Insider Selling: Federated Hermes (NYSE:FHI) CEO Sells $371,070.00 in Stock

Key Points

• CEO Saker Nusseibeh sold 5,700 Federated Hermes shares for $371,070 at an average price of $65.10, reducing his stake by 3.95% to 138,546 shares.
• Federated Hermes reported quarterly EPS of $1.50, topping the $1.42 analyst consensus, while revenue rose 8.1% year over year to $507.33 million.
• The company declared a quarterly dividend of $0.38 per share, equivalent to a 2.3% yield. Analysts’ consensus rating was “Hold,” with an average price target of $60.80.

Federated Hermes, Inc. (NYSE:FHI - Get Free Report) CEO Saker Nusseibeh sold 5,700 shares of the firm's stock in a transaction dated Monday, November 9th. The shares were sold at an average price of $65.10, for a total value of $371,070.00. Following the completion of the transaction, the chief executive officer owned 138,546 shares in the company, valued at approximately $9,019,344.60. This represents a 3.95% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link.

Federated Hermes Trading Up 1.8%

FHI stock traded up $1.17 during midday trading on Monday, reaching $65.16. The stock had a trading volume of 1,123,530 shares, compared to its average volume of 723,554. The business has a fifty day simple moving average of $58.51 and a two-hundred day simple moving average of $57.65. The company has a quick ratio of 1.79, a current ratio of 2.48 and a debt-to-equity ratio of 0.27. The firm has a market cap of $4.82 billion, a price-to-earnings ratio of 11.76, a PEG ratio of 1.84 and a beta of 0.67. Federated Hermes, Inc. has a twelve month low of $47.30 and a twelve month high of $67.38.

Federated Hermes (NYSE:FHI - Get Free Report) last released its earnings results on Thursday, October 29th. The company reported $1.50 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.42 by $0.08. The company had revenue of $507.33 million for the quarter, compared to the consensus estimate of $504.91 million. Federated Hermes had a net margin of 21.28% and a return on equity of 33.94%. The company's revenue was up 8.1% compared to the same quarter last year. During the same period in the prior year, the company posted $1.34 EPS. As a group, research analysts expect that Federated Hermes, Inc. will post 5.56 EPS for the current fiscal year.

Federated Hermes Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Friday, November 6th will be paid a dividend of $0.38 per share. This represents a $1.52 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Friday, November 6th. Federated Hermes's payout ratio is 27.44%.

Institutional Trading of Federated Hermes

Hedge funds have recently modified their holdings of the company. Alberta Investment Management Corp acquired a new stake in Federated Hermes in the third quarter worth $4,380,000. Hantz Financial Services Inc. grew its holdings in shares of Federated Hermes by 40.0% in the 3rd quarter. Hantz Financial Services Inc. now owns 1,043 shares of the company's stock valued at $59,000 after buying an additional 298 shares during the period. Royce & Associates LP grew its holdings in shares of Federated Hermes by 11.6% in the 3rd quarter. Royce & Associates LP now owns 340,071 shares of the company's stock valued at $19,170,000 after buying an additional 35,352 shares during the period. Danske Bank A S grew its holdings in shares of Federated Hermes by 50,068.7% in the 3rd quarter. Danske Bank A S now owns 150,506 shares of the company's stock valued at $8,484,000 after buying an additional 150,206 shares during the period. Finally, Gen Wealth Partners Inc bought a new stake in shares of Federated Hermes in the 3rd quarter valued at $33,000. 75.94% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

FHI has been the topic of a number of recent research reports. Evercore reaffirmed an "outperform" rating and issued a $65.00 price objective on shares of Federated Hermes in a research note on Monday, August 10th. TD Cowen upped their target price on shares of Federated Hermes from $56.00 to $62.00 and gave the company a "hold" rating in a research report on Monday, November 2nd. Weiss Ratings raised Federated Hermes from a "buy (b+)" rating to a "buy (a-)" rating in a research note on Friday, October 9th. Wall Street Zen lowered Federated Hermes from a "buy" rating to a "hold" rating in a research report on Saturday, October 17th. Finally, JPMorgan Chase & Co. lifted their price objective on Federated Hermes from $54.00 to $56.00 and gave the stock an "underweight" rating in a research note on Monday, November 2nd. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, Federated Hermes presently has an average rating of "Hold" and an average target price of $60.80.

Federated Hermes Company Profile

Federated Hermes, Inc is a global investment manager headquartered in Pittsburgh, Pennsylvania. Founded in 1955 as Federated Investors, the company adopted the Federated Hermes name in 2020, following its acquisition of London-based Hermes Investment Management.

The company offers investment strategies and services across money markets, equities, fixed income, multi-asset and alternative investments. Its products and services include mutual funds, separately managed accounts and institutional investment solutions, along with liquidity management and stewardship services.

Federated Hermes serves individual and institutional investors through financial intermediaries and directly in the United States, the United Kingdom and other international markets.

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