Barlow Wealth Partners LLC Sells 25,662 Shares of Houlihan Lokey, Inc. $HLI

Key Points

• Barlow Wealth Partners reduced its Houlihan Lokey stake by 12.5%, selling 25,662 shares and retaining 180,034 shares worth approximately $23 million. Institutional investors collectively own 78.07% of HLI.
• Houlihan Lokey reported weaker quarterly results, with earnings of $1.35 per share and revenue of $511 million, missing analyst estimates and reflecting a 15.6% year-over-year revenue decline.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $161.38 versus the stock’s reported price of $128.54; the company also pays a $0.70 quarterly dividend.

Barlow Wealth Partners LLC lowered its position in Houlihan Lokey, Inc. (NYSE:HLI - Free Report) by 12.5% during the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 180,034 shares of the financial services provider's stock after selling 25,662 shares during the quarter. Houlihan Lokey makes up about 2.4% of Barlow Wealth Partners LLC's portfolio, making the stock its 21st biggest position. Barlow Wealth Partners LLC owned approximately 0.26% of Houlihan Lokey worth $23,034,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. Royal Bank of Canada grew its position in shares of Houlihan Lokey by 2.8% during the 1st quarter. Royal Bank of Canada now owns 1,751,495 shares of the financial services provider's stock worth $251,551,000 after buying an additional 48,126 shares in the last quarter. Dimensional Fund Advisors LP increased its position in Houlihan Lokey by 15.2% during the 1st quarter. Dimensional Fund Advisors LP now owns 616,519 shares of the financial services provider's stock valued at $88,540,000 after purchasing an additional 81,182 shares during the period. Van Berkom & Associates Inc. increased its position in Houlihan Lokey by 7.6% during the 1st quarter. Van Berkom & Associates Inc. now owns 405,978 shares of the financial services provider's stock valued at $58,307,000 after purchasing an additional 28,600 shares during the period. Fenimore Asset Management Inc raised its holdings in shares of Houlihan Lokey by 52.9% in the 3rd quarter. Fenimore Asset Management Inc now owns 256,760 shares of the financial services provider's stock valued at $32,439,000 after purchasing an additional 88,862 shares in the last quarter. Finally, Vaughan Nelson Investment Management L.P. bought a new stake in shares of Houlihan Lokey in the 1st quarter valued at about $35,728,000. 78.07% of the stock is currently owned by hedge funds and other institutional investors.

Houlihan Lokey Price Performance

HLI opened at $128.54 on Friday. The firm has a market capitalization of $8.88 billion, a PE ratio of 21.60, a price-to-earnings-growth ratio of 1.63 and a beta of 1.00. The business's 50-day moving average is $130.24 and its two-hundred day moving average is $139.18. Houlihan Lokey, Inc. has a 1 year low of $112.83 and a 1 year high of $204.18.

Houlihan Lokey (NYSE:HLI - Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The financial services provider reported $1.35 EPS for the quarter, missing the consensus estimate of $1.64 by ($0.29). Houlihan Lokey had a net margin of 16.10% and a return on equity of 20.20%. The firm had revenue of $511.00 million for the quarter, compared to analysts' expectations of $602.38 million. During the same period in the previous year, the company posted $2.14 earnings per share. The business's quarterly revenue was down 15.6% compared to the same quarter last year. As a group, sell-side analysts expect that Houlihan Lokey, Inc. will post 6.91 EPS for the current year.

Houlihan Lokey Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 15th. Shareholders of record on Tuesday, September 1st were issued a $0.70 dividend. This represents a $2.80 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend was Tuesday, September 1st. Houlihan Lokey's payout ratio is currently 47.06%.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the stock. BMO Capital Markets lowered their price target on shares of Houlihan Lokey from $160.00 to $145.00 and set an "outperform" rating for the company in a research report on Monday, August 3rd. Weiss Ratings reissued a "hold (c)" rating on shares of Houlihan Lokey in a report on Friday, July 17th. Bank of America initiated coverage on shares of Houlihan Lokey in a report on Friday, July 10th. They set a "buy" rating and a $164.00 price objective on the stock. Zacks Research raised shares of Houlihan Lokey from a "strong sell" rating to a "hold" rating in a research note on Tuesday. Finally, Morgan Stanley lowered their target price on Houlihan Lokey from $177.00 to $165.00 and set an "overweight" rating for the company in a report on Thursday, October 8th. Seven investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, Houlihan Lokey presently has a consensus rating of "Moderate Buy" and an average target price of $161.38.

Insider Transactions at Houlihan Lokey

In other Houlihan Lokey news, General Counsel Christopher M. Crain sold 1,000 shares of Houlihan Lokey stock in a transaction on Thursday, September 10th. The shares were sold at an average price of $140.15, for a total value of $140,150.00. Following the transaction, the general counsel directly owned 1,000 shares of the company's stock, valued at approximately $140,150. The trade was a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 22.53% of the company's stock.

About Houlihan Lokey

Houlihan Lokey, Inc is a global investment bank that provides financial advisory services to corporations, institutions, governments and other organizations. The firm focuses on complex strategic, financial and restructuring matters and is known for its independent advisory model.

Its principal businesses include corporate finance, financial restructuring, and financial and valuation advisory. Services include mergers and acquisitions advice, capital-raising and other strategic transactions, restructuring and liability management, fairness opinions, solvency analysis, financial reporting valuations, and transaction opinions.

Founded in 1972, Houlihan Lokey serves clients through offices across North America, Europe, the Asia-Pacific region and the Middle East.

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