Federated Hermes, Inc. (NYSE:FHI) Increases Dividend to $1.31 Per Share

Federated Hermes, Inc. (NYSE:FHI) announced a None dividend on Thursday, April 25th, Zacks reports. Stockholders of record on Wednesday, May 8th will be paid a dividend of 1.31 per share on Wednesday, May 15th. This represents a dividend yield of 3.8%. The ex-dividend date is Tuesday, May 7th. This is an increase from Federated Hermes’s previous None dividend of $1.27.

Federated Hermes has raised its dividend by an average of 0.9% annually over the last three years and has raised its dividend annually for the last 1 consecutive years. Federated Hermes has a dividend payout ratio of 30.4% meaning its dividend is sufficiently covered by earnings. Research analysts expect Federated Hermes to earn $4.02 per share next year, which means the company should continue to be able to cover its $1.24 annual dividend with an expected future payout ratio of 30.8%.

Federated Hermes Price Performance

Shares of Federated Hermes stock opened at $32.89 on Friday. The business has a 50 day moving average of $35.35 and a 200 day moving average of $34.08. Federated Hermes has a 52 week low of $30.23 and a 52 week high of $40.30. The company has a market cap of $2.78 billion, a PE ratio of 9.34, a P/E/G ratio of 0.93 and a beta of 1.14. The company has a quick ratio of 1.89, a current ratio of 3.39 and a debt-to-equity ratio of 0.30.

Federated Hermes (NYSE:FHI) last issued its quarterly earnings data on Thursday, April 25th. The company reported $0.89 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.89. Federated Hermes had a net margin of 18.75% and a return on equity of 27.00%. The business had revenue of $396.37 million for the quarter, compared to the consensus estimate of $400.26 million. During the same period in the previous year, the firm earned $0.78 EPS. The company’s quarterly revenue was up 3.7% compared to the same quarter last year. As a group, equities research analysts forecast that Federated Hermes will post 3.64 earnings per share for the current year.

Insider Buying and Selling

In other news, CEO Saker Anwar Nusseibeh sold 8,302 shares of the firm’s stock in a transaction on Tuesday, March 5th. The stock was sold at an average price of $36.15, for a total transaction of $300,117.30. Following the completion of the transaction, the chief executive officer now directly owns 178,176 shares in the company, valued at $6,441,062.40. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, insider Richard A. Novak sold 908 shares of the company’s stock in a transaction that occurred on Tuesday, March 5th. The stock was sold at an average price of $36.07, for a total value of $32,751.56. Following the transaction, the insider now directly owns 49,068 shares of the company’s stock, valued at approximately $1,769,882.76. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Saker Anwar Nusseibeh sold 8,302 shares of the stock in a transaction on Tuesday, March 5th. The shares were sold at an average price of $36.15, for a total value of $300,117.30. Following the sale, the chief executive officer now owns 178,176 shares in the company, valued at $6,441,062.40. The disclosure for this sale can be found here. Insiders have sold 113,775 shares of company stock worth $4,032,822 in the last 90 days. Insiders own 3.70% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on FHI shares. UBS Group increased their price target on shares of Federated Hermes from $37.00 to $39.00 and gave the stock a “neutral” rating in a research note on Friday, April 12th. Evercore ISI decreased their target price on Federated Hermes from $39.00 to $37.00 and set an “outperform” rating for the company in a research report on Wednesday. Royal Bank of Canada lifted their price target on Federated Hermes from $36.00 to $37.00 and gave the company a “sector perform” rating in a research report on Monday, January 29th. Finally, JPMorgan Chase & Co. upped their price target on Federated Hermes from $46.00 to $47.00 and gave the stock an “overweight” rating in a research note on Wednesday, April 17th. Three analysts have rated the stock with a hold rating and four have issued a buy rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $38.29.

About Federated Hermes

Federated Hermes, Inc is a publicly owned investment manager. Through its subsidiaries, the firm provides its services to individuals, including high net worth individuals, banking or thrift institutions, investment companies, pension and profit sharing plans, pooled investment vehicles, charitable organizations, state or municipal government entities, and registered investment advisors.