Federated Hermes MDT Small Cap Growth Fund (QLSGX) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Federated Hermes MDT Small Cap Growth Fund (QLSGX) trades at $38.36. Federated Hermes MDT Small Cap Growth Fund (QLSGX) invests primarily in the common stock of small U. S. Market cap: $645M, Sector: Financial services.
Price as of Aug 21, 2026 · Last analyzed: Mar 17, 2026Analyst Coverage for QLSGX: QLSGX does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates QLSGX against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
Not enough scored data yet to form a council read on QLSGX.
How is this calculated? →Federated Hermes MDT Small Cap Growth Fund (QLSGX) Financial Services Profile
Federated Hermes MDT Small Cap Growth Fund (QLSGX) employs a small-cap growth strategy, primarily investing in U.S. companies within the Russell 2000® Growth Index. With a focus on long-term capital appreciation, the fund allocates at least 80% of its assets to small-cap investments, operating within the competitive asset management sector.
What Is the Investment Thesis for QLSGX?
QLSGX presents an investment opportunity for those seeking exposure to the small-cap growth segment of the U.S. equity market. The fund's strategy of mirroring the Russell 2000® Growth Index offers diversification within this space. With a beta of 1.38, the fund demonstrates higher volatility compared to the broader market, which could lead to potentially higher returns but also increased risk. A key consideration is the fund's expense ratio and its ability to outperform its benchmark index consistently. The fund's focus on small-cap companies offers the potential for significant growth, but also exposes it to risks associated with smaller, less established businesses. The absence of a dividend yield may deter income-focused investors. The fund's success hinges on the Adviser's ability to identify and select high-growth small-cap companies.
Based on FMP financials and quantitative analysis
QLSGX Key Highlights
The fund primarily invests in common stock of small U.S. companies.
- The investment strategy utilizes a small capitalization growth approach.
- The fund selects most of its investments from companies listed in the Russell 2000® Growth Index.
- At least 80% of the fund's net assets are invested in small companies.
- The fund's market cap is $0.65B.
Who Are QLSGX's Competitors?
QLSGX is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BGB Blackstone/GSO Strategic Credit Fund | $11.27 | -0.44% | $503M | 42 |
| BUFTX Buffalo Discovery Fund | $18.73 | -1.42% | $345M | — |
| DIAX Nuveen Dow 30 Dynamic Overwrite Fund | $14.10 | -0.91% | $513M | 62 |
| FLAPX Fidelity Flex Mid Cap Index Fund | $25.81 | -1.07% | $658M | 47 |
| GCVIX Goldman Sachs Large Cap Value Insights Fund | $29.37 | -1.14% | $732M | 44 |
| NCDL Nuveen Churchill Direct Lending Corp. | $12.35 | +0.00% | $610M | 86 |
| SLRC SLR Investment Corp. | $12.58 | -1.18% | $686M | 92 |
| ACGP Associated Capital Group, Inc. | $33.45 | -0.06% | $698M | 67 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are QLSGX's Key Strengths?
Focus on small-cap growth companies.
- Alignment with the Russell 2000® Growth Index.
- Experienced investment advisor.
- Established brand name of Federated Hermes.
What Are QLSGX's Weaknesses?
Higher volatility compared to broader market indices (Beta: 1.38).
- Dependence on the performance of small-cap companies.
- No dividend yield.
- Susceptibility to market fluctuations.
What Could Drive QLSGX Stock Higher?
QLSGX catalyst: Potential changes in interest rate policy by the Federal Reserve could impact market sentiment towards growth stocks.
- Continued growth in the small-cap sector could drive increased investment in QLSGX.
- Successful identification and selection of high-growth small-cap companies by the Adviser.
What Are the Key Risks for QLSGX?
Market downturn or correction could negatively impact the fund's performance.
- Underperformance relative to the Russell 2000® Growth Index.
- Higher volatility associated with small-cap stocks.
- Changes in investor sentiment towards growth stocks.
What Are the Growth Opportunities for QLSGX?
- Expansion into ESG Investing: The fund can capitalize on the growing demand for socially responsible investments by incorporating ESG (Environmental, Social, and Governance) factors into its investment selection process. This could attract a new segment of investors seeking both financial returns and positive social impact. Timeline: Within the next 1-3 years.
- Development of Thematic Investment Products: QLSGX can create new investment products focused on specific themes, such as technology, healthcare, or renewable energy. This would allow the fund to target specific investor interests and capitalize on emerging market trends. Thematic investing is gaining popularity as investors seek to align their investments with their values and beliefs. Timeline: Within the next 2-4 years.
- Enhancing Digital Distribution Channels: QLSGX can expand its reach by leveraging digital distribution channels, such as online brokerage platforms and robo-advisors. This would allow the fund to access a wider pool of potential investors and reduce its reliance on traditional distribution networks. The increasing adoption of digital investment platforms is transforming the asset management industry. Timeline: Ongoing.
- Strategic Partnerships and Acquisitions: QLSGX can pursue strategic partnerships or acquisitions to expand its product offerings, enhance its investment capabilities, or gain access to new markets. This could involve partnering with other asset managers, fintech companies, or research firms. Consolidation is a growing trend in the asset management industry, driven by the need to achieve scale and efficiency. Timeline: Opportunistic.
- Focus on Investor Education and Engagement: QLSGX can strengthen its relationships with investors by providing educational resources and engaging with them through online forums, webinars, and social media. This would help investors understand the fund's investment strategy and its potential benefits. Investor education is becoming increasingly important as investors take more control over their investment decisions. Timeline: Ongoing.
