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.

JPMorgan Chase & Co. upgraded shares of Federated Hermes (NYSE:FHI - Free Report) from an underweight rating to a neutral rating in a research report sent to investors on Monday, Marketbeat.com reports. The firm currently has $54.00 target price on the stock, up from their prior target price of $40.00.

A number of other research analysts have also commented on FHI. TD Cowen lowered Federated Hermes from a "buy" rating to a "hold" rating in a research note on Wednesday, May 14th. Evercore ISI increased their price objective on Federated Hermes from $38.00 to $41.00 and gave the company an "outperform" rating in a research report on Monday, April 28th. Wall Street Zen cut shares of Federated Hermes from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 2nd. Finally, Royal Bank Of Canada increased 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. Five investment analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, Federated Hermes currently has an average rating of "Hold" and an average price target of $46.00.

Federated Hermes Stock Up 1.5%

NYSE:FHI traded up $0.75 during trading hours on Monday, hitting $51.28. 702,167 shares of the company's stock traded hands, compared to its average volume of 834,626. The stock's fifty day moving average price is $45.53 and its two-hundred day moving average price is $41.61. The company has a debt-to-equity ratio of 0.31, a quick ratio of 2.35 and a current ratio of 3.37. The firm has a market cap of $4.06 billion, a P/E ratio of 11.37, a P/E/G ratio of 0.73 and a beta of 0.77. Federated Hermes has a twelve month low of $32.27 and a twelve month high of $52.24.

Federated Hermes (NYSE:FHI - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The company reported $1.16 EPS for the quarter, topping the consensus estimate of $0.99 by $0.17. The company 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%. Federated Hermes's quarterly revenue was up 5.5% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.96 EPS. On average, research analysts expect that Federated Hermes will post 4.04 earnings per share for the current fiscal year.

Federated Hermes Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Friday, August 8th will be issued a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date is Friday, August 8th. Federated Hermes's dividend payout ratio (DPR) is currently 30.16%.

Insiders Place Their Bets

In other Federated Hermes news, VP Paul A. Uhlman sold 6,057 shares of the business's stock in a transaction on 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 of the company's stock, valued at approximately $13,355,430.20. The trade was a 1.88% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 3.80% of the company's stock.

Institutional Investors Weigh In On Federated Hermes

A number of hedge funds and other institutional investors have recently bought and sold shares of FHI. SG Americas Securities LLC increased its holdings in shares of Federated Hermes by 119.8% in the second quarter. SG Americas Securities LLC now owns 21,613 shares of the company's stock worth $958,000 after buying an additional 11,781 shares during the period. Commonwealth of Pennsylvania Public School Empls Retrmt SYS lifted its holdings in shares of Federated Hermes by 4.1% during the second quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 19,387 shares of the company's stock valued at $859,000 after purchasing an additional 761 shares during the last quarter. Olympiad Research LP bought a new position in shares of Federated Hermes during the second quarter valued at $216,000. Jupiter Asset Management Ltd. purchased a new stake in shares of Federated Hermes during the second quarter valued at approximately $925,000. Finally, Vise Technologies Inc. purchased a new position in Federated Hermes in the 2nd quarter worth about $721,000. 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.