Federated Hermes

FHI · NYSE

$55.97+$0.72 (+1.30%)TodayMarket closed · Oct 20, 7:30 PM ET

Prev close $55.25

FHI analyst rating

HoldConsensus of 4 analysts over the last 12 months. 25% rate it a buy.

Strong buy0
Buy1
Hold2
Underperform1
Sell0

12-month price target · 7 analysts

Average $62.02 (+10.8% upside)

Low: $59.59
Now: $55.97
High: $66.15

Upgrades and downgrades

The latest rating actions, newest first

FHI analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
TD Cowen	Oct 12, 2026	Maintains	Hold	$60.00 → $56.00	53%
Evercore ISI Group	Oct 9, 2026	Maintains	Outperform	$64.00 → $59.00	44%
Evercore ISI Group	Sep 9, 2026	Maintains	Outperform	$65.00 → $64.00	44%
Evercore ISI Group	Aug 10, 2026	Maintains	Outperform	$62.00 → $65.00	44%
Evercore ISI Group	Aug 3, 2026	Maintains	Outperform	$59.00 → $62.00	44%
RBC Capital	Jul 2, 2026	Maintains	Sector Perform	$54.00 → $57.00	29%
RBC Capital	May 6, 2026	Maintains	Sector Perform	$56.00 → $54.00	29%
JP Morgan	May 4, 2026	Maintains	Underweight	$56.00 → $53.00	53%
TD Cowen	May 4, 2026	Maintains	Hold	$58.00 → $54.00	53%
JP Morgan	Apr 16, 2026	Downgrade	Neutral → Underweight	$55.00 → $56.00	53%

The case for and against

Updated Feb 2, 2026

Bull case

Federated Hermes reported $871.2 billion in managed assets as of September 2025, with a significant emphasis on cash management services, which are projected to account for approximately 53% of its revenue this year. The firm is poised to benefit from increased institutional demand for money market funds, particularly as the Federal Reserve considers cutting short-term rates, while also exploring long-term growth opportunities in alternative strategies. Additionally, the outlook for equity organic growth is improving due to better-than-expected net flows, suggesting a potentially favorable macroeconomic environment that could further support the firm's financial performance.

Bear case

Federated Hermes reported long-term net outflows of $466 million, which were weaker than anticipated, coupled with significantly higher than expected net outflows from fixed-income products, indicating challenges in maintaining asset under management (AUM). Additionally, the company is heavily reliant on cash management operations, generating approximately 53% of revenue, which could be adversely impacted by low short-term interest rates affecting money market fund yields. The broader industry shift toward passive investing presents a further risk to Federated Hermes's actively managed product AUM, potentially undermining growth prospects in a competitive market environment.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.