Federated Hermes (NYSE:FHI) Upgraded by JPMorgan Chase & Co. to "Neutral" Rating

Key Points

• JPMorgan Chase & Co. upgraded Federated Hermes from "underweight" to "neutral" with a new price target of $54.00, indicating a potential upside of 9.64% from the previous close.
• Other analysts have mixed opinions, with Royal Bank of Canada raising their target price to $45.00 while TD Cowen lowered their rating to "hold," reflecting a cautious outlook in the market.
• Federated Hermes reported $1.16 EPS in its latest earnings, surpassing estimates, and has shown a 5.5% year-over-year revenue increase with a market cap of $3.90 billion.

Federated Hermes (NYSE:FHI - Get Free Report) was upgraded by investment analysts at JPMorgan Chase & Co. from an "underweight" rating to a "neutral" rating in a report released on Monday,Benzinga reports. The brokerage presently has a $54.00 price objective on the stock, up from their prior price objective of $40.00. JPMorgan Chase & Co.'s target price indicates a potential upside of 9.64% from the stock's previous close.

FHI has been the topic of several other research reports. Royal Bank Of Canada upped their target price on shares of Federated Hermes from $43.00 to $45.00 and gave the stock a "sector perform" rating in a report on Thursday, July 10th. TD Cowen cut Federated Hermes from a "buy" rating to a "hold" rating in a report on Wednesday, May 14th. Evercore ISI lifted their price target on Federated Hermes from $38.00 to $41.00 and gave the company an "outperform" rating in a report on Monday, April 28th. Finally, Wall Street Zen cut Federated Hermes from a "strong-buy" rating to a "buy" rating in a report on Saturday. Five analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $44.83.

Federated Hermes Stock Down 0.6%

FHI opened at $49.25 on Monday. The firm's 50-day simple moving average is $44.81 and its 200-day simple moving average is $41.29. The company has a debt-to-equity ratio of 0.31, a quick ratio of 2.35 and a current ratio of 3.37. Federated Hermes has a twelve month low of $31.94 and a twelve month high of $50.09. The firm has a market cap of $3.90 billion, a price-to-earnings ratio of 10.92, a PEG ratio of 0.91 and a beta of 0.77.

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

Insider Transactions at Federated Hermes

In related news, VP Paul A. Uhlman sold 6,057 shares of the firm's stock in a transaction dated Tuesday, May 27th. The stock was sold at an average price of $42.14, for a total value of $255,241.98. Following the transaction, the vice president owned 316,930 shares in the company, valued at $13,355,430.20. This trade represents a 1.88% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 3.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Federated Hermes

Hedge funds have recently added to or reduced their stakes in the company. Meritage Portfolio Management boosted its holdings in Federated Hermes by 100.7% in the first quarter. Meritage Portfolio Management now owns 22,964 shares of the company's stock valued at $936,000 after acquiring an additional 11,523 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. bought a new position in Federated Hermes in the first quarter valued at about $2,584,000. Ritholtz Wealth Management bought a new position in Federated Hermes in the first quarter valued at about $1,283,000. Dynamic Technology Lab Private Ltd bought a new position in Federated Hermes in the fourth quarter valued at about $585,000. Finally, SG Americas Securities LLC bought a new position in Federated Hermes in the first quarter valued at about $401,000. Institutional investors own 75.94% of the company's stock.

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.

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