Federated Hermes, Inc. (FHI) vs Hamilton Lane Inc. (HLNE)

Federated Hermes, Inc. and Hamilton Lane Inc. are both Asset Management companies. Federated Hermes, Inc. and Hamilton Lane Inc. are of similar size ($5.0B and $4.7B). Hamilton Lane Inc. trades at the lower P/E: 10.5× against 11.4×. Hamilton Lane Inc. grew revenue faster over the last twelve months: 18.9% against 13.2%. Hamilton Lane Inc. has the higher net margin (32.4% vs 20.6%) and the lower return on invested capital (12.9% vs 32.3%). Both pay a dividend; Hamilton Lane Inc. yields more (2.55% vs 2.25%). Across the 19 metrics below, Hamilton Lane Inc. leads on 11 and Federated Hermes, Inc. on 8.

Valuation

Metric FHI HLNE Asset Management median
P/E 11.42 10.47 13.35
P/S 2.30 4.22 3.01
P/B n/m 1.91 0.91
Price to free cash flow 11.78 45.39 7.27
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 8.75% 9.55% 4.59%
Free cash flow yield 8.49% 2.20% 4.88%

Profitability

Metric FHI HLNE Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 27.80% 43.70% 28.39%
Net margin 20.57% 32.40% 11.89%
Free cash flow margin 19.55% 31.18% 5.96%
Return on equity 521.79% 18.31% 4.61%
Return on assets 17.45% 11.98% 1.45%
Return on invested capital 32.34% 12.88% 2.27%

Growth

Metric FHI HLNE Asset Management median
Revenue growth (TTM) 13.16% 18.94% 7.26%
EPS growth (last fiscal year) 58.82% 9.43% (5.64%)
Revenue growth, 5-year CAGR 4.45% 17.31% 11.84%
Net income growth, 5-year CAGR 4.34% 20.51% 0.00%

Health

Metric FHI HLNE Asset Management median
Debt to equity 0.27 0.14 0.39
Current ratio 2.48 3.37 1.25
Net debt to EBITDA (0.44) (0.28) 1.06

Dividend

Metric FHI HLNE Asset Management median
Dividend yield 2.25% 2.55% 6.43%
Payout ratio 0.26 0.30 0.92

Size

Metric FHI HLNE Asset Management median
Market cap 4.73b 5.03b 677.66m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack