Federated Hermes (NYSE:FHI) Reaches New 52-Week High – What’s Next?

Federated Hermes, Inc. (NYSE:FHI) reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $63.99 and last traded at $63.8220, with a volume of 838684 shares trading hands. The stock had previously closed at $59.96.

Wall Street Analyst Weigh In

Several research analysts have recently commented on FHI shares. TD Cowen decreased their price objective on Federated Hermes from $58.00 to $54.00 and set a “hold” rating on the stock in a report on Monday, May 4th. Wall Street Zen upgraded Federated Hermes from a “hold” rating to a “buy” rating in a report on Saturday, August 1st. Deutsche Bank Aktiengesellschaft restated a “hold” rating and set a $58.00 price target on shares of Federated Hermes in a research report on Monday. JPMorgan Chase & Co. decreased their price target on Federated Hermes from $56.00 to $53.00 and set an “underweight” rating on the stock in a research note on Monday, May 4th. Finally, Weiss Ratings upgraded Federated Hermes from a “buy (b)” rating to a “buy (b+)” rating in a research report on Friday, July 31st. Two research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $56.20.

Federated Hermes Price Performance

The stock has a market cap of $4.88 billion, a PE ratio of 11.94, a PEG ratio of 1.52 and a beta of 0.65. The business’s 50-day simple moving average is $58.27 and its 200-day simple moving average is $56.53. The company has a quick ratio of 2.73, a current ratio of 2.59 and a debt-to-equity ratio of 0.28.

Federated Hermes (NYSE:FHI) last posted its earnings results on Thursday, July 30th. The company reported $1.38 earnings per share for the quarter, topping analysts’ consensus estimates of $1.19 by $0.19. Federated Hermes had a net margin of 21.30% and a return on equity of 34.03%. The company had revenue of $502.78 million during the quarter, compared to analyst estimates of $488.34 million. During the same period in the prior year, the business posted $1.16 earnings per share. Federated Hermes’s revenue for the quarter was up 18.3% on a year-over-year basis. On average, research analysts expect that Federated Hermes, Inc. will post 5.43 EPS for the current fiscal year.

Federated Hermes Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 14th. Stockholders of record on Friday, August 7th will be given a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date is Friday, August 7th. Federated Hermes’s dividend payout ratio (DPR) is currently 28.25%.

Insider Activity

In other news, CEO Saker Anwar Nusseibeh sold 8,950 shares of the business’s stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $57.34, for a total transaction of $513,193.00. Following the transaction, the chief executive officer directly owned 151,276 shares of the company’s stock, valued at approximately $8,674,165.84. The trade was a 5.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 4.20% of the company’s stock.

Institutional Trading of Federated Hermes

Several large investors have recently added to or reduced their stakes in the stock. Schneider Downs Wealth Management Advisors LP boosted its position in Federated Hermes by 3,229.0% during the 3rd quarter. Schneider Downs Wealth Management Advisors LP now owns 2,657,263 shares of the company’s stock valued at $137,992,000 after acquiring an additional 2,577,442 shares in the last quarter. Invesco Ltd. raised its position in shares of Federated Hermes by 29.6% in the 3rd quarter. Invesco Ltd. now owns 2,939,908 shares of the company’s stock worth $152,669,000 after acquiring an additional 670,643 shares in the last quarter. Victory Capital Management Inc. raised its position in shares of Federated Hermes by 78.9% in the 4th quarter. Victory Capital Management Inc. now owns 1,394,622 shares of the company’s stock worth $72,618,000 after acquiring an additional 615,130 shares in the last quarter. AQR Capital Management LLC lifted its stake in shares of Federated Hermes by 20.1% in the 2nd quarter. AQR Capital Management LLC now owns 2,978,885 shares of the company’s stock valued at $132,024,000 after purchasing an additional 498,202 shares during the period. Finally, LSV Asset Management lifted its stake in shares of Federated Hermes by 20.4% in the 4th quarter. LSV Asset Management now owns 2,890,276 shares of the company’s stock valued at $150,497,000 after purchasing an additional 489,275 shares during the period. Institutional investors own 75.94% of the company’s stock.

About Federated Hermes

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.