Houlihan Lokey (NYSE:HLI) Sets New 1-Year Low – Here’s Why

Houlihan Lokey, Inc. (NYSE:HLI) hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $136.76 and last traded at $137.4750, with a volume of 104997 shares changing hands. The stock had previously closed at $138.89.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on HLI shares. UBS Group reduced their price target on shares of Houlihan Lokey from $196.00 to $163.00 and set a “neutral” rating for the company in a research report on Thursday, March 12th. Weiss Ratings lowered Houlihan Lokey from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Monday, March 9th. Keefe, Bruyette & Woods reduced their target price on Houlihan Lokey from $218.00 to $214.00 and set an “outperform” rating for the company in a report on Thursday, January 29th. The Goldman Sachs Group decreased their target price on Houlihan Lokey from $243.00 to $210.00 and set a “buy” rating on the stock in a research report on Thursday, March 12th. Finally, Morgan Stanley lowered their price target on Houlihan Lokey from $216.00 to $215.00 and set an “overweight” rating on the stock in a research note on Tuesday, January 6th. Five research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $204.57.

Houlihan Lokey Price Performance

The firm has a 50 day simple moving average of $166.23 and a 200-day simple moving average of $180.17. The company has a market cap of $9.73 billion, a price-to-earnings ratio of 21.41 and a beta of 0.95.

Houlihan Lokey (NYSE:HLI) last announced its quarterly earnings results on Thursday, January 29th. The financial services provider reported $1.94 EPS for the quarter, beating the consensus estimate of $1.85 by $0.09. Houlihan Lokey had a return on equity of 24.46% and a net margin of 16.91%.The company’s quarterly revenue was up 13.0% on a year-over-year basis. During the same period last year, the firm posted $1.64 EPS. Research analysts anticipate that Houlihan Lokey, Inc. will post 5.98 EPS for the current fiscal year.

Houlihan Lokey Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Sunday, March 15th. Shareholders of record on Monday, March 2nd were given a $0.60 dividend. The ex-dividend date of this dividend was Monday, March 2nd. This represents a $2.40 dividend on an annualized basis and a yield of 1.7%. Houlihan Lokey’s dividend payout ratio is presently 36.87%.

Insider Activity

In other news, Director Robert A. Schriesheim sold 5,000 shares of the business’s stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $170.86, for a total value of $854,300.00. Following the sale, the director directly owned 27,982 shares of the company’s stock, valued at approximately $4,781,004.52. The trade was a 15.16% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, General Counsel Christopher M. Crain sold 500 shares of the company’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 transaction of $87,085.00. The disclosure for this sale is available in the SEC filing. Company insiders own 22.83% of the company’s stock.

Institutional Trading of Houlihan Lokey

Several institutional investors have recently added to or reduced their stakes in HLI. Mayflower Financial Advisors LLC acquired a new stake in shares of Houlihan Lokey in the third quarter valued at $230,335,000. ING Groep NV acquired a new position in Houlihan Lokey during the 3rd quarter worth about $4,640,000. Thrivent Financial for Lutherans lifted its stake in Houlihan Lokey by 75.6% during the 3rd quarter. Thrivent Financial for Lutherans now owns 713,494 shares of the financial services provider’s stock worth $146,495,000 after acquiring an additional 307,214 shares in the last quarter. Baker Ellis Asset Management LLC purchased a new position in Houlihan Lokey during the 3rd quarter valued at about $589,000. Finally, JPMorgan Chase & Co. boosted its holdings in Houlihan Lokey by 9.0% during the 3rd quarter. JPMorgan Chase & Co. now owns 174,695 shares of the financial services provider’s stock valued at $35,868,000 after acquiring an additional 14,483 shares during the period. Institutional investors and hedge funds own 78.07% of the company’s stock.

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.