its stake in shares of Federated Hermes by 1.2% in the 3rd quarter. Bank of America Corp DE now owns 605,809 shares of the company’s stock valued at $31,460,000 after buying an additional 6,975 shares in the last quarter. 75.94% of the stock is currently owned by institutional investors and hedge funds.

Federated Hermes Company Profile

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.