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

Shares of Federated Hermes, Inc. (NYSE:FHI) hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $42.67 and last traded at $42.67, with a volume of 236 shares traded. The stock had previously closed at $42.34.

Wall Street Analysts Forecast Growth

FHI has been the subject of a number of research reports. Evercore ISI boosted their target price on shares of Federated Hermes from $41.00 to $43.00 and gave the company an “outperform” rating in a research note on Thursday, November 7th. UBS Group upped their price objective on Federated Hermes from $36.00 to $40.00 and gave the company a “neutral” rating in a research report on Tuesday, October 22nd. TD Cowen raised Federated Hermes from a “hold” rating to a “buy” rating and raised their target price for the stock from $35.00 to $46.00 in a research report on Monday, October 28th. Deutsche Bank Aktiengesellschaft boosted their price objective on shares of Federated Hermes from $43.00 to $45.00 and gave the company a “buy” rating in a research report on Monday, November 11th. Finally, Royal Bank of Canada increased their target price on shares of Federated Hermes from $36.00 to $39.00 and gave the stock a “sector perform” rating in a report on Monday, October 28th. Two equities research analysts have rated the stock with a hold rating, four have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $43.33.

Federated Hermes Stock Performance

The business has a 50 day moving average price of $38.68 and a two-hundred day moving average price of $35.19. The stock has a market cap of $3.49 billion, a P/E ratio of 13.61, a price-to-earnings-growth ratio of 1.18 and a beta of 1.15. The company has a quick ratio of 2.03, a current ratio of 2.75 and a debt-to-equity ratio of 0.32.

Federated Hermes (NYSE:FHI) last released its earnings results on Thursday, October 24th. The company reported $1.06 EPS for the quarter, topping the consensus estimate of $0.92 by $0.14. Federated Hermes had a net margin of 16.62% and a return on equity of 29.85%. The firm had revenue of $408.46 million for the quarter, compared to the consensus estimate of $410.26 million. The company’s quarterly revenue was up 1.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.86 earnings per share. On average, sell-side analysts forecast that Federated Hermes, Inc. will post 3.88 earnings per share for the current fiscal year.

Federated Hermes Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, November 15th. Shareholders of record on Friday, November 8th were issued a dividend of $0.31 per share. This represents a $1.24 annualized dividend and a dividend yield of 2.90%. The ex-dividend date was Friday, November 8th. Federated Hermes’s dividend payout ratio (DPR) is presently 39.87%.

Insider Transactions at Federated Hermes

In related news, VP Dolores D. Dudiak sold 5,000 shares of the firm’s stock in a transaction on Wednesday, October 30th. The shares were sold at an average price of $39.89, for a total value of $199,450.00. Following the completion of the transaction, the vice president now directly owns 77,288 shares of the company’s stock, valued at approximately $3,083,018.32. This trade represents a 6.08 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Paul A. Uhlman sold 6,311 shares of the business’s stock in a transaction on Tuesday, November 19th. The stock was sold at an average price of $41.39, for a total transaction of $261,212.29. Following the completion of the sale, the vice president now owns 310,767 shares in the company, valued at $12,862,646.13. This represents a 1.99 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 29,280 shares of company stock valued at $1,185,871. 3.70% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in FHI. GAMMA Investing LLC increased its stake in Federated Hermes by 49.0% during the third quarter. GAMMA Investing LLC now owns 1,061 shares of the company’s stock worth $39,000 after acquiring an additional 349 shares during the last quarter. Mather Group LLC. purchased a new position in shares of Federated Hermes in the 2nd quarter worth approximately $47,000. UMB Bank n.a. increased its position in shares of Federated Hermes by 26.0% during the 2nd quarter. UMB Bank n.a. now owns 1,436 shares of the company’s stock valued at $47,000 after purchasing an additional 296 shares during the last quarter. CWM LLC raised its holdings in Federated Hermes by 985.7% during the 2nd quarter. CWM LLC now owns 1,444 shares of the company’s stock valued at $47,000 after buying an additional 1,311 shares during the period. Finally, Neo Ivy Capital Management bought a new stake in Federated Hermes in the third quarter worth $60,000. Institutional investors own 75.94% of the company’s stock.

Federated Hermes Company Profile

Federated Hermes, Inc is a publicly owned investment manager. Through its subsidiaries, the firm provides its services to individuals, including high net worth individuals, banking or thrift institutions, investment companies, pension and profit sharing plans, pooled investment vehicles, charitable organizations, state or municipal government entities, and registered investment advisors.