Federated Investors Inc (NYSE:FII) Sees Large Decline in Short Interest

Federated Investors Inc (NYSE:FII) saw a significant drop in short interest during the month of July. As of July 31st, there was short interest totalling 4,830,400 shares, a drop of 8.8% from the June 30th total of 5,295,700 shares. Based on an average daily volume of 649,000 shares, the days-to-cover ratio is presently 7.4 days. Currently, 5.1% of the shares of the company are sold short.

A number of research firms recently weighed in on FII. JPMorgan Chase & Co. raised Federated Investors from a “neutral” rating to an “overweight” rating and lifted their target price for the stock from $34.00 to $36.00 in a research report on Monday, June 10th. ValuEngine downgraded Federated Investors from a “buy” rating to a “hold” rating in a research report on Thursday, August 1st. Citigroup lifted their target price on Federated Investors from $31.00 to $32.00 and gave the stock a “neutral” rating in a research report on Tuesday, July 9th. Finally, Zacks Investment Research downgraded Federated Investors from a “buy” rating to a “hold” rating in a research report on Thursday, May 2nd. One investment analyst has rated the stock with a sell rating, five have issued a hold rating and two have given a buy rating to the stock. The company currently has a consensus rating of “Hold” and an average price target of $30.71.

FII traded down $0.08 during midday trading on Friday, reaching $32.10. 951,194 shares of the company’s stock were exchanged, compared to its average volume of 775,938. The firm has a market capitalization of $3.32 billion, a price-to-earnings ratio of 13.43, a price-to-earnings-growth ratio of 1.81 and a beta of 0.79. The company has a quick ratio of 1.92, a current ratio of 2.23 and a debt-to-equity ratio of 0.26. Federated Investors has a one year low of $22.14 and a one year high of $35.98. The business has a 50-day simple moving average of $33.37 and a two-hundred day simple moving average of $31.14.

Federated Investors (NYSE:FII) last announced its quarterly earnings results on Thursday, July 25th. The asset manager reported $0.62 EPS for the quarter, topping analysts’ consensus estimates of $0.60 by $0.02. The firm had revenue of $321.50 million during the quarter, compared to analysts’ expectations of $317.81 million. Federated Investors had a net margin of 19.16% and a return on equity of 27.29%. The company’s revenue for the quarter was up 25.6% compared to the same quarter last year. During the same quarter last year, the company earned $0.38 earnings per share. As a group, research analysts anticipate that Federated Investors will post 2.49 EPS for the current fiscal year.

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 15th. Shareholders of record on Thursday, August 8th were paid a dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a yield of 3.36%. The ex-dividend date of this dividend was Wednesday, August 7th. Federated Investors’s dividend payout ratio is 45.19%.

In related news, VP Paul A. Uhlman sold 40,000 shares of Federated Investors stock in a transaction dated Wednesday, July 31st. The stock was sold at an average price of $35.15, for a total transaction of $1,406,000.00. Following the sale, the vice president now directly owns 195,364 shares of the company’s stock, valued at $6,867,044.60. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, VP John B. Fisher sold 100,000 shares of Federated Investors stock in a transaction dated Tuesday, May 21st. The stock was sold at an average price of $30.94, for a total value of $3,094,000.00. Following the sale, the vice president now directly owns 488,030 shares in the company, valued at $15,099,648.20. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 141,338 shares of company stock worth $4,542,482. 5.50% of the stock is currently owned by company insiders.

A number of institutional investors and hedge funds have recently made changes to their positions in FII. Quadrant Capital Group LLC lifted its stake in Federated Investors by 2,366.7% during the first quarter. Quadrant Capital Group LLC now owns 1,702 shares of the asset manager’s stock worth $49,000 after purchasing an additional 1,633 shares during the period. Bremer Bank National Association bought a new position in shares of Federated Investors in the first quarter valued at approximately $61,000. FMR LLC raised its stake in shares of Federated Investors by 40.5% in the first quarter. FMR LLC now owns 2,266 shares of the asset manager’s stock valued at $66,000 after acquiring an additional 653 shares during the last quarter. Signaturefd LLC raised its stake in shares of Federated Investors by 92.5% in the first quarter. Signaturefd LLC now owns 2,435 shares of the asset manager’s stock valued at $71,000 after acquiring an additional 1,170 shares during the last quarter. Finally, Parallel Advisors LLC raised its stake in shares of Federated Investors by 49.4% in the first quarter. Parallel Advisors LLC now owns 2,751 shares of the asset manager’s stock valued at $81,000 after acquiring an additional 910 shares during the last quarter. Hedge funds and other institutional investors own 81.01% of the company’s stock.

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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