Federated Hermes, Inc. (FHI) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Janus Henderson Group Plc

Federated Hermes, Inc.

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Main Street Capital Corp.

HealthEquity, Inc.

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FTAI Aviation Ltd.

Affiliated Managers Group, Inc.

Cohen & Steers, Inc. (New York)

Blue Owl Capital, Inc.

AllianceBernstein Holding LP

Why is Federated Hermes, Inc. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 25.26%

The company has declared Positive results for the last 3 consecutive quarters

NET PROFIT(HY) At USD 183.48 MM has Grown at 55.4%
ROCE(HY) Highest at 32.69%
RAW MATERIAL COST(Y) Fallen by -0.01% (YoY)

With ROE of 28.29%, it has a fair valuation with a 3.60 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 22.95%, its profits have risen by 4.4% ; the PEG ratio of the company is 1.3

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Federated Hermes, Inc. should be less than 10%
Overall Portfolio exposure to Capital Markets should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Capital Markets)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Federated Hermes, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Federated Hermes, Inc.

32.97%

2.74

22.44%

S&P 500

13.99%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.57%

EBIT Growth (5y)

4.49%

EBIT to Interest (avg)

89.34

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

28.13%

Dividend Payout Ratio

37.44%

Pledged Shares

Institutional Holding

89.70%

ROCE (avg)

68.16%

ROE (avg)

25.26%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.60

EV to EBIT

7.14

EV to EBITDA

6.82

EV to Capital Employed

6.24

EV to Sales

2.00

PEG Ratio

1.26

Dividend Yield

ROCE (Latest)

87.37%

ROE (Latest)

28.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

NET PROFIT(HY)

At USD 183.48 MM has Grown at 55.4%

ROCE(HY)

Highest at 32.69%

RAW MATERIAL COST(Y)

Fallen by -0.01% (YoY

CASH AND EQV(HY)

Highest at USD 1,149.31 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 15.41 times

DIVIDEND PER SHARE(HY)

Highest at USD 15.41

NET SALES(Q)

Highest at USD 426.55 MM

-3What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 276.94 MM

DIVIDEND PAYOUT RATIO(Y)

Lowest at 29.39%

Here's what is working for Federated Hermes, Inc.

Net Profit

At USD 183.48 MM has Grown at 55.4%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Net Sales

Highest at USD 426.55 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Cash and Eqv

Highest at USD 1,149.31 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 15.41 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at USD 15.41

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Raw Material Cost

Fallen by -0.01% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Federated Hermes, Inc.

Operating Cash Flow

Lowest at USD 276.94 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Dividend Payout Ratio

Lowest at 29.39%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)