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Is Federated Hermes, Inc. (FHI) Undervalued? Valuation & Fair Price

At $56.36, the frameworks are split on Federated Hermes, Inc. today — Peter Lynch rates it Buy, Warren Buffett and Phil Town (Rule #1) rate it Avoid, and Benjamin Graham rates it Hold. Each model calculates its own fair value and margin of safety; create a free account to see the exact buy price behind every verdict.

FH

Federated Hermes, Inc.

FHI

Financial Services · Asset Management · NYSE

$56.36

P/E 11.6×

CEO

John Christopher Donahue

Sector

Financial Services

Industry

Asset Management

Federated Hermes, Inc. (FHI) is a publicly listed holding company primarily engaged in asset management. Through its extensive network of subsidiaries, the firm delivers specialized financial services to a wide array of clients. These include high-net-worth individuals, banking and thrift institutions, investment companies, pension and profit-sharing plans, pooled investment vehicles, charitable organizations, state and municipal governmental entities, and registered investment advisors. FHI is responsible for managing a variety of investment products, including client-focused mutual funds across equity, fixed income, balanced, and money market categories, alongside bespoke portfolios in similar asset classes. The company's investment reach extends to public equity and fixed income markets worldwide. Its equity strategies involve investing in growth and value stocks of small, mid, and large-capitalization firms. Within fixed income, FHI allocates capital to ultra-short, short-term, and intermediate-term mortgage-backed securities, U.S. Government debt, corporate bonds, high-yield instruments, and municipal securities. To identify equity opportunities, the firm utilizes a combination of fundamental and quantitative analysis. Federated Hermes, Inc. was founded in 1955 and maintains its principal offices in Pittsburgh, Pennsylvania, complemented by presences in New York City and London, United Kingdom.

Investor scorecard

How the four investors rate Federated Hermes, Inc.

A split decision across the frameworks

Warren Buffett
83%Avoid
Benjamin Graham
71%Hold
Peter Lynch
89%Buy
Phil Town (Rule #1)
64%Avoid

Investor model analysis

Details locked

At $56.36, 2 of 4 frameworks say Avoid

Business Quality78/100

Intrinsic Value (DCF)

Warren Buffett's valuation model · select an investor above to switch

Intrinsic Value

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Buy Below

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Strong Buy

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Margin of Safety

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Insider & congress activity

Are insiders buying FHI?

Over recent SEC Form 4 filings, FHI insiders bought $0 and sold $16.9M of stock across 53 open-market trades. Insiders sell for many reasons, but they buy for one.

Bought $0Sold $16.9M
Recent open-market insider trades for FHI
InsiderActionSharesValueDate
Germain Peter JEVP, CLO & Sec.Sell5,000$316KAug 20, 2026
Nusseibeh Saker AnwarCEO, Federated Hermes LimitedSell6,400$411KAug 4, 2026
Nusseibeh Saker AnwarCEO, Federated Hermes LimitedSell630$41KAug 4, 2026
Van Meter StephenVP, Chief Compliance OfficerSell1,682$100KJun 23, 2026
Uhlman Paul AVice PresidentSell6,145$361KJun 16, 2026

Source: SEC Form 4 filings. Open-market buys & sells only. Not investment advice.

See the interactive insider chart & every trade

Scenario analysis

Bear, base & bull

Three growth assumptions, three fair values — and where today's price lands

What's working

Key strengths

Identified by Buffett framework analysis

Return on Equity

ROE Consistency

ROE Quality (Low Leverage)

Risk factors & concerns — free account

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Company financials

5-Year Financials

Income statement highlights — annual, USD

Metric20252024202320222021
Revenue$1.8B
$1.6B
$1.6B
$1.4B
$1.3B
Rev. Growth+11.0%+1.4%+11.3%+11.2%
Net Income$403M$268M$299M$239M$270M
Net Margin22.3%16.4%18.6%16.6%20.8%
EPS (Diluted)$5.37$3.23$3.40$2.65$2.77
Free Cash FlowLocked — upgrade to viewLocked — upgrade to viewLocked — upgrade to viewLocked — upgrade to viewLocked — upgrade to view

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Educational Use Only · Not Financial Advice

Analysis, scores, valuations, and buy zones are derived from publicly documented investor frameworks (Buffett, Lynch, Benjamin Graham, Phil Town) for learning purposes only. They are not recommendations from licensed financial advisors. Past performance does not guarantee future results. Prices may be delayed up to 15 minutes. Always conduct your own research before making any investment decisions.