Houlihan Lokey (NYSE:HLI) Rating Lowered to “Sell” at Wall Street Zen

Houlihan Lokey (NYSE:HLI) was downgraded by analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research report issued on Saturday.

Other research analysts have also recently issued reports about the company. Bank of America initiated coverage on Houlihan Lokey in a research note on Friday, July 10th. They issued a “buy” rating and a $164.00 target price for the company. Zacks Research raised Houlihan Lokey from a “strong sell” rating to a “hold” rating in a research report on Thursday, June 11th. US Capital Advisors set a $187.00 price objective on Houlihan Lokey in a report on Thursday, July 9th. Weiss Ratings reiterated a “hold (c)” rating on shares of Houlihan Lokey in a research report on Friday, July 17th. Finally, Keefe, Bruyette & Woods decreased their price objective on Houlihan Lokey from $160.00 to $153.00 and set an “outperform” rating for the company in a research report on Thursday, July 30th. Five analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $166.38.

Houlihan Lokey Stock Up 0.2%

Shares of HLI stock opened at $129.26 on Friday. Houlihan Lokey has a 12-month low of $112.83 and a 12-month high of $211.78. The firm has a market capitalization of $8.93 billion, a price-to-earnings ratio of 21.73, a price-to-earnings-growth ratio of 1.44 and a beta of 0.95. The firm has a fifty day moving average of $137.44 and a 200-day moving average of $149.85.

Houlihan Lokey (NYSE:HLI) last released its quarterly earnings data on Wednesday, July 29th. The financial services provider reported $1.35 EPS for the quarter, missing analysts’ consensus estimates of $1.64 by ($0.29). The firm had revenue of $511.00 million during the quarter, compared to the consensus estimate of $602.38 million. Houlihan Lokey had a net margin of 16.10% and a return on equity of 20.20%. Houlihan Lokey’s quarterly revenue was down 15.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.14 EPS. Research analysts expect that Houlihan Lokey will post 7.13 earnings per share for the current year.

Insider Buying and Selling at Houlihan Lokey

In related news, Chairman Scott L. Beiser sold 6,265 shares of the stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $150.26, for a total transaction of $941,378.90. Following the completion of the transaction, the chairman directly owned 6,265 shares in the company, valued at approximately $941,378.90. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 22.53% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Houlihan Lokey

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Pier Capital LLC grew its position in shares of Houlihan Lokey by 62.3% in the 4th quarter. Pier Capital LLC now owns 44,000 shares of the financial services provider’s stock valued at $7,664,000 after acquiring an additional 16,894 shares during the period. M&T Bank Corp bought a new stake in shares of Houlihan Lokey in the 4th quarter valued at about $4,467,000. Fideuram Intesa Sanpaolo Private Banking S.P.A. bought a new stake in shares of Houlihan Lokey in the 4th quarter valued at about $1,942,000. Fenimore Asset Management Inc lifted its stake in Houlihan Lokey by 16.2% in the 4th quarter. Fenimore Asset Management Inc now owns 123,672 shares of the financial services provider’s stock valued at $21,542,000 after purchasing an additional 17,199 shares during the last quarter. Finally, New Age Alpha Advisors LLC lifted its stake in Houlihan Lokey by 169.1% in the 4th quarter. New Age Alpha Advisors LLC now owns 30,856 shares of the financial services provider’s stock valued at $5,375,000 after purchasing an additional 19,388 shares during the last quarter. 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.