Federated Hermes price target raised to $44 from $42 at Evercore ISI

Evercore ISI analyst John Dunn raised the firm’s price target on Federated Hermes (FHI) to $44 from $42 and keeps an Outperform rating on the shares. Federated posted a “notable” quarter-over-quarter increase in outflows, driven by institutional fixed income and equities, so Q4 was “a step back” after last quarter had seen good improvement, the analyst tells investors. However, the firm found management’s comments on the earning call “encouraging” that Q4 outflows won’t repeat in Q1. The firm’s FY25 and FY26 EPS estimates go to $3.99 and $4.40 from $3.94 and $4.34, respectively, on higher average assets under management.