Federated Hermes (FHI) Competitors

Federated Hermes (NYSE:FHI) and SEI Investments (NASDAQ:SEIC) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, profitability, analyst recommendations, institutional ownership, media sentiment, dividends, valuation and earnings.

Is FHI or SEIC more profitable?

SEI Investments has a net margin of 31.25% compared to Federated Hermes' net margin of 21.67%. Federated Hermes' return on equity of 32.30% beat SEI Investments' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Federated Hermes	21.67%	32.30%	17.05%
SEI Investments	31.25%	29.96%	26.10%

Do institutionals & insiders have more ownership in FHI or SEIC?

75.9% of Federated Hermes shares are held by institutional investors. Comparatively, 70.6% of SEI Investments shares are held by institutional investors. 3.8% of Federated Hermes shares are held by insiders. Comparatively, 14.6% of SEI Investments shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Is FHI or SEIC a better dividend stock?

Federated Hermes pays an annual dividend of $1.36 per share and has a dividend yield of 2.6%. SEI Investments pays an annual dividend of $0.98 per share and has a dividend yield of 1.1%. Federated Hermes pays out 30.2% of its earnings in the form of a dividend. SEI Investments pays out 18.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Federated Hermes has raised its dividend for 4 consecutive years and SEI Investments has raised its dividend for 34 consecutive years.

Which has more volatility and risk, FHI or SEIC?

Federated Hermes has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500. Comparatively, SEI Investments has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500.

Does the media prefer FHI or SEIC?

In the previous week, SEI Investments had 5 more articles in the media than Federated Hermes. MarketBeat recorded 15 mentions for SEI Investments and 10 mentions for Federated Hermes. SEI Investments' average media sentiment score of 1.53 beat Federated Hermes' score of 1.03 indicating that SEI Investments is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Federated Hermes	6 Very Positive mention(s)	1 Positive mention(s)	2 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
SEI Investments	12 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive

Which has higher earnings and valuation, FHI or SEIC?

SEI Investments has higher revenue and earnings than Federated Hermes. Federated Hermes is trading at a lower price-to-earnings ratio than SEI Investments, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Federated Hermes	$1.63B	2.50	$268.31M	$4.51	11.65
SEI Investments	$2.13B	5.04	$581.19M	$5.33	16.26

Do analysts prefer FHI or SEIC?

Federated Hermes presently has a consensus target price of $48.17, indicating a potential downside of 8.30%. SEI Investments has a consensus target price of $102.00, indicating a potential upside of 17.71%. Given SEI Investments' stronger consensus rating and higher probable upside, analysts clearly believe SEI Investments is more favorable than Federated Hermes.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Federated Hermes	0 Sell rating(s)	6 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.14
SEI Investments	0 Sell rating(s)	4 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.43

Summary

SEI Investments beats Federated Hermes on 16 of the 19 factors compared between the two stocks.