📈 Price History

Ratio Health

— Excellent

— Good

— Average

— Poor

By Category

📊 Sector Averages

About

Federated Hermes, Inc. is a publicly owned investment manager.

Key Ratios Snapshot

📈 Growth Pattern

⚡ Latest Quarter —

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Manager	Shares	Value	% of Fund	Period
Jim Simons Renaissance Technologies LLC	296.1K	$16.8M	0.03%	Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

🔍 Concall Decoded

🎙 Management Tone Tracker Confident Specific → Stable 4 quarters analysed

Q2 2025

Confident Specific

The tone is optimistic and data-rich, with management repeatedly citing precise numbers (record AUM $846 billion, MDT net sales $3.8 billion, money market share 7.11%). They use phrases like 'we are actively talking about acquisitions' and 'we think this is incremental' without hedging.

Q3 2025

Confident Specific

Management used specific metrics like record AUM of $871B, MDT net sales of $2B, and money market assets of $653B, with detailed pipeline numbers and performance rankings, all presented without hedging or defensive language.

Q4 2025

Confident Specific

Management used phrases like 'record asset under management of $903 billion', 'MDT net sales of $13 billion were both record highs', and 'we expect this to continue' to convey strong operational momentum. They proactively detailed MDT and money market performance while providing concrete figures for Q1 headwinds, reflecting steady confidence.

Q1 2026 latest

Confident Specific

Management led with record AUM of $907B and strong MDT equity net sales of $2.2B, providing granular numbers. However, they also acknowledged fixed income net redemptions and a $3B global equity redemption, giving a balanced but data-rich tone.

Guidance Reliability Pending · <3Q data

Investor Lens

The investment thesis remains largely unchanged but with a watchful eye on the upcoming $3B equity redemption from a global institutional client internalizing assets, which offsets MDT growth. Record AUM and strong MDT flows support revenue, while money market share dipped slightly to 6.9%. The FCP acquisition diversifies into U.S. real estate but adds near-term transaction costs. Digital initiatives are early-stage with no immediate revenue impact. Next quarter to watch: actual outflows from the global equity mandate and progress on tokenized fund adoption, as well as FCP's contribution to revenue and expenses.

AI-generated concall tone analysis · Updated 2026-06-08 · Not investment advice

🎙 Management Tone Confident Specific → Stable 4 quarters Full tone analysis in Intelligence →

📊 MIXED Federated Hermes reports record AUM of $907B, led by equity and money market gains.

Revenue & Profitability

Total Q1 revenue decreased $3.9 million (1%) versus Q4 2025, with fewer days reducing revenue by $10.5 million and higher money market and equity average assets adding $8.3 million and $5.6 million respectively. Operating expenses rose $5.4 million (2%) due to seasonal compensation, higher incentive comp, and distribution costs. Q1 cash and investments were $645 million. The effective tax rate was 26.1%, with an estimated 25%-28% range for 2026. The quarterly dividend was increased to $0.38 per share (up 12%), and the company repurchased 1.2 million shares for $66 million.

Outlook

Management sees favorable conditions for cash as an asset class, with money market yields around 3.72%-3.90% and taxable-equivalent yields in the 4%-6% range. Debbie Cunningham expects money market industry growth to moderate to single digits in 2026, down from double-digit growth in 2024-2025. The firm notes that global equity redemptions of $3 billion (primarily from an institutional client internalizing sub-advised assets) are not performance-driven, while fixed income and private markets have a net pipeline of $1.1 billion and $1.4 billion respectively.

Growth Drivers

Key growth levers include MDT strategies (record net sales), the MDT US Equity UCITS Fund ($177 million net sales in Q1), and expanding digital/tokenized money market funds. Alternatives growth comes from the European Direct Lending III ($780 million raised), the PEC VI co-invest fund (~$300 million closed), and the new European Real Estate Debt Fund. The FCP acquisition added $3.2 billion in managed assets and U.S. multi-family housing expertise. Net institutional mandates yet to fund include $1.4 billion expected for private markets and $1.1 billion for fixed income.

Balance Sheet & CapEx

Not discussed in this earnings call.

Margins

Not discussed in this earnings call.

Key Risks

Key risks flagged include the $3 billion global equity redemption from an institutional client internalizing management (not performance-driven), slower money market growth in 2026, FX impacts on alternative assets, and integration costs for the FCP acquisition ($10.8 million in Q2 transaction-related costs). Digital asset regulatory and fiduciary risks are also noted, as tokenization must operate within regulatory frameworks and preserve investor protections.

Generated by AI · Q1 2026 results · Not investment advice

✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter

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📞 Earnings Call Transcripts (5)

Q2 2026 Q2 2026 2026-07-31

Record Q2 AUM of $912B driven by equity and private market growth, with strong MDT strategy sales and a boost from the FCP acquisition. Revenues rose 5% quarter-over-quarter, while money market assets dipped slightly but remained up year-over-year. Expense normalization expected as one-time acquisition costs subside.

Q1 2026 Q1 2026 2026-05-01

Record AUM of $907B was driven by equity and money market gains, with strong MDT strategy sales and a major FCP acquisition. Q1 revenue dipped slightly, while expenses rose due to compensation and acquisition costs. Digital initiatives and steady dividend growth highlight ongoing innovation and capital return.

Q4 2025 Q4 2025 2026-01-30

Record AUM of $903B was driven by strong money market and equity inflows, with MDT strategies achieving record sales and top-tier performance. Q4 revenue rose 3% sequentially, while digital asset and global expansion initiatives advanced.

Q3 2025 Q3 2025 2025-10-31

Record Q3 AUM of $871B driven by money market and equity gains, with strong MDT performance and global expansion. Revenue rose 10% sequentially, and the FCP acquisition is set to close by Q1 2026, supporting further growth.

Q2 2025 Q2 2025 2025-08-01

Record AUM of $846 billion was driven by strong equity inflows and robust money market growth, while fixed income saw modest outflows. Digital asset innovation and tokenization initiatives are advancing, and a new share repurchase program was authorized.

📊 Analysis Methodology

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