Federated Hermes, Inc. (FHI) vs HA Sustainable Infrastructure Capital, Inc. (HASI)

Federated Hermes, Inc. and HA Sustainable Infrastructure Capital, Inc. are both Asset Management companies. Federated Hermes, Inc. and HA Sustainable Infrastructure Capital, Inc. are of similar size ($4.7B and $4.3B). Federated Hermes, Inc. trades at the lower P/E: 10.7× against 55.1×. HA Sustainable Infrastructure Capital, Inc. grew revenue faster over the last twelve months: 26.5% against 15.0%. Federated Hermes, Inc. has the higher net margin (20.3% vs 18.6%) and the higher return on invested capital (25.2% vs 2.39%). Both pay a dividend; HA Sustainable Infrastructure Capital, Inc. yields more (6.73% vs 3.45%). Across the 22 metrics below, Federated Hermes, Inc. leads on 14 and HA Sustainable Infrastructure Capital, Inc. on 8.

Valuation

Metric FHI HASI Asset Management median
P/E 10.75 55.11 14.62
P/S 2.15 10.04 2.97
P/B 3.32 1.75 0.94
Price to free cash flow 11.34 14.34 8.93
EV/EBITDA 7.67 30.90 10.32
EV/Sales 2.18 22.25 5.72
Earnings yield 9.30% 1.81% 4.53%
Free cash flow yield 8.82% 6.98% 4.65%

Profitability

Metric FHI HASI Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 27.11% 68.65% 33.03%
Net margin 20.33% 18.61% 13.53%
Free cash flow margin 18.97% 45.05% 12.44%
Return on equity 33.23% 3.29% 4.83%
Return on assets 17.55% 1.04% 1.57%
Return on invested capital 25.21% 2.39% 3.04%

Growth

Metric FHI HASI Asset Management median
Revenue growth (TTM) 15.02% 26.51% 6.97%
EPS growth (last fiscal year) 58.82% (12.96%) —
Revenue growth, 5-year CAGR 4.45% 16.47% 12.13%
Net income growth, 5-year CAGR 4.34% 17.49% 0.00%

Health

Metric FHI HASI Asset Management median
Debt to equity 0.28 2.23 0.42
Current ratio 2.59 8.89 1.28
Net debt to EBITDA (0.44) 17.91 1.06

Dividend

Metric FHI HASI Asset Management median
Dividend yield 3.45% 6.73% 6.92%
Payout ratio 0.36 2.80 0.77

Size

Metric FHI HASI Asset Management median
Market cap 4.28b 4.66b 721.34m

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