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

Shares of Federated Hermes, Inc. (NYSE:FHI) have been assigned an average rating of “Hold” from the eight research firms that are covering the stock, MarketBeat reports. One analyst has rated the stock with a sell rating, five have issued a hold rating and two have issued a buy rating on the company. The average 12-month price objective among brokers that have issued a report on the stock in the last year is $57.40.

A number of equities analysts have commented on FHI shares. JPMorgan Chase & Co. reduced their target price on Federated Hermes from $56.00 to $53.00 and set an “underweight” rating for the company in a report on Monday, May 4th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $58.00 price target on shares of Federated Hermes in a research note on Monday, August 3rd. Wall Street Zen cut Federated Hermes from a “buy” rating to a “hold” rating in a research report on Sunday. Weiss Ratings upgraded Federated Hermes from a “buy (b)” rating to a “buy (b+)” rating in a report on Friday, July 31st. Finally, TD Cowen lowered their target price on shares of Federated Hermes from $58.00 to $54.00 and set a “hold” rating on the stock in a research note on Monday, May 4th.

Federated Hermes Stock Down 0.3%

FHI stock opened at $62.98 on Tuesday. The stock has a market capitalization of $4.70 billion, a P/E ratio of 11.71, a P/E/G ratio of 1.48 and a beta of 0.65. The firm has a 50-day simple moving average of $58.71 and a 200-day simple moving average of $56.73. The company has a quick ratio of 1.89, a current ratio of 2.59 and a debt-to-equity ratio of 0.28. Federated Hermes has a 52 week low of $46.66 and a 52 week high of $67.20.

Federated Hermes (NYSE:FHI) last released its quarterly earnings results on Thursday, July 30th. The company reported $1.38 earnings per share for the quarter, topping the consensus estimate of $1.19 by $0.19. Federated Hermes had a net margin of 21.30% and a return on equity of 34.03%. The firm had revenue of $502.78 million during the quarter, compared to the consensus estimate of $488.34 million. During the same quarter in the prior year, the firm earned $1.16 EPS. The company’s revenue for the quarter was up 18.3% on a year-over-year basis. Equities analysts forecast that Federated Hermes will post 5.43 earnings per share for the current fiscal year.

Federated Hermes Dividend Announcement

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

Insider Activity

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

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. AQR Capital Management LLC increased its position in Federated Hermes by 1.7% during the fourth quarter. AQR Capital Management LLC now owns 3,036,239 shares of the company’s stock worth $158,097,000 after purchasing an additional 50,067 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its holdings in Federated Hermes by 0.4% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 3,032,060 shares of the company’s stock valued at $157,879,000 after purchasing an additional 12,348 shares during the last quarter. Invesco Ltd. grew its stake in shares of Federated Hermes by 29.6% in the 3rd quarter. Invesco Ltd. now owns 2,939,908 shares of the company’s stock valued at $152,669,000 after buying an additional 670,643 shares during the period. LSV Asset Management grew its stake in shares of Federated Hermes by 20.4% in the 4th quarter. LSV Asset Management now owns 2,890,276 shares of the company’s stock valued at $150,497,000 after buying an additional 489,275 shares during the period. Finally, Schneider Downs Wealth Management Advisors LP increased its holdings in shares of Federated Hermes by 3,229.0% during the 3rd 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 during the last quarter. Hedge funds and other institutional investors own 75.94% of the company’s stock.

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.