Is Houlihan Lokey Stock a Good Investment?
Houlihan Lokey Investment Advice | HLI |
- Examine Houlihan Lokey's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Houlihan Lokey's leadership team and their track record. Good management can help Houlihan Lokey navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Investment Banking & Brokerage space and any emerging trends that could impact Houlihan Lokey's business and its evolving consumer preferences.
- Compare Houlihan Lokey's performance and market position to its competitors. Analyze how Houlihan Lokey is positioned in terms of product offerings, innovation, and market share.
- Check if Houlihan Lokey pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Houlihan Lokey's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Houlihan Lokey stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Houlihan Lokey is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Actively responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Houlihan Lokey Stock
Researching Houlihan Lokey's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 100.0% of the company shares are owned by institutional investors. The company last dividend was issued on the 2nd of December 2024.
To determine if Houlihan Lokey is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Houlihan Lokey's research are outlined below:
| Houlihan Lokey has 415.41 M in debt with debt to equity (D/E) ratio of 0.13, which may show that the company is not taking advantage of profits from borrowing. Houlihan Lokey has a current ratio of 0.9, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for Houlihan to invest in growth at high rates of return. | |
| Over 100.0% of Houlihan Lokey shares are owned by institutional investors | |
| Latest headline from news.google.com: Integrated Investment Consultants LLC Acquires 9,490 Shares of Houlihan Lokey, Inc. - MarketBeat |
Houlihan Lokey Quarterly Accounts Payable |
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Houlihan Lokey uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Houlihan Lokey. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Houlihan Lokey's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 1st of February 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 14th of May 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of March 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Houlihan Lokey's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Houlihan Lokey's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2017-07-26 | 2017-06-30 | 0.44 | 0.5 | 0.06 | 13 | ||
2019-01-29 | 2018-12-31 | 0.7 | 0.77 | 0.07 | 10 | ||
2018-05-09 | 2018-03-31 | 0.58 | 0.65 | 0.07 | 12 | ||
2017-02-01 | 2016-12-31 | 0.5 | 0.57 | 0.07 | 14 | ||
2018-01-29 | 2017-12-31 | 0.61 | 0.69 | 0.08 | 13 | ||
2020-02-03 | 2019-12-31 | 0.77 | 0.88 | 0.11 | 14 | ||
2023-07-27 | 2023-06-30 | 1.01 | 0.89 | -0.12 | 11 | ||
2019-07-25 | 2019-06-30 | 0.55 | 0.67 | 0.12 | 21 |
Know Houlihan Lokey's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Houlihan Lokey is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Houlihan Lokey backward and forwards among themselves. Houlihan Lokey's institutional investor refers to the entity that pools money to purchase Houlihan Lokey's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 1.1 M | Bank Of America Corp | 2024-06-30 | 1.1 M | Geode Capital Management, Llc | 2024-09-30 | 970.6 K | Neuberger Berman Group Llc | 2024-06-30 | 930.5 K | Ameriprise Financial Inc | 2024-06-30 | 873.9 K | Clearbridge Advisors, Llc | 2024-09-30 | 840.4 K | Capital Research & Mgmt Co - Division 3 | 2024-09-30 | 793 K | Sei Investments Co | 2024-06-30 | 776.3 K | Norges Bank | 2024-06-30 | 717.6 K | Vanguard Group Inc | 2024-09-30 | 5.2 M | Blackrock Inc | 2024-06-30 | 5 M |
Houlihan Lokey's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 13.12 B.Market Cap |
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Houlihan Lokey's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.15 | 0.15 | |
| Return On Capital Employed | 0.12 | 0.15 | |
| Return On Assets | 0.09 | 0.08 | |
| Return On Equity | 0.15 | 0.13 |
Determining Houlihan Lokey's profitability involves analyzing its financial statements and using various financial metrics to determine if Houlihan Lokey is a good buy. For example, gross profit margin measures Houlihan Lokey's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Houlihan Lokey's profitability and make more informed investment decisions.
Houlihan Lokey's Earnings Breakdown by Geography
Evaluate Houlihan Lokey's management efficiency
Houlihan Lokey has Return on Asset of 0.1116 % which means that on every $100 spent on assets, it made $0.1116 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.1856 %, implying that it generated $0.1856 on every 100 dollars invested. Houlihan Lokey's management efficiency ratios could be used to measure how well Houlihan Lokey manages its routine affairs as well as how well it operates its assets and liabilities. The Houlihan Lokey's current Return On Capital Employed is estimated to increase to 0.15, while Return On Tangible Assets are projected to decrease to 0.15. As of now, Houlihan Lokey's Total Current Assets are increasing as compared to previous years. The Houlihan Lokey's current Intangible Assets is estimated to increase to about 222.1 M, while Total Assets are projected to decrease to under 2.1 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 28.55 | 27.12 | |
| Tangible Book Value Per Share | 7.96 | 7.56 | |
| Enterprise Value Over EBITDA | 20.29 | 21.30 | |
| Price Book Value Ratio | 4.49 | 2.26 | |
| Enterprise Value Multiple | 20.29 | 21.30 | |
| Price Fair Value | 4.49 | 2.26 | |
| Enterprise Value | 4.7 B | 4.9 B |
The decision-making processes within Houlihan Lokey are key to its success in a competitive market. By evaluating these processes, we assess the stock's potential for future gains.
