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

Federated Hermes, Inc. (NYSE:FHI) reached a new 52-week high during trading on Wednesday . The company traded as high as $57.94 and last traded at $57.7750, with a volume of 235319 shares trading hands. The stock had previously closed at $56.33.

Wall Street Analysts Forecast Growth

FHI has been the topic of a number of recent analyst reports. Wall Street Zen lowered shares of Federated Hermes from a “buy” rating to a “hold” rating in a research note on Saturday, March 14th. Weiss Ratings reissued a “buy (b)” rating on shares of Federated Hermes in a report on Thursday, January 22nd. Royal Bank Of Canada restated a “sector perform” rating and set a $55.00 price objective (up from $54.00) on shares of Federated Hermes in a research note on Tuesday, February 3rd. TD Cowen reaffirmed a “hold” rating on shares of Federated Hermes in a report on Wednesday, January 14th. Finally, Zacks Research lowered Federated Hermes from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, December 9th. Two research 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 presently has an average rating of “Hold” and a consensus price target of $55.00.

Federated Hermes Stock Performance

The stock’s 50-day moving average price is $54.89 and its 200-day moving average price is $52.57. The company has a current ratio of 2.75, a quick ratio of 2.30 and a debt-to-equity ratio of 0.29. The company has a market capitalization of $4.36 billion, a P/E ratio of 11.16, a P/E/G ratio of 1.97 and a beta of 0.73.

Federated Hermes (NYSE:FHI) last announced its quarterly earnings data 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. The business had revenue of $482.83 million during the quarter, compared to the consensus estimate of $468.45 million. Federated Hermes had a net margin of 22.40% and a return on equity of 34.25%. The company’s revenue for the quarter was up 13.7% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.04 EPS. As a group, equities analysts expect that Federated Hermes, Inc. will post 4.04 EPS for the current year.

Federated Hermes Announces Dividend

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

Insider Buying and Selling at Federated Hermes

In related news, VP Paul A. Uhlman sold 72,392 shares of the firm’s stock in a transaction that occurred on Thursday, March 12th. The stock was sold at an average price of $56.23, for a total value of $4,070,602.16. Following the sale, the vice president owned 263,987 shares of the company’s stock, valued at approximately $14,843,989.01. This trade represents a 21.52% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 3.80% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in FHI. MAI Capital Management lifted its stake in Federated Hermes by 86.7% in the third quarter. MAI Capital Management now owns 476 shares of the company’s stock valued at $25,000 after buying an additional 221 shares during the last quarter. Torren Management LLC acquired a new position in shares of Federated Hermes during the fourth quarter valued at $25,000. CIBC Private Wealth Group LLC grew its position in shares of Federated Hermes by 119.7% during the fourth quarter. CIBC Private Wealth Group LLC now owns 736 shares of the company’s stock worth $38,000 after acquiring an additional 401 shares during the last quarter. Parkside Financial Bank & Trust grew its position in shares of Federated Hermes by 145.8% during the fourth quarter. Parkside Financial Bank & Trust now owns 848 shares of the company’s stock worth $44,000 after acquiring an additional 503 shares during the last quarter. Finally, Farther Finance Advisors LLC increased its holdings in shares of Federated Hermes by 97.7% in the 3rd quarter. Farther Finance Advisors LLC now owns 870 shares of the company’s stock worth $45,000 after acquiring an additional 430 shares during the period. 75.94% of the stock is currently owned by institutional investors.

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.