Zacks Research Lifts Earnings Estimates for Federated Hermes

Federated Hermes, Inc. (NYSE:FHI) – Investment analysts at Zacks Research increased their FY2024 earnings per share estimates for Federated Hermes in a research report issued to clients and investors on Tuesday, November 12th. Zacks Research analyst R. Department now forecasts that the company will earn $3.76 per share for the year, up from their prior forecast of $3.53. The consensus estimate for Federated Hermes’ current full-year earnings is $3.83 per share. Zacks Research also issued estimates for Federated Hermes’ Q4 2025 earnings at $1.06 EPS, FY2025 earnings at $4.03 EPS, Q3 2026 earnings at $1.04 EPS and FY2026 earnings at $4.11 EPS.

Federated Hermes (NYSE:FHI) last issued its quarterly earnings results on Thursday, October 24th. The company reported $1.06 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.92 by $0.14. Federated Hermes had a return on equity of 29.85% and a net margin of 16.62%. The company had revenue of $408.46 million during the quarter, compared to the consensus estimate of $410.26 million. During the same period last year, the company earned $0.86 earnings per share. Federated Hermes’s revenue was up 1.4% on a year-over-year basis.

Other equities research analysts also recently issued reports about the company. Deutsche Bank Aktiengesellschaft increased their price target on Federated Hermes from $43.00 to $45.00 and gave the stock a “buy” rating in a report on Monday, November 11th. Royal Bank of Canada upped their price target on shares of Federated Hermes from $36.00 to $39.00 and gave the stock a “sector perform” rating in a research report on Monday, October 28th. UBS Group raised 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. Evercore ISI lifted their price target on shares of Federated Hermes from $41.00 to $43.00 and gave the stock an “outperform” rating in a report on Thursday, November 7th. Finally, TD Cowen raised shares of Federated Hermes from a “hold” rating to a “buy” rating and boosted their target price for the stock from $35.00 to $46.00 in a research report on Monday, October 28th. Two research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat.com, Federated Hermes currently has an average rating of “Moderate Buy” and a consensus price target of $43.33.

Federated Hermes Price Performance

Federated Hermes stock opened at $42.18 on Friday. The firm has a market capitalization of $3.45 billion, a PE ratio of 13.51, a price-to-earnings-growth ratio of 1.17 and a beta of 1.15. Federated Hermes has a 12-month low of $31.08 and a 12-month high of $42.56. The firm has a 50-day moving average price of $37.75 and a 200-day moving average price of $34.78. The company has a current ratio of 2.75, a quick ratio of 2.03 and a debt-to-equity ratio of 0.32.

Hedge Funds Weigh In On Federated Hermes

Large investors have recently modified their holdings of the business. State of Alaska Department of Revenue raised its holdings in Federated Hermes by 3.1% in the 3rd quarter. State of Alaska Department of Revenue now owns 9,146 shares of the company’s stock valued at $336,000 after buying an additional 275 shares during the period. UMB Bank n.a. raised its stake in shares of Federated Hermes by 26.0% in the 2nd quarter. UMB Bank n.a. now owns 1,436 shares of the company’s stock valued at $47,000 after acquiring an additional 296 shares during the period. Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in shares of Federated Hermes by 2.1% in the 3rd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 16,638 shares of the company’s stock worth $612,000 after acquiring an additional 340 shares during the last quarter. GAMMA Investing LLC lifted its holdings in shares of Federated Hermes by 49.0% in the 3rd 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. Finally, Acadian Asset Management LLC boosted its position in shares of Federated Hermes by 23.3% during the 2nd quarter. Acadian Asset Management LLC now owns 3,402 shares of the company’s stock worth $111,000 after purchasing an additional 643 shares during the period. Institutional investors and hedge funds own 75.94% of the company’s stock.

Insider Activity

In other Federated Hermes news, VP Dolores D. Dudiak sold 5,000 shares of the business’s stock in a transaction on Wednesday, October 30th. The stock was sold at an average price of $39.89, for a total transaction of $199,450.00. Following the transaction, the vice president now owns 77,288 shares of the company’s stock, valued at approximately $3,083,018.32. The trade was a 6.08 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Saker Anwar Nusseibeh sold 12,152 shares of the business’s stock in a transaction dated Monday, November 4th. The shares were sold at an average price of $39.86, for a total transaction of $484,378.72. Following the completion of the transaction, the chief executive officer now owns 179,096 shares in the company, valued at $7,138,766.56. The trade was a 6.35 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 3.70% of the company’s stock.

Federated Hermes Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, November 15th. Investors of record on Friday, November 8th were paid a $0.31 dividend. The ex-dividend date was Friday, November 8th. This represents a $1.24 annualized dividend and a dividend yield of 2.94%. Federated Hermes’s dividend payout ratio is presently 39.87%.

About Federated Hermes

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.