Zacks Research Research Analysts Cut Earnings Estimates for Federated Hermes, Inc. (NYSE:FHI)

Federated Hermes, Inc. (NYSE:FHI) – Research analysts at Zacks Research decreased their Q1 2026 EPS estimates for Federated Hermes in a research note issued on Tuesday, August 27th. Zacks Research analyst R. Department now anticipates that the company will post earnings per share of $0.94 for the quarter, down from their previous estimate of $0.95. The consensus estimate for Federated Hermes’ current full-year earnings is $3.62 per share. Zacks Research also issued estimates for Federated Hermes’ FY2026 earnings at $4.06 EPS.

Federated Hermes (NYSE:FHI) last posted its earnings results on Thursday, July 25th. The company reported $0.96 EPS for the quarter, beating the consensus estimate of $0.89 by $0.07. Federated Hermes had a return on equity of 28.60% and a net margin of 15.90%. The firm had revenue of $402.60 million for the quarter, compared to analysts’ expectations of $400.35 million. During the same period last year, the firm earned $0.81 EPS. The firm’s revenue was down 7.1% compared to the same quarter last year.

Several other equities analysts have also recently commented on the stock. JPMorgan Chase & Co. raised their target price on shares of Federated Hermes from $46.00 to $47.00 and gave the company an “overweight” rating in a research note on Thursday, July 11th. UBS Group lowered their price objective on shares of Federated Hermes from $36.00 to $35.00 and set a “neutral” rating on the stock in a research note on Wednesday, July 10th. StockNews.com upgraded Federated Hermes from a “hold” rating to a “buy” rating in a research report on Tuesday. Finally, TD Cowen decreased their price target on Federated Hermes from $34.00 to $33.00 and set a “hold” rating for the company in a research note on Monday, July 29th. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $37.83.

Federated Hermes Price Performance

Shares of FHI opened at $33.88 on Thursday. Federated Hermes has a one year low of $30.23 and a one year high of $37.10. The stock’s fifty day moving average is $33.49 and its 200-day moving average is $34.06. The company has a debt-to-equity ratio of 0.34, a quick ratio of 2.45 and a current ratio of 2.75. The firm has a market capitalization of $2.85 billion, a price-to-earnings ratio of 9.63, a price-to-earnings-growth ratio of 1.31 and a beta of 1.17.

Hedge Funds Weigh In On Federated Hermes

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. AQR Capital Management LLC boosted its position in shares of Federated Hermes by 88.3% in the second quarter. AQR Capital Management LLC now owns 2,689,488 shares of the company’s stock worth $87,866,000 after buying an additional 1,261,097 shares during the period. Assenagon Asset Management S.A. purchased a new position in Federated Hermes during the 1st quarter valued at about $29,518,000. Wellington Management Group LLP increased its holdings in shares of Federated Hermes by 59.1% in the 4th quarter. Wellington Management Group LLP now owns 1,813,190 shares of the company’s stock valued at $61,395,000 after purchasing an additional 673,496 shares during the period. Norges Bank acquired a new position in shares of Federated Hermes in the 4th quarter valued at about $12,474,000. Finally, LSV Asset Management purchased a new stake in shares of Federated Hermes in the second quarter worth approximately $11,913,000. 75.94% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling at Federated Hermes

In other news, VP John B. Fisher sold 79,830 shares of the firm’s stock in a transaction on Monday, August 5th. The stock was sold at an average price of $32.71, for a total transaction of $2,611,239.30. Following the completion of the sale, the vice president now directly owns 442,570 shares of the company’s stock, valued at approximately $14,476,464.70. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. In other news, VP Paul A. Uhlman sold 994 shares of Federated Hermes stock in a transaction that occurred on Monday, June 17th. The shares were sold at an average price of $31.43, for a total value of $31,241.42. Following the transaction, the vice president now directly owns 298,578 shares of the company’s stock, valued at $9,384,306.54. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, VP John B. Fisher sold 79,830 shares of the company’s stock in a transaction that occurred on Monday, August 5th. The shares were sold at an average price of $32.71, for a total transaction of $2,611,239.30. Following the completion of the sale, the vice president now owns 442,570 shares of the company’s stock, valued at approximately $14,476,464.70. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 80,896 shares of company stock valued at $2,644,911. Corporate insiders own 3.70% of the company’s stock.

Federated Hermes Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 15th. Shareholders of record on Thursday, August 8th were given a $0.31 dividend. This is a positive change from Federated Hermes’s previous quarterly dividend of $0.28. The ex-dividend date was Thursday, August 8th. This represents a $1.24 annualized dividend and a yield of 3.66%. Federated Hermes’s payout ratio is 35.23%.

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.