Federated Investors (NYSE:FII) was downgraded by Zacks Investment Research from a “hold” rating to a “strong sell” rating in a report released on Wednesday.
According to Zacks, “Shares of Federated have outperformed the industry over the past six months. While earnings estimates for the to-be-reported quarter have not seen any revision lately, the company possesses an impressive earnings surprise history, beating the Zacks Consensus Estimate in each of the trailing four quarters. Federated’s top-line continues to get support from the rise in interest rates and increasing AUM. Also, its efforts to expand through acquisitions are encouraging. However, consistently rising expenses due to strict compliance measures remains a major concern. Also, significant dependence on investment advisory fees as a source of revenue keeps us apprehensive.”
Several other analysts have also issued reports on the stock. JPMorgan Chase lowered shares of Federated Investors from a “neutral” rating to an “underweight” rating and set a $31.00 target price on the stock. in a research report on Monday, January 8th. Citigroup upgraded shares of Federated Investors from a “sell” rating to a “neutral” rating in a research report on Monday, March 5th. Deutsche Bank dropped their target price on shares of Federated Investors from $34.00 to $32.00 and set a “hold” rating on the stock in a research report on Tuesday, March 6th. Jefferies Group reiterated a “hold” rating and issued a $32.00 target price on shares of Federated Investors in a research report on Wednesday, April 11th. Finally, Royal Bank of Canada lifted their target price on shares of Federated Investors to $37.00 and gave the company a “sector perform” rating in a research report on Monday, January 29th. Four analysts have rated the stock with a sell rating, six have given a hold rating and one has issued a buy rating to the stock. Federated Investors presently has an average rating of “Hold” and an average price target of $32.13.
Shares of NYSE FII traded down $0.35 during trading on Wednesday, hitting $30.80. The company had a trading volume of 109,972 shares, compared to its average volume of 1,124,895. Federated Investors has a fifty-two week low of $25.24 and a fifty-two week high of $36.76. The firm has a market cap of $3,153.00, a price-to-earnings ratio of 14.13, a price-to-earnings-growth ratio of 1.35 and a beta of 1.32. The company has a quick ratio of 2.98, a current ratio of 3.39 and a debt-to-equity ratio of 0.22.
Federated Investors (NYSE:FII) last announced its earnings results on Thursday, January 25th. The asset manager reported $0.61 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.58 by $0.03. Federated Investors had a net margin of 26.42% and a return on equity of 33.23%. The business had revenue of $278.31 million for the quarter, compared to analyst estimates of $283.45 million. During the same quarter last year, the business earned $0.52 earnings per share. The company’s revenue for the quarter was down 4.0% compared to the same quarter last year. equities research analysts anticipate that Federated Investors will post 2.7 EPS for the current fiscal year.
In related news, VP John B. Fisher sold 11,683 shares of the business’s stock in a transaction dated Wednesday, March 7th. The shares were sold at an average price of $34.16, for a total transaction of $399,091.28. Following the transaction, the vice president now directly owns 563,267 shares in the company, valued at $19,241,200.72. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Gordon J. Ceresino sold 4,487 shares of the business’s stock in a transaction dated Wednesday, March 7th. The stock was sold at an average price of $34.20, for a total transaction of $153,455.40. Following the transaction, the director now owns 194,221 shares in the company, valued at $6,642,358.20. The disclosure for this sale can be found here. Insiders have sold 17,803 shares of company stock worth $608,486 over the last 90 days. 5.30% of the stock is currently owned by company insiders.
A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Elkfork Partners LLC acquired a new position in Federated Investors during the fourth quarter worth about $306,000. Xact Kapitalforvaltning AB acquired a new position in Federated Investors during the fourth quarter worth about $287,000. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp boosted its holdings in Federated Investors by 11.7% in the 4th quarter. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp now owns 163,000 shares of the asset manager’s stock valued at $5,881,000 after purchasing an additional 17,100 shares during the last quarter. MetLife Investment Advisors LLC acquired a new position in Federated Investors in the 4th quarter valued at about $2,165,000. Finally, BB&T Securities LLC acquired a new position in Federated Investors in the 4th quarter valued at about $232,000. Hedge funds and other institutional investors own 83.93% of the company’s stock.
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Federated Investors Company Profile
Federated Investors, Inc is a publicly owned asset management holding company. Through its subsidiaries, the firm provides its services to individuals, including high net worth individuals, banking or thrift institutions, investment companies, pension and profit sharing plans, pooled investment vehicles, charitable organizations, state or municipal government entities, and registered investment advisors.
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