Is Federated Hermes, Inc. (FHI) Overvalued?
We dive into why Federated Hermes, Inc. (FHI) could be considered overvalued on 2026-07-30, based on AAII’s Value Score and Grade.Michael Rose
A+ Stock Grade Summary:
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COMPANY SUMMARY
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. Through its subsidiaries, it manages separate client-focused equity, fixed income, balanced and money market mutual funds along with separate client-focused equity, fixed income, money market, and balanced portfolios. Through its subsidiaries, the firm invests in the public equity and fixed income markets across the globe. It invests in growth and value stocks of small-cap, mid-cap, and large-cap companies. The firm makes its fixed income investments in ultra-short, short-term, and intermediate-term mortgage-backed, U.S. Government, U.S. corporate, high yield, and municipal securities. It employs both fundamental and quantitative analysis to make its equity investments. Federated Hermes, Inc. was founded in 1955 and is based in Pittsburgh, Pennsylvania with additional offices in New York City; Chicago, Illinois and London, United Kingdom.
Commentary & Analysis
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Which Is a Better Investment, eToro Group Ltd. or Federated Hermes, Inc. Stock?
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Why Federated Hermes, Inc.’s (FHI) Stock Is Down 5.01%
As of Friday, May 01, Federated Hermes, Inc.’s FHI share price has dipped by 5.01%, which has investors questioning if this is right time to buy.Rosalio Madrigal
Financial Summary
| Share Statistics | FHI | Industry Median |
Percentile (All Stocks) |
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| Market Cap (Mil) | $4,343.0 | $2,836.7 | 65% |
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| Shares Out (Mil) | 72.7 | 74.1 | 56% |
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| Institutional Ownership | 95.4% | 79.1% | 67% |
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| Float (Mil) | 69.2 | 69.7 | 54% |
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| Beta | 0.63 | 0.94 | 36% |
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| Avg Daily Volume (000s) | 526 | 445 | 60% |
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| Price Change (52-week) |
20.6% | 72.7% | 62% |
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| Growth | FHI | Industry Median |
Percentile (All Stocks) |
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| Sales (5yr) | 4.5% | 7.7% | 34% |
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| Net Income (5yr) | 4.3% | 8.9% | 46% |
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| EPS (5yr) | 9.7% | 9.6% | 46 |
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| Dividends (5yr) | 4.3% | 1.3% | 84% |
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| Cash Flow (5yr) | 10.8% | 0.9% | 70% |
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| Estimates | Qtrly | Current Fiscal Year |
Next Fiscal Year |
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| # of Estimates | 1 | 4 | 5 | |
| Current EPS | $1.360 | $5.296 | $5.796 | |
| Month Ago EPS | $1.321 | $5.262 | $5.690 | |
| # Rev Up | 0 | 1 | 1 | |
| # Rev Down | 1 | 0 | 0 | |
| Three Months Ago EPS | $1.345 | $5.130 | $5.697 | |
| Year/Year Chg | 7.4% | 3.3% | 27.1% | |
| Financials | FHI | Industry Median |
Percentile (All Stocks) |
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| Sales (TTM) (Mil) | $1,856 | $871 | 59% |
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| Net Income (TTM) (Mil) | $399 | $85 | 76% |
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| EPS (TTM) | $5.151 | $1.000 | 87% |
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| Operating Cash Flow (TTM) (Mil) | $312 | $64 | 65% |
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| Net Cash Flow (TTM) (Mil) | $126 | $25 | 80% |
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| Long-Term Debt (Q1) (Mil) | $432 | $209 | 57% |
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| Enterprise Value (Q1) (Mil) | $4,171 | $1,297 | 60% |
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| Valuation | FHI | Industry Median |
Percentile (All Stocks) |
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| P/B | 3.59 | 2.69 | 70% |
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| P/E | 11.6 | 19.1 | 22% |
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| Dividend Yield | 2.5% | 0.9% | 80% |
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| PEG (5yr hist) | 1.2 | 1.4 | 51% |
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| Ratios | FHI | Industry Median |
Percentile (All Stocks) |
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| Gross Margin | 68.7% | 75.0% | 80% |
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| Net Margin | 21.3% | 15.8% | 80% |
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| ROA | 19.2% | 2.1% | 96% |
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| ROE | 35.0% | 13.4% | 90% |
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| Liabilities to Assets | 41.1% | 59.1% | 32% |
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| F-Score | 7 | 5 | 84% |
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Passing Stock Screens
As of 7/31/2026, from a list of 60 stock screening strategies,
FACTOR STRATEGY
P/E Relative Screen
Factors: Value, Earnings Estimates
A screen that looks at the relationship of a stock's price-earnings ratio to that of the industry and market.
| Performance Since Inception: | 13.7% |
| +/- S&P 500: | +6.2 |
