Is FEDERATED HERMES, INC. (FHI) Halal?

NYSE Financial Services United States $4.2B
✗ NOT HALAL
Confidence: 95/100
FEDERATED HERMES, INC. (FHI) is Not Halal under AAOIFI Standard 21 due to its classification in the Asset Management industry, which is excluded under Shariah screening. Companies operating in prohibited sectors such as conventional banking, insurance, alcohol, tobacco, and gambling are automatically excluded regardless of their financial ratios.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI Excluded — Asset Management ✗ NOT HALAL
DJIM Excluded — Asset Management ✗ NOT HALAL
MSCI Excluded — Asset Management ✗ NOT HALAL
S&P Excluded — Asset Management ✗ NOT HALAL
FTSE Excluded — Asset Management ✗ NOT HALAL

Financial Highlights

P/E Ratio
10.9
Forward: 9.8
EPS
$5.13
Dividend Yield
243.0%
Payout: 25.9%
P/B Ratio
3.4
EV/EBITDA
7.2
EV: $3.9B
Revenue
$1.8B
Growth: 13.7%
Beta
0.7
Low volatility
Current Ratio
2.8

Profitability

Gross Margin 67.9%
Operating Margin 28.1%
Net Margin 22.4%
Return on Equity (ROE) 34.3%
Return on Assets (ROA) 14.9%

Cash Flow & Balance Sheet

Operating Cash Flow$297M
Free Cash Flow$295M
Total Debt$457M
Debt-to-Equity36.2
Current Ratio2.8
Total Assets$2.2B

Price & Trading

Last Close$57.34
50-Day MA$55.08
200-Day MA$51.42
Avg Volume699K
Beta0.7
52-Week Range
$35.05
$57.99

About FEDERATED HERMES, INC. (FHI)

CEO
Mr. John Christopher Donahue
Employees
2,091
Sector
Financial Services
Industry
Asset Management
Country
United States
Exchange
NYSE
Market Cap
$4.2B
Currency
USD

Federated Hermes, Inc. is a publicly owned investment manager. 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. Through its subsidiaries, it manages separate client-focused equity, fixed income, balanced and money market mutual funds along with separate client-focused equity, fixed income, money market, and balanced portfolios. Through its subsidiaries, the firm invests in the public equity and fixed income markets across the globe. It invests in growth and value stocks of small-cap, mid-cap, and large-cap companies. The firm makes its fixed income investments in ultra-short, short-term, and intermediate-term mortgage-backed, U.S. Government, U.S. corporate, high yield, and municipal securities. It employs both fundamental and quantitative analysis to make its equity investments. Federated Hermes, Inc. was founded in 1955 and is based in Pittsburgh, Pennsylvania with additional offices in New York City; Chicago, Illinois and London, United Kingdom.

Related Halal Stocks in Financial Services

Frequently Asked Questions

Is FEDERATED HERMES, INC. (FHI) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), FEDERATED HERMES, INC. is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is FEDERATED HERMES, INC.'s debt ratio?

FEDERATED HERMES, INC.'s debt ratio is not available under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%.

What are FEDERATED HERMES, INC.'s key financial metrics?

FEDERATED HERMES, INC. has a market capitalization of $4.2B, trailing P/E ratio of 10.9, and revenue of $1.8B. The company maintains a gross margin of 67.9% and a net margin of 22.4%. Return on equity stands at 34.3%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.