California State Teachers Retirement System Increases Stock Holdings in Houlihan Lokey, Inc. $HLI

Key Points

• California State Teachers Retirement System increased its Houlihan Lokey stake by 13,041.9%, acquiring 8.4 million additional shares to own approximately 12.25% of the company, valued at $1.13 billion.
• Houlihan Lokey reported quarterly EPS of $1.35 versus the $1.64 analyst consensus, while revenue fell 15.6% year over year to $511 million, below expectations.
• The company declared a quarterly dividend of $0.70 per share, equivalent to an annualized $2.80 payout and a 2.0% yield. Analysts maintain a consensus “Hold” rating with an average price target of $166.38.

California State Teachers Retirement System lifted its stake in shares of Houlihan Lokey, Inc. (NYSE:HLI - Free Report) by 13,041.9% in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 8,459,445 shares of the financial services provider's stock after buying an additional 8,395,075 shares during the quarter. California State Teachers Retirement System owned about 12.25% of Houlihan Lokey worth $1,134,665,000 at the end of the most recent reporting period.

Several other large investors have also modified their holdings of the stock. New Age Alpha Advisors LLC grew its position in shares of Houlihan Lokey by 169.1% during the fourth quarter. New Age Alpha Advisors LLC now owns 30,856 shares of the financial services provider's stock worth $5,375,000 after acquiring an additional 19,388 shares during the last quarter. Fideuram Intesa Sanpaolo Private Banking S.P.A. purchased a new stake in Houlihan Lokey in the 4th quarter valued at $1,942,000. Geode Capital Management LLC raised its position in Houlihan Lokey by 6.4% in the 4th quarter. Geode Capital Management LLC now owns 1,418,549 shares of the financial services provider's stock valued at $247,133,000 after purchasing an additional 84,757 shares during the last quarter. Vaughan Nelson Investment Management L.P. acquired a new stake in Houlihan Lokey during the 1st quarter worth $35,728,000. Finally, Whittier Trust Co. boosted its stake in Houlihan Lokey by 10.3% during the 1st quarter. Whittier Trust Co. now owns 78,222 shares of the financial services provider's stock worth $11,011,000 after purchasing an additional 7,294 shares during the period. Institutional investors and hedge funds own 78.07% of the company's stock.

Houlihan Lokey Stock Up 0.8%

Shares of Houlihan Lokey stock opened at $137.00 on Friday. The firm has a market cap of $9.46 billion, a price-to-earnings ratio of 23.03, a price-to-earnings-growth ratio of 1.57 and a beta of 0.96. Houlihan Lokey, Inc. has a 52-week low of $112.83 and a 52-week high of $211.78. The company's 50-day simple moving average is $133.55 and its 200-day simple moving average is $142.66.

Houlihan Lokey (NYSE:HLI - Get Free Report) last issued its earnings results on Wednesday, July 29th. The financial services provider reported $1.35 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.64 by ($0.29). The business had revenue of $511.00 million for the quarter, compared to analysts' expectations of $602.38 million. Houlihan Lokey had a return on equity of 20.20% and a net margin of 16.10%.The business's quarterly revenue was down 15.6% on a year-over-year basis. During the same period last year, the company posted $2.14 earnings per share. Equities research analysts anticipate that Houlihan Lokey, Inc. will post 6.93 EPS for the current year.

Houlihan Lokey Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be issued a dividend of $0.70 per share. This represents a $2.80 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend is Tuesday, September 1st. Houlihan Lokey's dividend payout ratio is currently 47.06%.

Insiders Place Their Bets

In other Houlihan Lokey news, General Counsel Christopher M. Crain sold 1,000 shares of the stock in a transaction on Thursday, September 10th. The stock was sold at an average price of $140.15, for a total value of $140,150.00. Following the completion of the transaction, the general counsel owned 1,000 shares in the company, valued at approximately $140,150. This represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 22.53% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on HLI shares. Wall Street Zen downgraded shares of Houlihan Lokey from a "hold" rating to a "sell" rating in a research note on Saturday, August 8th. Morgan Stanley dropped their price target on Houlihan Lokey from $187.00 to $177.00 and set an "overweight" rating on the stock in a research report on Thursday, July 30th. UBS Group reduced their price objective on Houlihan Lokey from $161.00 to $147.00 and set a "neutral" rating for the company in a research note on Thursday, July 30th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Houlihan Lokey in a research report on Friday, July 17th. Finally, Keefe, Bruyette & Woods lowered their target price on Houlihan Lokey from $160.00 to $153.00 and set an "outperform" rating on the stock in a research note on Thursday, July 30th. Five research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Houlihan Lokey presently has an average rating of "Hold" and a consensus price target of $166.38.

Houlihan Lokey Company Profile

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.

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