What Threats Does QLSGX Face?
- Increased competition from other asset management firms.
- Rising interest rates.
- Economic slowdown or recession.
- Regulatory changes.
What Are QLSGX's Competitive Advantages?
- Established brand reputation of Federated Hermes.
- Experienced investment management team.
- Access to research and resources of a large asset management firm.
What Does QLSGX Do?
Federated Hermes MDT Small Cap Growth Fund (QLSGX) is a mutual fund managed by Federated Hermes, Inc. The fund's primary objective is to achieve long-term capital appreciation by investing predominantly in the common stock of small-cap companies located in the United States. The fund's investment strategy revolves around identifying and investing in companies included in the Russell 2000® Growth Index. This index represents a segment of the U.S. equity market characterized by smaller companies exhibiting growth potential. The fund adheres to a policy of investing at least 80% of its net assets, plus any borrowings for investment purposes, in small-cap companies. This commitment underscores its focus on this specific market segment. The fund's investment decisions are guided by the Adviser, who conducts in-depth research and analysis to select companies that align with the fund's growth-oriented objectives. The fund operates within the broader asset management industry, catering to investors seeking exposure to the small-cap growth equity space. Its performance is benchmarked against the Russell 2000® Growth Index, providing a measure of its relative success in achieving its investment goals. The fund's investment portfolio reflects a diversified mix of small-cap companies across various sectors, aiming to capture the growth potential inherent in this segment of the market.
What Products and Services Does QLSGX Offer?
- Invests primarily in the common stock of small U.S. companies.
- Focuses on companies listed in the Russell 2000® Growth Index.
- Aims for long-term capital appreciation.
- Invests at least 80% of net assets in small-cap companies.
- Utilizes a small capitalization growth investment approach.
- Conducts research and analysis to select investments.
How Does QLSGX Make Money?
- Generates revenue through management fees charged on assets under management (AUM).
- Fees are typically a percentage of the fund's average daily net assets.
- The fund's profitability is directly linked to its ability to attract and retain assets.
What Industry Does QLSGX Operate In?
QLSGX operates within the asset management industry, which is characterized by intense competition and evolving investor preferences. The industry is influenced by macroeconomic factors, regulatory changes, and technological advancements. The trend towards passive investing and the rise of fintech companies are reshaping the competitive landscape. QLSGX's focus on small-cap growth stocks positions it within a specific niche of the market. The Russell 2000® Growth Index, which serves as the fund's benchmark, represents a significant segment of the U.S. equity market. The fund's performance is influenced by the overall health of the small-cap market and its ability to outperform its peers.
Who Are QLSGX's Key Customers?
- Individual investors seeking exposure to small-cap growth stocks.
- Institutional investors, such as pension funds and endowments.
- Financial advisors who recommend the fund to their clients.
QLSGX Financials
Bull Case vs Bear Case
Bull Case
- Focus on small-cap growth companies.
- Alignment with the Russell 2000® Growth Index.
- Experienced investment advisor.
- Established brand name of Federated Hermes.
Bear Case
- Higher volatility compared to broader market indices (Beta: 1.38).
- Dependence on the performance of small-cap companies.
- No dividend yield.
- Susceptibility to market fluctuations.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · August 2026
QLSGX Latest News
No recent news available for QLSGX.
QLSGX Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for QLSGX.
Price Targets
Wall Street price target analysis for QLSGX.
QLSGX MoonshotScore
What does this score mean?
The MoonshotScore rates QLSGX 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
What Investors Ask About Federated Hermes MDT Small Cap Growth Fund (QLSGX) — Financial Services
What does Federated Hermes MDT Small Cap Growth Fund do?
Federated Hermes MDT Small Cap Growth Fund is a mutual fund that focuses on investing in small-cap companies within the United States. The fund's primary goal is to achieve long-term capital appreciation by selecting companies listed in the Russell 2000® Growth Index.
What are the main risks for QLSGX?
The main risks for QLSGX are primarily related to its focus on small-cap companies, which tend to be more volatile than larger, more established businesses. A market downturn or economic recession could disproportionately impact small-cap stocks, leading to a decline in the fund's value.
What are the key factors to evaluate for QLSGX?
Evaluate QLSGX on fundamentals, analyst consensus, and risk factors. QLSGX presents an investment opportunity for those seeking exposure to the small-cap growth segment of the U.S. Not financial advice.
How frequently does QLSGX data refresh on this page?
QLSGX's price was last updated on Aug 21, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven QLSGX's recent stock price performance?
Federated Hermes MDT Small Cap Growth Fund (QLSGX) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Focus on small-cap growth companies. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider QLSGX overvalued or undervalued right now?
Federated Hermes MDT Small Cap Growth Fund (QLSGX) has no trailing P/E available here, so lean on price-to-sales and cash flow in the Financials tab. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research QLSGX before investing?
Before investing in Federated Hermes MDT Small Cap Growth Fund (QLSGX), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) analyst consensus ratings and price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Why might investors consider adding QLSGX to a portfolio?
Key strength of Federated Hermes MDT Small Cap Growth Fund (QLSGX): Focus on small-cap growth companies. Weigh rewards against risks and diversify. Not financial advice.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- AI analysis is pending, limiting the depth of insights.
- Financial data is based on available information and may be subject to change.