Zacks Research Cuts Earnings Estimates for Federated Hermes

Federated Hermes, Inc. (NYSE:FHI - Free Report) - Research analysts at Zacks Research cut their Q3 2025 earnings estimates for Federated Hermes in a note issued to investors on Thursday, May 15th. Zacks Research analyst R. Department now expects that the company will post earnings per share of $0.99 for the quarter, down from their previous estimate of $1.03. The consensus estimate for Federated Hermes' current full-year earnings is $4.04 per share. Zacks Research also issued estimates for Federated Hermes' Q4 2025 earnings at $0.98 EPS, Q2 2026 earnings at $1.02 EPS, Q1 2027 earnings at $1.08 EPS and FY2027 earnings at $4.30 EPS.

Federated Hermes (NYSE:FHI - Get Free Report) last posted its earnings results on Thursday, April 24th. The company reported $1.10 earnings per share for the quarter, beating the consensus estimate of $0.91 by $0.19. The company had revenue of $423.54 million during the quarter, compared to analysts' expectations of $425.43 million. Federated Hermes had a net margin of 16.44% and a return on equity of 30.31%. Federated Hermes's quarterly revenue was up 6.8% on a year-over-year basis. During the same period last year, the company posted $0.89 earnings per share.

A number of other equities analysts have also commented on the company. Royal Bank of Canada increased their price target on Federated Hermes from $37.00 to $43.00 and gave the company a "sector perform" rating in a research note on Wednesday, May 7th. JPMorgan Chase & Co. reissued an "underweight" rating and set a $41.00 price objective (down from $42.00) on shares of Federated Hermes in a research note on Wednesday, February 5th. Evercore ISI boosted their price objective on Federated Hermes from $38.00 to $41.00 and gave the stock an "outperform" rating in a research note on Monday, April 28th. StockNews.com raised Federated Hermes from a "buy" rating to a "strong-buy" rating in a research note on Monday, April 28th. Finally, UBS Group boosted their price objective on Federated Hermes from $39.00 to $40.00 and gave the stock a "neutral" rating in a research note on Monday, February 3rd. One analyst has rated the stock with a sell rating, four have assigned a hold rating, one has given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $42.33.

Federated Hermes Price Performance

Federated Hermes stock traded down $0.06 during midday trading on Monday, reaching $42.87. 472,887 shares of the stock traded hands, compared to its average volume of 731,656. The stock's fifty day moving average is $39.76 and its 200-day moving average is $40.04. Federated Hermes has a 12 month low of $31.24 and a 12 month high of $43.92. The stock has a market cap of $3.39 billion, a P/E ratio of 13.44, a PEG ratio of 1.00 and a beta of 0.77. The company has a quick ratio of 2.03, a current ratio of 2.70 and a debt-to-equity ratio of 0.32.

Institutional Trading of Federated Hermes

Institutional investors have recently added to or reduced their stakes in the company. Farther Finance Advisors LLC increased its stake in Federated Hermes by 246.6% in the first quarter. Farther Finance Advisors LLC now owns 863 shares of the company's stock worth $35,000 after purchasing an additional 614 shares during the period. Quarry LP purchased a new stake in Federated Hermes in the fourth quarter worth $37,000. R Squared Ltd purchased a new stake in Federated Hermes in the fourth quarter worth $43,000. Sound Income Strategies LLC bought a new position in Federated Hermes in the 4th quarter worth about $53,000. Finally, Northwestern Mutual Wealth Management Co. grew its stake in Federated Hermes by 22.7% in the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 1,551 shares of the company's stock worth $63,000 after acquiring an additional 287 shares in the last quarter. Institutional investors own 75.94% of the company's stock.

Federated Hermes Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, May 15th. Shareholders of record on Thursday, May 8th were paid a $0.34 dividend. The ex-dividend date of this dividend was Thursday, May 8th. This represents a $1.36 annualized dividend and a yield of 3.17%. This is an increase from Federated Hermes's previous quarterly dividend of $0.31. Federated Hermes's dividend payout ratio (DPR) is presently 38.31%.

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.