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FHI · NYSE · STOCK

Federated Hermes (FHI) Stock Analysis

Financial Services Updated September 05, 2026
$62.38
52W $46.66 – $67.20
70/100
$4.72B
11.4
0.63
AI Committee Verdict
Buy
70/100
Conviction: Unanimous · 100% agreement · 5 analysts
+6.9%
-12.3%
0.56:1
Unanimous
Buy rating, but near-term risk/reward is unfavorable
The long-term recommendation is based on the composite investment score. The near-term risk/reward is based on nearby support and resistance levels. These can differ when a strong company trades close to resistance with support further below.

Is FHI Bullish or Bearish?

Bullish. Innellis AI committee rates Federated Hermes (FHI) Buy with a composite score of 70/100 , based on 5 analysts with 100% agreement. Last updated September 05, 2026.

What Would Change This View

Upgrade to Strong Buy
Requires a committee score of 75.0 — +4.50 from today. Applies on the first day at or above the line; upgrades are never dampened.
Downgrade to Watch
Requires the score to fall below 55.0 — -15.50 from today. The band boundary is 60.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.

Executive Summary

The primary driver is 5 consecutive earnings beats -- consistent execution. The main limiting factor is sector concentration is already high (hhi 3059.07). The committee is constructive but not yet at full conviction.

Bull & Bear Case

Bull Case
  • 5 consecutive earnings beats -- consistent execution — Growth
  • Quarter-over-quarter growth rate is ACCELERATING, not just positive — Growth
  • Price structure making higher highs and higher lows — Technical
  • Trend and market structure agree -- coherent bullish picture — Technical
  • Weekly trend (uptrend) confirms the daily trend -- multi-timeframe agreement — Technical
  • News sentiment is positive (+0.50 across 12 articles, 14d) — News
Bear Case
  • MACD histogram negative -- bearish momentum — Technical
Both cases are generated from quantitative data signals, not qualitative or forward-looking judgement. They summarise what the numbers say today.
Price History (6M)

AI Investment Committee

Committee Consensus As of September 05, 2026
Overall Committee Score
70/100
Agreement
100%
Analysts
5
Conviction
Unanimous
Sector Rank
Top 2%
of 211 Financial Services peers
Growth Analyst bullish
82 / 100 · Moderate confidence
Strong, accelerating growth with consistent execution
+ 5 consecutive earnings beats -- consistent execution
Technical Analyst bullish
61 / 100 · High confidence
Price action is constructive -- trend and momentum agree
+ Price structure making higher highs and higher lows
− MACD histogram negative -- bearish momentum
Risk Analyst bullish
70 / 100 · Low confidence
Risk profile is manageable -- leverage, volatility, and event exposure all look contained
Macro Analyst bullish
65 / 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst bullish
74 / 100 · Low confidence
News flow and recent filings/analyst actions are net positive
+ News sentiment is positive (+0.50 across 12 articles, 14d)
Portfolio Manager neutral
45 / 100 · High confidence
Portfolio-level factors are mixed -- worth a deliberate sizing decision, not a default-size position
+ Portfolio position concentration is currently healthy
− Sector concentration is already high (HHI 3059.07)
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Investment Thesis Evolution

Committee score moved marginally from 70.3 to 70.5.

Analyst-level changes:
  • Growth Analyst: score 77->82 (+6).
  • Risk Analyst: score 75->70 (-5).
  • Value Analyst abstained (was bullish at 70).

Comparing 2026-09-04 to 2026-09-05 (1 day apart).

Technical Analysis

RSI (14)
40.8
Neutral
MACD Histogram
-0.511
Bearish Momentum
Trend Direction
Uptrend
Weekly: Uptrend
Market Structure
Hh Hl
Support
$54.48
Resistance
$66.44
Bollinger %B
0.17
Inside Bands
Price vs Moving Averages
EMA 9
$63.00 Below
EMA 21
$62.98 Below
EMA 50
$61.40 Above
EMA 200
$56.53 Above

Fundamental Analysis

Valuation
89
Growth
88
Profitability
100
Financial Health
100
Cash Flow
70
Valuation
P/E Ratio 11.4×
P/B Ratio 3.57×
PEG Ratio 0.55
Dividend Yield 2.32%
52W High $67.20
52W Low $46.66
Quality & Growth
ROE 3369.4%
ROA 1761.0%
Gross Margin 7156.8%
Operating Margin 2763.0%
Revenue Growth YoY
Debt / Equity 0.36
AI Fundamental Assessment
P/E ratio of 11.4 (inexpensive relative to a 15-40x range); Price-to-book of 3.6x; PEG ratio of 0.6 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 33.7%; Return on assets of 17.6%; Net margin of 21.2%; Gross margin of 71.6%; Current ratio of 2.59 (healthy short-term liquidity); Debt-to-equity of 0.36; Free cash flow per share is positive (5.14); Most recent quarter beat estimates by 15.8%; 5 consecutive earnings beats; EPS growth accelerating (-8.6% -> +8.7% QoQ); Average YoY EPS growth of 19.0%; Analyst estimates flat over recent quarters
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