Federated Hermes (NYSE:FHI) Lowered to Hold Rating by Wall Street Zen

Wall Street Zen cut shares of Federated Hermes (NYSE:FHI) from a buy rating to a hold rating in a research note issued to investors on Sunday morning.

A number of other analysts also recently weighed in on the stock. Royal Bank Of Canada upped their target price on shares of Federated Hermes from $54.00 to $57.00 and gave the stock a “sector perform” rating in a research report on Thursday, July 2nd. JPMorgan Chase & Co. dropped their price objective on shares of Federated Hermes from $56.00 to $53.00 and set an “underweight” rating on the stock in a research note on Monday, May 4th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $58.00 price objective on shares of Federated Hermes in a research note on Monday, August 3rd. Weiss Ratings raised shares of Federated Hermes from a “buy (b)” rating to a “buy (b+)” rating in a research note on Friday, July 31st. Finally, Evercore reaffirmed an “outperform” rating and set a $59.00 target price on shares of Federated Hermes in a research note on Monday, June 8th. Two equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Federated Hermes presently has an average rating of “Hold” and an average target price of $56.20.

Federated Hermes Price Performance

Shares of NYSE FHI opened at $63.13 on Friday. Federated Hermes has a 1 year low of $46.66 and a 1 year high of $67.20. The stock has a market capitalization of $4.71 billion, a P/E ratio of 11.73, a P/E/G ratio of 1.48 and a beta of 0.65. The company’s 50-day moving average is $58.57 and its 200 day moving average is $56.66. The company has a debt-to-equity ratio of 0.28, a current ratio of 2.59 and a quick ratio of 1.89.

Federated Hermes (NYSE:FHI) last issued its quarterly earnings data on Thursday, July 30th. The company reported $1.38 EPS for the quarter, topping the consensus estimate of $1.19 by $0.19. The business had revenue of $502.78 million during the quarter, compared to analyst estimates of $488.34 million. Federated Hermes had a net margin of 21.30% and a return on equity of 34.03%. Federated Hermes’s quarterly revenue was up 18.3% compared to the same quarter last year. During the same period last year, the business posted $1.16 earnings per share. On average, sell-side analysts expect that Federated Hermes will post 5.43 earnings per share for the current year.

Federated Hermes Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, August 14th. Shareholders of record on Friday, August 7th will be issued a $0.38 dividend. The ex-dividend date of this dividend is Friday, August 7th. This represents a $1.52 dividend on an annualized basis and a yield of 2.4%. Federated Hermes’s dividend payout ratio is currently 28.25%.

Insider Activity at Federated Hermes

In other news, CEO Saker Anwar Nusseibeh sold 8,950 shares of the stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $57.34, for a total value of $513,193.00. Following the transaction, the chief executive officer owned 151,276 shares in the company, valued at $8,674,165.84. This represents a 5.59% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 4.20% of the stock is owned by insiders.

Institutional Trading of Federated Hermes

Several large investors have recently added to or reduced their stakes in FHI. Jones Financial Companies Lllp raised its position in Federated Hermes by 236.0% in the first quarter. Jones Financial Companies Lllp now owns 8,890 shares of the company’s stock worth $362,000 after acquiring an additional 6,244 shares during the period. United Services Automobile Association bought a new stake in shares of Federated Hermes during the 1st quarter valued at $220,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in shares of Federated Hermes by 11.6% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 239,613 shares of the company’s stock worth $9,769,000 after purchasing an additional 24,960 shares in the last quarter. American Century Companies Inc. increased its stake in shares of Federated Hermes by 1.9% in the 2nd quarter. American Century Companies Inc. now owns 33,246 shares of the company’s stock worth $1,474,000 after purchasing an additional 614 shares in the last quarter. Finally, Prudential Financial Inc. raised its holdings in Federated Hermes by 4.9% in the 2nd quarter. Prudential Financial Inc. now owns 11,744 shares of the company’s stock worth $497,000 after purchasing an additional 547 shares during the period. 75.94% of the stock is currently owned by institutional investors.

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.