Houlihan Lokey (NYSE:HLI) Sees Large Volume Increase After Analyst Upgrade

Shares of Houlihan Lokey, Inc. (NYSE:HLI) saw unusually-strong trading volume on Thursday after Wolfe Research upgraded the stock from an underperform rating to a peer perform rating. Approximately 2,446,027 shares changed hands during trading, an increase of 279% from the previous session’s volume of 644,945 shares.The stock last traded at $137.8940 and had previously closed at $134.31.

Several other research firms have also weighed in on HLI. Zacks Research raised shares of Houlihan Lokey from a “strong sell” rating to a “hold” rating in a report on Thursday, June 11th. UBS Group increased their price target on shares of Houlihan Lokey from $160.00 to $161.00 and gave the stock a “neutral” rating in a report on Wednesday. Morgan Stanley dropped their price target on shares of Houlihan Lokey from $205.00 to $193.00 and set an “overweight” rating on the stock in a research report on Thursday, April 9th. The Goldman Sachs Group cut their price objective on shares of Houlihan Lokey from $210.00 to $184.00 and set a “buy” rating for the company in a report on Wednesday, April 1st. Finally, Weiss Ratings downgraded shares of Houlihan Lokey from a “hold (c+)” rating to a “hold (c)” rating in a research report on Tuesday, April 21st. Five equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $190.88.

Insider Buying and Selling at Houlihan Lokey

In other news, Chairman Scott L. Beiser sold 6,265 shares of the stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $150.26, for a total value of $941,378.90. Following the completion of the sale, the chairman directly owned 6,265 shares in the company, valued at $941,378.90. This represents a 50.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 22.83% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Houlihan Lokey

Several hedge funds and other institutional investors have recently bought and sold shares of HLI. Resources Management Corp CT ADV increased its holdings in Houlihan Lokey by 0.9% in the 2nd quarter. Resources Management Corp CT ADV now owns 5,845 shares of the financial services provider’s stock valued at $1,052,000 after purchasing an additional 55 shares during the last quarter. Huntington National Bank lifted its stake in Houlihan Lokey by 5.5% during the fourth quarter. Huntington National Bank now owns 1,156 shares of the financial services provider’s stock worth $201,000 after purchasing an additional 60 shares in the last quarter. Moneta Group Investment Advisors LLC boosted its position in shares of Houlihan Lokey by 1.2% during the fourth quarter. Moneta Group Investment Advisors LLC now owns 5,267 shares of the financial services provider’s stock worth $917,000 after buying an additional 61 shares during the period. Northwestern Mutual Wealth Management Co. grew its stake in shares of Houlihan Lokey by 7.9% in the third quarter. Northwestern Mutual Wealth Management Co. now owns 956 shares of the financial services provider’s stock valued at $196,000 after buying an additional 70 shares in the last quarter. Finally, IFP Advisors Inc grew its stake in shares of Houlihan Lokey by 4.4% in the fourth quarter. IFP Advisors Inc now owns 1,694 shares of the financial services provider’s stock valued at $295,000 after buying an additional 72 shares in the last quarter. 78.07% of the stock is currently owned by institutional investors and hedge funds.

Houlihan Lokey Trading Up 2.8%

The stock has a market cap of $9.53 billion, a PE ratio of 22.17, a P/E/G ratio of 1.08 and a beta of 0.95. The company has a fifty day moving average of $144.05 and a 200-day moving average of $156.83.

Houlihan Lokey (NYSE:HLI) last announced its earnings results on Wednesday, May 6th. The financial services provider reported $1.63 earnings per share for the quarter, missing the consensus estimate of $1.79 by ($0.16). The business had revenue of $635.64 million for the quarter, compared to analysts’ expectations of $679.22 million. Houlihan Lokey had a return on equity of 22.88% and a net margin of 16.26%.Houlihan Lokey’s quarterly revenue was down 4.6% on a year-over-year basis. During the same period in the previous year, the company earned $1.96 earnings per share. As a group, research analysts anticipate that Houlihan Lokey, Inc. will post 8.54 earnings per share for the current fiscal year.

Houlihan Lokey Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 15th. Shareholders of record on Monday, June 1st were issued a dividend of $0.70 per share. This is a positive change from Houlihan Lokey’s previous quarterly dividend of $0.60. The ex-dividend date of this dividend was Monday, June 1st. This represents a $2.80 dividend on an annualized basis and a yield of 2.0%. Houlihan Lokey’s dividend payout ratio (DPR) is presently 45.02%.

Houlihan Lokey Company Profile

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.