The stock of Federated Hermes Inc. (NYSE:FHI) increased by $0.47 on Wednesday to $35.12, up 1.37 percent. The last five days have seen an average of 870,465 shares of common stock traded. 17 times new highs were reached in the current year, with a fall of -$1.50. The average number of shares traded over the last 20 days was 624,261, while the average volume over the last 50 days totaled 717,979.
FHI stock appreciated 4.41% since last month. On 08/23/23, the company’s shares reached a one-month low of $33.28. The stock touched a high of $45.55 on 04/18/23, after rallying from a low of $30.30 in 52 weeks. The price of FHI stock has declined by -3.26% or -$1.50 this year, reaching a new high 17 times. Still, the stock price is down -22.89% from the 52-week high.
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Insider Transactions
FHI stock investors should be aware that Federated Hermes Inc. (FHI) stock had its last reported insider trading activity 15 days ago on Sep 05. On Sep 05, CEO, Hermes Fund Managers Ltd. Nusseibeh Saker Anwar sold 7,800 shares at $34.73 each. This transaction resulted in the insider making $270,905. On Aug 02, Van Meter Stephen sold 74 shares at a price of US$33.17. After the transaction, the insider now owns 34,314 shares. CEO, Hermes Fund Managers Ltd. Nusseibeh Saker Anwar had earlier sold 43,135 shares on Jul 03 for $36.10 a share. The transaction was completed for $1,557,277.
Valuation Metrics
Federated Hermes Inc. (FHI) has a trailing price-to-earnings (P/E) ratio of 11.70. Beta for the stock is 1.04. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 1.96, the price-to-book (PB) ratio of 2.63, and the price-to-cash flow ratio of 9.72.
Company paid $0.0350 per share in dividends, a decrease of -87.5% from $0.28 last year. A $0.2450 dividend decrease was reported on Monday September 11 2023.
Financial Health
For the three months ended June 29, Federated Hermes Inc.’s quick ratio was 3.00, while its current ratio was 3.00, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.31, and the total debt to equity ratio is 0.31. As far as profitability goes, gross margin for the trailing twelve months is 95.80% percent. Federated Hermes Inc.’s operating margin stood at 21.70% for the same period. Based on annual data, it had gross profit of $336.8 million and revenue of $1.45 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. FHI’s return on assets (ROA) during the last 12 months has been 12.70%. There was a 18.70% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 23.90%.
Earnings Surprise
According to Federated Hermes Inc.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $438.48 million, while revenues rose by 20.93% to $387.01 million. It was predicted that Federated Hermes Inc.’s quarterly earnings would be $0.81, but it ended up being $0.82, beating the consensus by -1.20%. EBITDA was $105.09 million for the quarter. At the end of Federated Hermes Inc.’s most recent quarter ended June 29, its total debt was $440.04 million. Equity owned by shareholders amounts to $88.3 million.
Technical Picture
Here’s a quick look at Federated Hermes Inc.’s (FHI) price momentum from a technical perspective. As of 19 September, the RSI 9-day stood at 54.68%, suggesting the stock is Neutral, with a 13.28% historical volatility rate.
The stochastic %K and %D were 39.17% and 38.97% respectively, while the average true range (ATR) was 0.58. Based on the 14-day stochastic reading of 46.25%, the RSI (14) reading is 53.65%. On the 9-day MACD Oscillator, the stock is at -0.04, and the 14-day reading is at -0.07.
Analyst Ratings
In its most recent analyst report, JP Morgan raised its rating on Federated Hermes Inc. (NYSE: FHI) to an Overweight. Prior to this, analysts firm rated the stock as an Underweight. Analysts have assigned Federated Hermes Inc. (FHI) an Overweight rating. FHI is a stock that is recommended for selling by 0 brokerage firms, while 3 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 0 rates it overweight and 5 others recommend it as a buy.
What is FHI’s price target for the next 12 months?
The current consensus forecast for the stock is between $35.00 and $45.00, with a median target price of $37.00. In analyzing these forecasts, the average price target given by analysts for Federated Hermes Inc. (FHI) is $39.29.
