As of Friday close, Federated Hermes Inc.’s (NYSE:FHI) stock was up $0.71, moving up 2.17 percent to $33.50. The average number of shares traded per day over the past five days has been 630,540 shares. 2 times new highs have been achieved over the past 5 days, with a $0.28 gain in that time frame. In the last twenty days, the average volume was 816,385, while in the previous 50 days, it was 1,162,048.
Since last month, FHI stock retreated -7.66%. Shares of the company fell to $32.36 on 08/17/23, the lowest level in the past month. A 52-week high of $45.55 was reached on 04/18/23 after having rallying from a 52-week low of $30.30. Since the beginning of this year, FHI’s stock price has dropped by -7.74% or -$2.81, and marked a new high 17 times. However, the stock has declined by -26.45% since its 52-week high.
FHI stock investors should be aware that Federated Hermes Inc. (FHI) stock had its last reported insider trading activity 17 days ago on Aug 02. Van Meter Stephen, the VP, Chief Compliance Officer of the company, disposed of 74 shares for $33.17 on Aug 02. It resulted in a $2,454 divestment by the insider. Nusseibeh Saker Anwar sold 43,135 shares at an average price of $36.10 on Jul 03. The insider now owns 193,434 shares following the transaction. On Jun 16, Vice President Uhlman Paul A sold 1,004 shares at $38.54 apiece. The transaction was valued at $38,697.
Valuation Metrics
Right now, Federated Hermes Inc. (FHI) has a P/E ratio of about 11.16. The stock’s beta is 1.04. Besides these, the trailing price-to-sales (P/S) ratio of 1.87, the price-to-book (PB) ratio of 2.51, and the price-to-cash flow ratio of 9.30 may also be considered.
The latest dividend of $0.28 per share was paid out, remained unchanged from last year’s $0.28. On Thursday April 27 2023, a $0.01 dividend increase was announced.
Financial Health
In the three months ended June 29, Federated Hermes Inc.’s quick ratio stood at 3.00, while its current ratio was 3.00, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.31, and the total debt-to-equity ratio was 0.31. On the profitability front, the trailing twelve-month gross margin is 95.80% percent. In the year ended June 29, operating margins totaled 21.70%. Based on annual data, FHI earned $336.8 million in gross profit and brought in $1.45 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 18.70%. Return on equity (ROE) for the past 12 months was 23.90%.
In Federated Hermes Inc.’s quarter-end financial report for June 29, it reported total debt of $347.71 million. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. FHI’s revenue rose 20.93% to $387.01 million during the quarter, while net income inched up to $438.48 million. While analysts expected Federated Hermes Inc. to report $0.82 quarterly earnings, the actual figure was $0.81 per share, beating the consensus estimate by -1.20%. During the quarter, the company generated $105.09 million in EBITDA. The value of shareholders’ equity is $88.3 million.
Technical Picture
This quick technical analysis looks at Federated Hermes Inc.’s (FHI) price momentum. With a historical volatility rate of 16.18%, the RSI 9-day stood at 49.68% on 18 August.
With respect to its five-day moving average, the current Federated Hermes Inc. price is up by +0.84% percent or $0.28. At present, FHI shares trade -8.39% below its 20-day simple moving average and -15.72% percent below its 100-day simple moving average. However, the stock is currently trading approximately -10.12% below its SMA50 and -3.60% below its SMA200.
Stochastic coefficient K was 33.08% and Stochastic coefficient D was 15.53%, while ATR was 0.70. Given the Stochastic reading of 75.25% for the 14-day period, the RSI (14) reading has been calculated as 44.90%. As of today, the MACD Oscillator reading stands at -0.10, while the 14-day reading stands at -0.21.
Analyst Ratings
JP Morgan upgraded its rating on Federated Hermes Inc. (NYSE: FHI) to an Overweight in a note to investors on April 11, 2023. The analysts firm previously had an Underweight rating on the stock.Federated Hermes Inc. (FHI) has been rated Overweight by analysts. According to 0 brokerage firms, FHI is a sell, and 3 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate Federated Hermes Inc. stock as buy, with 5 recommending it as overweight.
With a median target price of $37.00, the current consensus forecast for the stock is $35.00 – $47.00. Based on these forecasts, analysts predict Federated Hermes Inc. (FHI) will achieve an average price target of $39.57.
