Houlihan Lokey (NYSE:HLI) Releases Earnings Results, Beats Expectations By $0.10 EPS

Houlihan Lokey (NYSE:HLI) issued its quarterly earnings results on Wednesday. The financial services provider reported $1.94 EPS for the quarter, beating the consensus estimate of $1.84 by $0.10, Zacks reports. Houlihan Lokey had a net margin of 16.62% and a return on equity of 24.17%.

Houlihan Lokey Price Performance

Shares of HLI traded up $0.71 during trading hours on Wednesday, hitting $180.36. The stock had a trading volume of 648,893 shares, compared to its average volume of 479,071. The firm has a 50 day simple moving average of $179.45 and a 200-day simple moving average of $189.17. The firm has a market capitalization of $12.64 billion, a P/E ratio of 29.09 and a beta of 0.95. Houlihan Lokey has a 1-year low of $137.99 and a 1-year high of $211.78.

Houlihan Lokey Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, December 15th. Stockholders of record on Monday, December 1st were paid a $0.60 dividend. The ex-dividend date was Monday, December 1st. This represents a $2.40 annualized dividend and a dividend yield of 1.3%. Houlihan Lokey’s payout ratio is currently 38.71%.

Insider Buying and Selling

In other news, General Counsel Christopher M. Crain sold 500 shares of the business’s stock in a transaction that occurred on Friday, January 2nd. The stock was sold at an average price of $174.17, for a total value of $87,085.00. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Company insiders own 22.83% of the company’s stock.

Hedge Funds Weigh In On Houlihan Lokey

Several hedge funds have recently made changes to their positions in HLI. Qube Research & Technologies Ltd lifted its stake in Houlihan Lokey by 153.8% in the second quarter. Qube Research & Technologies Ltd now owns 274,387 shares of the financial services provider’s stock worth $49,376,000 after purchasing an additional 166,285 shares during the last quarter. Caisse de depot et placement du Quebec raised its position in Houlihan Lokey by 411.1% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 170,617 shares of the financial services provider’s stock valued at $35,031,000 after purchasing an additional 137,237 shares in the last quarter. Millennium Management LLC acquired a new stake in Houlihan Lokey in the first quarter worth about $18,964,000. AQR Capital Management LLC increased its stake in shares of Houlihan Lokey by 77.9% in the 3rd quarter. AQR Capital Management LLC now owns 234,024 shares of the financial services provider’s stock valued at $48,050,000 after purchasing an additional 102,490 shares in the last quarter. Finally, Jane Street Group LLC grew its holdings in Houlihan Lokey by 3,477.5% in the 2nd quarter. Jane Street Group LLC now owns 89,689 shares of the financial services provider’s stock valued at $16,140,000 after buying an additional 87,182 shares in the last quarter. 78.07% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

HLI has been the subject of several analyst reports. Keefe, Bruyette & Woods reduced their target price on Houlihan Lokey from $228.00 to $218.00 and set an “outperform” rating for the company in a report on Thursday, January 8th. BMO Capital Markets started coverage on shares of Houlihan Lokey in a report on Friday, October 3rd. They issued an “outperform” rating and a $230.00 price target on the stock. UBS Group initiated coverage on shares of Houlihan Lokey in a report on Thursday, December 11th. They set a “neutral” rating and a $193.00 price target for the company. Morgan Stanley lowered their price target on shares of Houlihan Lokey from $216.00 to $215.00 and set an “overweight” rating for the company in a report on Tuesday, January 6th. Finally, Weiss Ratings downgraded Houlihan Lokey from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Monday, January 12th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Houlihan Lokey currently has an average rating of “Moderate Buy” and an average price target of $206.29.

About Houlihan Lokey

Houlihan Lokey, Inc is a global investment bank and financial services firm founded in 1972 and headquartered in Los Angeles, California. The company specializes in advisory services across a broad range of transaction types and financial matters. Since its founding, Houlihan Lokey has grown to serve corporations, financial sponsors, and government entities worldwide, providing expertise in complex and high-stakes engagements.

The firm’s core service offerings include mergers and acquisitions advisory, capital markets advisory, financial restructuring and distressed M&A, and valuation and fairness opinions.