Federated Hermes downgraded to Hold at TD Cowen following outperformance

As previously reported, TD Cowen analyst Bill Katz downgraded Federated Hermes (FHI) to Hold from Buy with a price target of $45, down from $46. The downgrade follows strong absolute and relative price action since October and year-to-date, respectively, along with shifting macro and micro dynamics, the analyst noted. Based on retail metrics, fund flows seem to be decelerating quarter-to-date, while recent tariff news is “likely to rotate investors toward higher beta stocks,” the analyst added.