Seaport Res Ptn Predicts Lower Earnings for Houlihan Lokey

Key Points

• Houlihan Lokey's Q3 2026 earnings per share (EPS) estimate has been lowered to $1.84 from previous expectations of $1.90, indicating a cautious outlook from analysts.
• The company recently reported an earnings surprise with an EPS of $2.14, surpassing the consensus of $1.69, alongside a year-over-year revenue increase of 17.8%.
• Several analysts have revised their ratings on Houlihan Lokey, with Wells Fargo raising the target price to $209 and Keefe, Bruyette & Woods upgrading the stock to a "moderate buy" with a price target of $232.

Houlihan Lokey, Inc. (NYSE:HLI - Free Report) - Investment analysts at Seaport Res Ptn dropped their Q3 2026 earnings estimates for Houlihan Lokey in a report released on Wednesday, July 30th. Seaport Res Ptn analyst J. Mitchell now expects that the financial services provider will post earnings per share of $1.84 for the quarter, down from their previous forecast of $1.90. The consensus estimate for Houlihan Lokey's current full-year earnings is $5.98 per share. Seaport Res Ptn also issued estimates for Houlihan Lokey's Q4 2026 earnings at $1.98 EPS, Q1 2027 earnings at $2.13 EPS and Q3 2027 earnings at $2.19 EPS.

Other equities research analysts also recently issued research reports about the stock. Wells Fargo & Company raised their price objective on shares of Houlihan Lokey from $185.00 to $209.00 and gave the stock an "overweight" rating in a research note on Friday, July 11th. Keefe, Bruyette & Woods upgraded shares of Houlihan Lokey from a "hold" rating to a "moderate buy" rating and boosted their target price for the company from $185.00 to $232.00 in a research note on Monday, July 14th. Morgan Stanley reissued an "overweight" rating and issued a $192.00 price objective (up previously from $159.00) on shares of Houlihan Lokey in a research note on Monday, June 23rd. Finally, Wall Street Zen lowered shares of Houlihan Lokey from a "buy" rating to a "hold" rating in a report on Saturday, August 2nd. Three investment analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $206.40.

Houlihan Lokey Price Performance

Shares of NYSE HLI traded down $2.71 during trading hours on Monday, hitting $189.28. 197,251 shares of the stock were exchanged, compared to its average volume of 405,169. The firm has a market capitalization of $13.21 billion, a P/E ratio of 31.90 and a beta of 0.86. Houlihan Lokey has a one year low of $137.99 and a one year high of $198.78. The company's 50 day moving average is $184.10 and its 200 day moving average is $173.39.

Houlihan Lokey (NYSE:HLI - Get Free Report) last issued its quarterly earnings data on Tuesday, July 29th. The financial services provider reported $2.14 earnings per share for the quarter, beating the consensus estimate of $1.69 by $0.45. Houlihan Lokey had a net margin of 16.46% and a return on equity of 23.75%. The firm had revenue of $605.35 million for the quarter, compared to analyst estimates of $573.07 million. During the same quarter last year, the firm earned $1.22 earnings per share. The company's revenue for the quarter was up 17.8% on a year-over-year basis.

Houlihan Lokey Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be paid a $0.60 dividend. The ex-dividend date is Tuesday, September 2nd. This represents a $2.40 annualized dividend and a dividend yield of 1.3%. Houlihan Lokey's dividend payout ratio is 40.40%.

Insider Buying and Selling

In other Houlihan Lokey news, Chairman Scott L. Beiser sold 8,008 shares of the firm's stock in a transaction on Monday, May 19th. The stock was sold at an average price of $178.71, for a total transaction of $1,431,109.68. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, General Counsel Christopher M. Crain sold 500 shares of the company's stock in a transaction on Monday, June 2nd. The stock was sold at an average price of $173.02, for a total value of $86,510.00. The disclosure for this sale can be found here. Over the last three months, insiders have sold 13,508 shares of company stock valued at $2,431,670. 22.83% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in HLI. Bogart Wealth LLC raised its holdings in Houlihan Lokey by 111.1% during the 1st quarter. Bogart Wealth LLC now owns 152 shares of the financial services provider's stock worth $25,000 after purchasing an additional 80 shares during the last quarter. Motco acquired a new stake in shares of Houlihan Lokey in the 1st quarter worth about $29,000. Brooklyn Investment Group purchased a new position in shares of Houlihan Lokey during the first quarter valued at approximately $33,000. Trust Co. of Toledo NA OH purchased a new stake in shares of Houlihan Lokey in the second quarter valued at about $34,000. Finally, TCTC Holdings LLC lifted its position in shares of Houlihan Lokey by 103.5% during the 1st quarter. TCTC Holdings LLC now owns 232 shares of the financial services provider's stock worth $37,000 after buying an additional 118 shares in the last quarter. Institutional investors and hedge funds own 78.07% of the company's stock.

About Houlihan Lokey

Houlihan Lokey, Inc, an investment banking company, provides merger and acquisition (M&A), capital market, financial restructuring, and financial and valuation advisory services worldwide. It operates in three segments: Corporate Finance, Financial Restructuring, and Financial and Valuation Advisory.