Federated Hermes rises after TD Cowen upgrades to 'buy'

Federated Hermes

28/10/2024 16:09

** Shares of investment manager Federated Hermes  FHI.N 
rise as much as 4.5%, last down 3.4% at $39.94
    ** TD Cowen upgrades FHI to "buy" from "hold"; raises PT to
$46 from $35, a 19% upside to stock's last close
    ** Brokerage now sees a path to favorable long-term flows
inflection at FHI as interest rates decline
    ** Adds that it expects FHI to be a major money markets
beneficiary
    ** Analysts feel the start of the rate normalization cycle
in the U.S. is providing a clear tailwind to money market funds
as institutions look to lock in investments with a higher return
for a longer duration in a falling rate environment
    ** Four of eight brokerages rate the stock "buy", and four
"hold"; median PT is $41 - LSEG
    ** As of last close, FHI shares were up 17.6% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))