Why Did ODP Co. Plunge 12.4%? Federated Hermes Cuts Holdings 60.9%

On April 21, 2025, The ODP Co. (NASDAQ:ODP) experienced a significant drop of 12.4% in pre-market trading, reflecting a notable decline in investor sentiment.

Federated Hermes Inc. significantly reduced its holdings in The ODP Co. by 60.9% during the fourth quarter, indicating a shift in the institutional investor's strategy towards the company. This move suggests a potential lack of confidence in ODP's future performance, which could have contributed to the recent stock price decline.

The reduction in holdings by a major institutional investor like Federated Hermes Inc. often signals a broader trend among other investors, potentially leading to further sell-offs and a continued downward pressure on ODP's stock price. Investors may be reassessing the company's fundamentals and future prospects, leading to a more cautious approach.