Federated Hermes (NYSE:FHI) Reaches New 1-Year High – Still a Buy?

Federated Hermes, Inc. (NYSE:FHI) hit a new 52-week high on Wednesday . The company traded as high as $58.09 and last traded at $57.8820, with a volume of 145000 shares trading hands. The stock had previously closed at $56.71.

Wall Street Analysts Forecast Growth

FHI has been the topic of a number of recent analyst reports. Wall Street Zen lowered Federated Hermes from a “buy” rating to a “hold” rating in a research report on Saturday, March 14th. TD Cowen restated a “hold” rating on shares of Federated Hermes in a research note on Wednesday, January 14th. Argus raised shares of Federated Hermes to a “hold” rating in a report on Monday, February 2nd. Zacks Research downgraded shares of Federated Hermes from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, December 9th. Finally, Royal Bank Of Canada reissued a “sector perform” rating and set a $55.00 price objective (up from $54.00) on shares of Federated Hermes in a report on Tuesday, February 3rd. Two analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $55.00.

Federated Hermes Trading Up 1.9%

The company has a market cap of $4.39 billion, a P/E ratio of 11.24, a P/E/G ratio of 1.96 and a beta of 0.73. The business has a fifty day simple moving average of $55.21 and a 200 day simple moving average of $52.70. The company has a debt-to-equity ratio of 0.29, a quick ratio of 2.30 and a current ratio of 2.75.

Federated Hermes (NYSE:FHI) last issued its quarterly earnings results on Thursday, January 29th. The company reported $1.39 earnings per share for the quarter, beating analysts’ consensus estimates of $1.20 by $0.19. Federated Hermes had a return on equity of 34.25% and a net margin of 22.40%.The business had revenue of $482.83 million during the quarter, compared to the consensus estimate of $468.45 million. During the same period in the previous year, the business earned $1.04 EPS. The business’s quarterly revenue was up 13.7% on a year-over-year basis. Analysts anticipate that Federated Hermes, Inc. will post 4.04 earnings per share for the current fiscal year.

Federated Hermes Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, February 13th. Shareholders of record on Friday, February 6th were issued a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend was Friday, February 6th. Federated Hermes’s dividend payout ratio is 26.46%.

Insider Activity

In other news, VP Paul A. Uhlman sold 72,392 shares of Federated Hermes stock in a transaction dated Thursday, March 12th. The shares were sold at an average price of $56.23, for a total value of $4,070,602.16. Following the completion of the transaction, the vice president directly owned 263,987 shares of the company’s stock, valued at approximately $14,843,989.01. The trade was a 21.52% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Insiders own 4.20% of the company’s stock.

Institutional Investors Weigh In On Federated Hermes

Institutional investors and hedge funds have recently bought and sold shares of the business. Burney Co. lifted its holdings in shares of Federated Hermes by 11.8% in the 3rd quarter. Burney Co. now owns 135,132 shares of the company’s stock worth $7,017,000 after purchasing an additional 14,253 shares during the last quarter. Seizert Capital Partners LLC grew its stake in Federated Hermes by 47.2% during the 3rd quarter. Seizert Capital Partners LLC now owns 82,524 shares of the company’s stock worth $4,285,000 after buying an additional 26,459 shares during the last quarter. Jupiter Asset Management Ltd. increased its position in Federated Hermes by 2,427.2% in the 3rd quarter. Jupiter Asset Management Ltd. now owns 527,368 shares of the company’s stock valued at $27,386,000 after acquiring an additional 506,500 shares during the period. BI Asset Management Fondsmaeglerselskab A S increased its position in Federated Hermes by 3,592.3% in the 3rd quarter. BI Asset Management Fondsmaeglerselskab A S now owns 46,412 shares of the company’s stock valued at $2,410,000 after acquiring an additional 45,155 shares during the period. Finally, Vest Financial LLC bought a new stake in Federated Hermes during the 3rd quarter valued at $1,397,000. Institutional investors and hedge funds own 75.94% of the company’s stock.

Federated Hermes Company Profile

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.