Federated Hermes (NYSE:FHI) Posts Quarterly Earnings Results, Beats Expectations By $0.20 EPS

Federated Hermes (NYSE:FHI) announced its quarterly earnings results on Thursday. The company reported $1.39 EPS for the quarter, beating analysts’ consensus estimates of $1.19 by $0.20, FiscalAI reports. Federated Hermes had a net margin of 21.86% and a return on equity of 33.03%. The firm had revenue of $482.83 million during the quarter, compared to analysts’ expectations of $468.45 million.

Federated Hermes Stock Up 0.3%

Shares of NYSE FHI traded up $0.16 during mid-day trading on Thursday, reaching $53.07. 1,248,324 shares of the company’s stock traded hands, compared to its average volume of 596,801. The stock has a market cap of $4.12 billion, a P/E ratio of 11.08, a PEG ratio of 0.55 and a beta of 0.75. The company has a debt-to-equity ratio of 0.29, a current ratio of 3.13 and a quick ratio of 2.58. Federated Hermes has a 1-year low of $35.05 and a 1-year high of $55.13. The business has a 50-day simple moving average of $52.16 and a 200 day simple moving average of $51.40.

Insider Activity at Federated Hermes

In related news, insider Richard A. Novak sold 1,249 shares of the company’s stock in a transaction on Wednesday, November 19th. The stock was sold at an average price of $47.85, for a total transaction of $59,764.65. Following the completion of the sale, the insider owned 57,500 shares in the company, valued at approximately $2,751,375. This represents a 2.13% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Saker Anwar Nusseibeh sold 15,000 shares of the stock in a transaction dated Monday, November 3rd. The shares were sold at an average price of $48.54, for a total transaction of $728,100.00. Following the completion of the sale, the chief executive officer owned 157,039 shares of the company’s stock, valued at approximately $7,622,673.06. This represents a 8.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 21,709 shares of company stock valued at $1,049,146 over the last 90 days. Insiders own 3.80% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. BI Asset Management Fondsmaeglerselskab A S bought a new position in Federated Hermes during the second quarter worth about $56,000. EverSource Wealth Advisors LLC grew its holdings in shares of Federated Hermes by 76.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,567 shares of the company’s stock valued at $69,000 after purchasing an additional 679 shares during the last quarter. Headlands Technologies LLC purchased a new position in Federated Hermes in the 2nd quarter worth approximately $76,000. Entropy Technologies LP bought a new position in shares of Federated Hermes during the third quarter valued at about $212,000. Finally, United Services Automobile Association bought a new stake in Federated Hermes in the first quarter valued at $220,000. 75.94% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of research analysts have commented on FHI shares. Zacks Research lowered Federated Hermes from a “strong-buy” rating to a “hold” rating in a report on Tuesday, December 9th. Weiss Ratings restated a “buy (b)” rating on shares of Federated Hermes in a research note on Thursday, January 22nd. Wall Street Zen upgraded shares of Federated Hermes from a “buy” rating to a “strong-buy” rating in a research note on Saturday, January 10th. JPMorgan Chase & Co. boosted their price objective on Federated Hermes from $55.00 to $56.00 and gave the stock a “neutral” rating in a research report on Monday, November 3rd. Finally, TD Cowen restated a “hold” rating on shares of Federated Hermes in a research report on Wednesday, January 14th. Two analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $51.20.

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.