Is Federated Hermes, Inc. overvalued or undervalued?

As of 16 April 2025, the valuation grade for Federated Hermes, Inc. has moved from expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a P/E ratio of 13, an EV to EBITDA of 6.82, and a ROE of 28.29%.
In comparison to peers, Federated Hermes has a P/E ratio of 12.65, which is lower than Janus Henderson Group Plc at 14.78 and higher than Main Street Capital Corp. at 9.97. The PEG ratio of 1.26 suggests that the stock is reasonably priced relative to its growth expectations. Notably, Federated Hermes has outperformed the S&P 500 over the past year, with a return of 32.59% compared to the index's 10.26%, reinforcing its fair valuation status.