Insider Selling: Federated Hermes (NYSE:FHI) CEO Sells 8,950 Shares of Stock

Key Points

• Federated Hermes CEO Saker Anwar Nusseibeh sold 8,950 shares on June 8 at an average price of $57.34, totaling about $513,193. After the sale, he still held 151,276 shares, a 5.59% reduction in his stake.
• The company recently beat quarterly earnings expectations, reporting $1.27 per share versus the $1.20 consensus estimate, with revenue up 13.1% year over year to $478.96 million.
• Federated Hermes also raised its quarterly dividend to $0.38 per share, equal to an annualized yield of 2.6%, while analysts currently rate the stock a consensus Hold.

Federated Hermes, Inc. (NYSE:FHI - Get Free Report) CEO Saker Anwar Nusseibeh sold 8,950 shares of Federated Hermes stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $57.34, for a total value of $513,193.00. Following the completion of the sale, the chief executive officer directly owned 151,276 shares in the company, valued at $8,674,165.84. This represents a 5.59% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website.

Federated Hermes Stock Performance

FHI traded up $0.66 during trading on Tuesday, reaching $57.61. The company's stock had a trading volume of 702,607 shares, compared to its average volume of 767,567. Federated Hermes, Inc. has a 52-week low of $41.71 and a 52-week high of $59.05. The company's fifty day moving average price is $56.23 and its 200-day moving average price is $54.49. The company has a market capitalization of $4.37 billion, a price-to-earnings ratio of 11.17, a price-to-earnings-growth ratio of 2.04 and a beta of 0.65. The company has a debt-to-equity ratio of 0.29, a quick ratio of 2.73 and a current ratio of 3.28.

Federated Hermes (NYSE:FHI - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The company reported $1.27 earnings per share for the quarter, beating analysts' consensus estimates of $1.20 by $0.07. Federated Hermes had a return on equity of 33.90% and a net margin of 21.47%.The company had revenue of $478.96 million for the quarter, compared to analyst estimates of $475.22 million. During the same quarter in the previous year, the company earned $1.25 EPS. The firm's revenue for the quarter was up 13.1% compared to the same quarter last year. On average, equities analysts forecast that Federated Hermes, Inc. will post 5.1 earnings per share for the current fiscal year.

Federated Hermes Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Friday, May 8th were issued a $0.38 dividend. The ex-dividend date of this dividend was Friday, May 8th. This represents a $1.52 dividend on an annualized basis and a yield of 2.6%. This is a boost from Federated Hermes's previous quarterly dividend of $0.34. Federated Hermes's dividend payout ratio is presently 29.46%.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of FHI. Jones Financial Companies Lllp raised its position in shares of Federated Hermes by 236.0% during the 1st quarter. Jones Financial Companies Lllp now owns 8,890 shares of the company's stock worth $362,000 after purchasing an additional 6,244 shares during the last quarter. United Services Automobile Association acquired a new position in shares of Federated Hermes during the 1st quarter worth approximately $220,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Federated Hermes by 11.6% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 239,613 shares of the company's stock worth $9,769,000 after purchasing an additional 24,960 shares during the last quarter. American Century Companies Inc. raised its position in shares of Federated Hermes by 1.9% during the 2nd quarter. American Century Companies Inc. now owns 33,246 shares of the company's stock worth $1,474,000 after purchasing an additional 614 shares during the last quarter. Finally, Prudential Financial Inc. raised its position in shares of Federated Hermes by 4.9% during the 2nd quarter. Prudential Financial Inc. now owns 11,744 shares of the company's stock worth $497,000 after purchasing an additional 547 shares during the last quarter. 75.94% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities research analysts have weighed in on FHI shares. Wall Street Zen lowered Federated Hermes from a "buy" rating to a "hold" rating in a report on Saturday, May 2nd. JPMorgan Chase & Co. decreased their price target on Federated Hermes from $56.00 to $53.00 and set an "underweight" rating on the stock in a research note on Monday, May 4th. Evercore reissued an "outperform" rating and set a $59.00 price target on shares of Federated Hermes in a research note on Monday. Royal Bank Of Canada decreased their price target on Federated Hermes from $56.00 to $54.00 and set a "sector perform" rating on the stock in a research note on Wednesday, May 6th. Finally, Weiss Ratings reissued a "buy (b)" rating on shares of Federated Hermes in a research note on Tuesday, April 21st. Two investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Federated Hermes has an average rating of "Hold" and a consensus target price of $55.00.

About Federated Hermes

Federated Hermes, Inc is a global investment manager that provides a range of asset management solutions to institutional and individual investors. The company offers active strategies across equity, fixed income, multi-asset, liquidity, and alternative investments. Through its suite of mutual funds, separate accounts and collective investment vehicles, Federated Hermes seeks to deliver performance-driven outcomes aligned with client objectives and risk tolerances.

In addition to traditional investment management, Federated Hermes has developed specialized capabilities in sustainability and responsible investing, integrating environmental, social and governance (ESG) research into its investment process.

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