Dividend Yield 0.0121 | Forward Dividend Yield 0.0121 | Forward Dividend Rate 2.28 | Beta 0.663 |
Basic technical analysis of Houlihan Stock
As of the 26th of November, Houlihan Lokey retains the Downside Deviation of 1.42, risk adjusted performance of 0.1466, and Market Risk Adjusted Performance of 0.2111. Houlihan Lokey technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices.Houlihan Lokey's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Houlihan Lokey insiders, such as employees or executives, is commonly permitted as long as it does not rely on Houlihan Lokey's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Houlihan Lokey insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Houlihan Lokey's Outstanding Corporate Bonds
Houlihan Lokey issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Houlihan Lokey uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Houlihan bonds can be classified according to their maturity, which is the date when Houlihan Lokey has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Houlihan Lokey's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Houlihan Lokey's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1466 | |||
| Market Risk Adjusted Performance | 0.2111 | |||
| Mean Deviation | 1.24 | |||
| Semi Deviation | 1.03 | |||
| Downside Deviation | 1.42 | |||
| Coefficient Of Variation | 544.77 | |||
| Standard Deviation | 1.85 | |||
| Variance | 3.41 | |||
| Information Ratio | 0.1127 | |||
| Jensen Alpha | 0.1314 | |||
| Total Risk Alpha | 0.0382 | |||
| Sortino Ratio | 0.147 | |||
| Treynor Ratio | 0.2011 | |||
| Maximum Drawdown | 12.41 | |||
| Value At Risk | (2.04) | |||
| Potential Upside | 2.31 | |||
| Downside Variance | 2.01 | |||
| Semi Variance | 1.05 | |||
| Expected Short fall | (1.34) | |||
| Skewness | 2.17 | |||
| Kurtosis | 10.45 |
| Risk Adjusted Performance | 0.1466 | |||
| Market Risk Adjusted Performance | 0.2111 | |||
| Mean Deviation | 1.24 | |||
| Semi Deviation | 1.03 | |||
| Downside Deviation | 1.42 | |||
| Coefficient Of Variation | 544.77 | |||
| Standard Deviation | 1.85 | |||
| Variance | 3.41 | |||
| Information Ratio | 0.1127 | |||
| Jensen Alpha | 0.1314 | |||
| Total Risk Alpha | 0.0382 | |||
| Sortino Ratio | 0.147 | |||
| Treynor Ratio | 0.2011 | |||
| Maximum Drawdown | 12.41 | |||
| Value At Risk | (2.04) | |||
| Potential Upside | 2.31 | |||
| Downside Variance | 2.01 | |||
| Semi Variance | 1.05 | |||
| Expected Short fall | (1.34) | |||
| Skewness | 2.17 | |||
| Kurtosis | 10.45 |
Consider Houlihan Lokey's intraday indicators
Houlihan Lokey intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Houlihan Lokey stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 5809.0 | |||
| Daily Balance Of Power | 0.5912 | |||
| Rate Of Daily Change | 1.01 | |||
| Day Median Price | 190.62 | |||
| Day Typical Price | 190.58 | |||
| Price Action Indicator | 0.75 | |||
| Period Momentum Indicator | 1.75 |
Houlihan Lokey Corporate Filings
F4 | 13th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 12th of November 2024 Other Reports | ViewVerify | |
10Q | 5th of November 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 31st of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
Houlihan Stock media impact
Far too much social signal, news, headlines, and media speculation about Houlihan Lokey that are available to investors today. That information is available publicly through Houlihan media outlets and privately through word of mouth or via Houlihan internal channels. However, regardless of the origin, that massive amount of Houlihan data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Houlihan Lokey news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Houlihan Lokey relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Houlihan Lokey's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Houlihan Lokey alpha.
Houlihan Lokey Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Houlihan Lokey can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Houlihan Lokey Corporate Directors
| Robert Schriesheim | Independent Director Nominee | Profile | |
| Hideto Nishitani | Director | Profile | |
| Paul Zuber | Independent Director | Profile | |
| James Scallan | Managing Director | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Houlihan Lokey. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of economic analysis. For more detail on how to invest in Houlihan Stock please use our How to Invest in Houlihan Lokey guide.You can also try the Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Is Investment Banking & Brokerage space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Houlihan Lokey. If investors know Houlihan will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Houlihan Lokey listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.384 | Dividend Share 2.24 | Earnings Share 4.89 | Revenue Per Share 32.632 | Quarterly Revenue Growth 0.231 |
The market value of Houlihan Lokey is measured differently than its book value, which is the value of Houlihan that is recorded on the company's balance sheet. Investors also form their own opinion of Houlihan Lokey's value that differs from its market value or its book value, called intrinsic value, which is Houlihan Lokey's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Houlihan Lokey's market value can be influenced by many factors that don't directly affect Houlihan Lokey's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Houlihan Lokey's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Houlihan Lokey is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Houlihan Lokey's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.