Zacks Research Has Optimistic Outlook of FHI Q2 Earnings

Federated Hermes, Inc. (NYSE:FHI - Free Report) - Analysts at Zacks Research upped their Q2 2025 earnings estimates for shares of Federated Hermes in a research note issued to investors on Thursday, May 22nd. Zacks Research analyst R. Department now forecasts that the company will earn $1.14 per share for the quarter, up from their prior estimate of $0.97. The consensus estimate for Federated Hermes' current full-year earnings is $4.04 per share. Zacks Research also issued estimates for Federated Hermes' Q1 2026 earnings at $1.13 EPS, Q3 2026 earnings at $1.22 EPS, Q4 2026 earnings at $1.22 EPS and Q1 2027 earnings at $1.27 EPS.

A number of other research analysts also recently weighed in on FHI. JPMorgan Chase & Co. reaffirmed an "underweight" rating and issued a $41.00 target price (down previously from $42.00) on shares of Federated Hermes in a research report on Wednesday, February 5th. TD Cowen cut Federated Hermes from a "buy" rating to a "hold" rating in a report on Wednesday, May 14th. Evercore ISI lifted their target price on Federated Hermes from $38.00 to $41.00 and gave the company an "outperform" rating in a research report on Monday, April 28th. Royal Bank of Canada upped their target price on Federated Hermes from $37.00 to $43.00 and gave the stock a "sector perform" rating in a report on Wednesday, May 7th. Finally, Wall Street Zen upgraded Federated Hermes from a "buy" rating to a "strong-buy" rating in a research note on Monday, April 28th. One equities research analyst has rated the stock with a sell rating, four have given a hold rating, one has given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $42.33.

Federated Hermes Stock Down 0.5%

Shares of NYSE FHI traded down $0.21 during midday trading on Friday, reaching $42.22. The company's stock had a trading volume of 162,154 shares, compared to its average volume of 732,429. The stock has a 50 day simple moving average of $40.15 and a 200-day simple moving average of $40.11. The company has a current ratio of 2.70, a quick ratio of 2.03 and a debt-to-equity ratio of 0.32. The stock has a market capitalization of $3.34 billion, a price-to-earnings ratio of 13.24, a PEG ratio of 1.00 and a beta of 0.77. Federated Hermes has a fifty-two week low of $31.24 and a fifty-two week high of $43.92.

Federated Hermes (NYSE:FHI - Get Free Report) last posted its quarterly earnings data on Thursday, April 24th. The company reported $1.10 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.91 by $0.19. Federated Hermes had a return on equity of 30.31% and a net margin of 16.44%. The business had revenue of $423.54 million during the quarter, compared to the consensus estimate of $425.43 million. During the same period last year, the company earned $0.89 earnings per share. Federated Hermes's quarterly revenue was up 6.8% on a year-over-year basis.

Federated Hermes Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, May 15th. Stockholders of record on Thursday, May 8th were issued a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a dividend yield of 3.22%. This is a boost from Federated Hermes's previous quarterly dividend of $0.31. The ex-dividend date was Thursday, May 8th. Federated Hermes's dividend payout ratio is presently 38.31%.

Hedge Funds Weigh In On Federated Hermes

Hedge funds and other institutional investors have recently bought and sold shares of the business. Farther Finance Advisors LLC raised its position in shares of Federated Hermes by 246.6% in the first quarter. Farther Finance Advisors LLC now owns 863 shares of the company's stock valued at $35,000 after purchasing an additional 614 shares during the period. Quarry LP bought a new position in shares of Federated Hermes during the fourth quarter worth approximately $37,000. R Squared Ltd acquired a new stake in Federated Hermes during the fourth quarter worth approximately $43,000. Sound Income Strategies LLC bought a new position in Federated Hermes during the 4th quarter worth $53,000. Finally, Northwestern Mutual Wealth Management Co. raised its holdings in Federated Hermes by 22.7% in the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 1,551 shares of the company's stock valued at $63,000 after acquiring an additional 287 shares in the last quarter. Institutional investors own 75.94% of the company's stock.

Federated Hermes Company Profile

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.