Federated Hermes (FHI) Tops Q3 Earnings and Revenue Estimates

Core Insights - Federated Hermes reported quarterly earnings of $1.34 per share, exceeding the Zacks Consensus Estimate of $1.11 per share, and up from $1.06 per share a year ago [1] - The earnings surprise was +20.72%, with the company having surpassed consensus EPS estimates in all four of the last quarters [2] - Revenues for the quarter reached $469.45 million, surpassing the Zacks Consensus Estimate by 6.17% and increasing from $408.46 million year-over-year [3] Earnings Performance - The company has consistently outperformed consensus estimates, achieving this in both earnings and revenue over the last four quarters [2][3] - The current consensus EPS estimate for the upcoming quarter is $1.12, with expected revenues of $453.32 million, while the fiscal year estimate is $4.65 on $1.74 billion in revenues [8] Market Position - Federated Hermes shares have increased approximately 16% year-to-date, slightly underperforming the S&P 500's gain of 17.2% [4] - The company holds a Zacks Rank 1 (Strong Buy), indicating expectations for the stock to outperform the market in the near future [7] Industry Context - The Financial - Investment Management industry, to which Federated Hermes belongs, is currently ranked in the top 36% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [9] - Another company in the same industry, Affiliated Managers Group, is expected to report earnings soon, with a consensus EPS estimate of $5.83, reflecting a year-over-year increase of +21% [10]