Federated Hermes, Inc. (NYSE:FHI) Given Average Recommendation of "Hold" by Brokerages

Key Points

• Federated Hermes, Inc. has an average analyst rating of "Hold", with five analysts recommending hold and one recommending buy.
• The company's recent quarterly earnings saw an EPS of $1.16, exceeding estimates of $0.99, with a year-over-year revenue growth of 5.5%.
• Federated Hermes recently declared a quarterly dividend of $0.34 per share, equating to an annualized yield of 2.6%.

Federated Hermes, Inc. (NYSE:FHI - Get Free Report) has received a consensus rating of "Hold" from the six brokerages that are covering the stock, MarketBeat reports. Five equities research analysts have rated the stock with a hold recommendation and one has issued a buy recommendation on the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $47.00.

A number of equities analysts have recently commented on the stock. Royal Bank Of Canada raised their target price on shares of Federated Hermes from $45.00 to $51.00 and gave the stock a "sector perform" rating in a research report on Thursday, August 14th. JPMorgan Chase & Co. upgraded shares of Federated Hermes from an "underweight" rating to a "neutral" rating and increased their price objective for the company from $40.00 to $54.00 in a research note on Monday, August 4th. Evercore ISI increased their price objective on shares of Federated Hermes from $46.00 to $48.00 and gave the company an "outperform" rating in a research note on Monday, August 4th. Wall Street Zen downgraded shares of Federated Hermes from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 2nd. Finally, TD Cowen downgraded shares of Federated Hermes from a "buy" rating to a "hold" rating in a research note on Wednesday, May 14th.

Hedge Funds Weigh In On Federated Hermes

A number of hedge funds and other institutional investors have recently modified their holdings of FHI. Charles Schwab Investment Management Inc. boosted its stake in Federated Hermes by 249.7% in the first quarter. Charles Schwab Investment Management Inc. now owns 3,199,554 shares of the company's stock valued at $130,446,000 after acquiring an additional 2,284,509 shares in the last quarter. LSV Asset Management boosted its stake in Federated Hermes by 77.6% in the second quarter. LSV Asset Management now owns 1,966,142 shares of the company's stock valued at $87,139,000 after acquiring an additional 859,053 shares in the last quarter. AQR Capital Management LLC boosted its stake in Federated Hermes by 20.1% in the second quarter. AQR Capital Management LLC now owns 2,978,885 shares of the company's stock valued at $132,024,000 after acquiring an additional 498,202 shares in the last quarter. Qube Research & Technologies Ltd boosted its stake in Federated Hermes by 405.3% in the second quarter. Qube Research & Technologies Ltd now owns 607,504 shares of the company's stock valued at $26,925,000 after acquiring an additional 487,281 shares in the last quarter. Finally, Ameriprise Financial Inc. lifted its stake in shares of Federated Hermes by 267.5% during the second quarter. Ameriprise Financial Inc. now owns 572,738 shares of the company's stock worth $25,380,000 after buying an additional 416,909 shares during the period. 75.94% of the stock is currently owned by institutional investors.

Federated Hermes Trading Down 0.9%

Shares of NYSE:FHI traded down $0.46 during trading on Tuesday, reaching $53.15. 594,684 shares of the company were exchanged, compared to its average volume of 677,571. The firm has a market capitalization of $4.12 billion, a PE ratio of 11.78, a P/E/G ratio of 0.72 and a beta of 0.84. The business's fifty day simple moving average is $48.97 and its 200-day simple moving average is $43.23. Federated Hermes has a 12-month low of $33.29 and a 12-month high of $54.42. The company has a debt-to-equity ratio of 0.31, a current ratio of 3.37 and a quick ratio of 2.32.

Federated Hermes (NYSE:FHI - Get Free Report) last issued its earnings results on Thursday, July 31st. The company reported $1.16 EPS for the quarter, topping analysts' consensus estimates of $0.99 by $0.17. The business had revenue of $424.84 million for the quarter, compared to analyst estimates of $424.83 million. Federated Hermes had a net margin of 21.67% and a return on equity of 32.30%. The company's quarterly revenue was up 5.5% compared to the same quarter last year. During the same period last year, the company posted $0.96 earnings per share. On average, research analysts anticipate that Federated Hermes will post 4.04 EPS for the current year.

Federated Hermes Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 15th. Stockholders of record on Friday, August 8th were paid a dividend of $0.34 per share. The ex-dividend date was Friday, August 8th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 2.6%. Federated Hermes's dividend payout ratio (DPR) is currently 30.16%.

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.