Houlihan Lokey (NYSE:HLI) Share Price Crosses Below 50-Day Moving Average – What’s Next?

Houlihan Lokey, Inc. (NYSE:HLI)’s stock price crossed below its 50 day moving average during trading on Tuesday. The stock has a 50 day moving average of $132.99 and traded as low as $127.52. Houlihan Lokey shares last traded at $131.2640, with a volume of 850,440 shares trading hands.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on HLI shares. Morgan Stanley cut their target price on Houlihan Lokey from $187.00 to $177.00 and set an “overweight” rating on the stock in a research note on Thursday, July 30th. US Capital Advisors set a $187.00 price target on Houlihan Lokey in a research report on Thursday, July 9th. UBS Group dropped their price objective on Houlihan Lokey from $161.00 to $147.00 and set a “neutral” rating for the company in a report on Thursday, July 30th. The Goldman Sachs Group cut their price objective on Houlihan Lokey from $171.00 to $148.00 and set a “buy” rating on the stock in a research report on Thursday, July 30th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Houlihan Lokey in a research note on Friday, July 17th. Five investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $166.38.

Houlihan Lokey Stock Performance

The stock has a 50-day moving average of $132.42 and a two-hundred day moving average of $140.59. The company has a market cap of $8.81 billion, a P/E ratio of 21.45, a price-to-earnings-growth ratio of 1.50 and a beta of 0.96.

Houlihan Lokey (NYSE:HLI) last announced its quarterly earnings results on Wednesday, July 29th. The financial services provider reported $1.35 earnings per share for the quarter, missing the consensus estimate of $1.64 by ($0.29). The firm had revenue of $511.00 million for 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 revenue was down 15.6% on a year-over-year basis. During the same period last year, the business earned $2.14 EPS. Research analysts predict that Houlihan Lokey, Inc. will post 6.93 EPS for the current year.

Houlihan Lokey Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st were paid a $0.70 dividend. This represents a $2.80 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date was Tuesday, September 1st. Houlihan Lokey’s dividend payout ratio (DPR) is 47.06%.

Insider Transactions at Houlihan Lokey

In other Houlihan Lokey news, General Counsel Christopher M. Crain sold 1,000 shares of the business’s stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $140.15, for a total transaction of $140,150.00. Following the completion of the sale, the general counsel directly owned 1,000 shares in the company, valued at $140,150. The trade was a 50.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 22.53% of the company’s stock.

Institutional Investors Weigh In On Houlihan Lokey

A number of hedge funds have recently modified their holdings of HLI. Norges Bank purchased a new stake in shares of Houlihan Lokey in the fourth quarter worth $115,478,000. Vaughan Nelson Investment Management L.P. bought a new stake in shares of Houlihan Lokey in the first quarter worth about $35,728,000. Ancora Advisors LLC purchased a new stake in shares of Houlihan Lokey during the 2nd quarter worth approximately $28,750,000. Assenagon Asset Management S.A. bought a new position in Houlihan Lokey during the first quarter valued at $16,890,000. Finally, Westfield Capital Management Co. LP grew its position in Houlihan Lokey by 28.0% in the fourth quarter. Westfield Capital Management Co. LP now owns 520,002 shares of the financial services provider’s stock worth $90,579,000 after acquiring an additional 113,696 shares in the last quarter. Institutional investors own 78.07% of the company’s stock.

About Houlihan Lokey

Houlihan Lokey, Inc is a global investment bank that provides financial advisory services to corporations, financial sponsors, governments and other institutions. Its principal activities include mergers and acquisitions, capital markets advisory, financial restructuring, and valuation and financial opinions.

The company advises clients on acquisitions, divestitures, strategic alternatives, recapitalizations, fairness opinions and other complex financial matters. Its restructuring business supports companies, creditors and other stakeholders dealing with distressed situations, while its valuation and financial advisory practice provides analyses related to financial reporting, tax, litigation and strategic planning.

Founded in 1972, Houlihan Lokey has expanded from its origins in the United States into an international advisory firm serving clients across North America, Europe, the Asia-Pacific region and other global markets.