Why Federated Hermes (FHI) is Poised to Beat Earnings Estimates Again

Core Insights - Federated Hermes is well-positioned to maintain its earnings-beat streak in upcoming reports, particularly due to its strong historical performance in earnings surprises [1] - The company has an average surprise of 14.61% over the past two quarters, indicating a consistent ability to exceed earnings estimates [1][4] Earnings Performance - In the last reported quarter, Federated Hermes achieved earnings of $1.1 per share, surpassing the Zacks Consensus Estimate of $0.91 per share by 20.88% [2] - For the previous quarter, the company reported earnings of $1.04 per share against an expectation of $0.96 per share, resulting in an 8.33% surprise [2] Earnings Estimates - Recent estimates for Federated Hermes have been trending upward, with a positive Earnings ESP of +0.68%, suggesting analysts are optimistic about the company's earnings prospects [4][7] - The combination of a positive Earnings ESP and a Zacks Rank of 2 (Buy) indicates a strong likelihood of another earnings beat [7] Predictive Metrics - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [5] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, reflecting the latest analyst revisions [6]