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

Federated Hermes, Inc. (NYSE:FHI) has earned an average rating of “Hold” from the seven analysts that are currently covering the stock, Marketbeat reports. One research analyst has rated the stock with a sell recommendation, four have given a hold recommendation and two have issued a buy recommendation on the company. The average 1 year price objective among brokerages that have issued ratings on the stock in the last year is $54.00.

Several brokerages have weighed in on FHI. Argus upgraded Federated Hermes to a “hold” rating in a research report on Monday, February 2nd. Royal Bank Of Canada decreased their target price on Federated Hermes from $56.00 to $54.00 and set a “sector perform” rating for the company in a report on Wednesday. Weiss Ratings restated a “buy (b)” rating on shares of Federated Hermes in a report on Tuesday, April 21st. JPMorgan Chase & Co. decreased 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. Finally, Wall Street Zen downgraded Federated Hermes from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd.

Insider Buying and Selling

In related news, VP Bryan M. Burke sold 4,000 shares of the company’s stock in a transaction that occurred on Thursday, May 7th. The stock was 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. This represents a 5.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Paul A. Uhlman sold 72,392 shares of the stock in a transaction on Thursday, March 12th. The stock was sold at an average price of $56.23, for a total value 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. This trade represents a 21.52% decrease in their position. The SEC filing for this sale provides additional information. 4.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Federated Hermes

Institutional investors have recently added to or reduced their stakes in the company. MAI Capital Management raised its holdings in Federated Hermes by 86.7% in the third quarter. MAI Capital Management now owns 476 shares of the company’s stock worth $25,000 after purchasing an additional 221 shares in the last quarter. Torren Management LLC bought a new position in Federated Hermes in the fourth quarter worth $25,000. Root Financial Partners LLC raised its holdings in Federated Hermes by 71.0% in the first quarter. Root Financial Partners LLC now owns 571 shares of the company’s stock worth $32,000 after purchasing an additional 237 shares in the last quarter. CIBC Private Wealth Group LLC grew its stake in shares of Federated Hermes by 119.7% in the fourth quarter. CIBC Private Wealth Group LLC now owns 736 shares of the company’s stock worth $38,000 after acquiring an additional 401 shares during the last quarter. Finally, Parkside Financial Bank & Trust grew its stake in shares of Federated Hermes by 145.8% in the fourth quarter. Parkside Financial Bank & Trust now owns 848 shares of the company’s stock worth $44,000 after acquiring an additional 503 shares during the last quarter. Institutional investors own 75.94% of the company’s stock.

Federated Hermes Stock Performance

Shares of FHI stock opened at $55.86 on Friday. The company has a debt-to-equity ratio of 0.29, a quick ratio of 2.30 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 50 day moving average price of $56.62 and a two-hundred day moving average price of $53.53. The company has a market capitalization of $4.24 billion, a P/E ratio of 10.83, a PEG ratio of 2.20 and a beta of 0.67.

Federated Hermes (NYSE:FHI) last announced its quarterly earnings data on Thursday, April 30th. The company reported $1.27 earnings per share for the quarter, beating the consensus estimate of $1.20 by $0.07. Federated Hermes had a return on equity of 33.90% and a net margin of 21.47%.The firm had revenue of $478.96 million during the quarter, compared to the consensus estimate of $475.22 million. During the same quarter in the previous year, the company posted $1.25 earnings per share. The business’s revenue was up 13.1% on a year-over-year basis. Analysts expect that Federated Hermes will post 5.08 earnings per share for the current year.

Federated Hermes Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 15th. Investors of record on Friday, May 8th will be issued a dividend of $0.38 per share. This is a boost from Federated Hermes’s previous quarterly dividend of $0.34. This represents a $1.52 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date is Friday, May 8th. Federated Hermes’s dividend payout ratio is currently 26.36%.

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.