Kayne Anderson Rudnick Investment Management LLC Lowers Stock Position in Houlihan Lokey, Inc. $HLI

Key Points

• Kayne Anderson Rudnick Investment Management LLC decreased its holdings in Houlihan Lokey, Inc. by 10.8%, owning a total of 2,926,959 shares after selling 354,335 shares in the first quarter.
• Houlihan Lokey recently reported $2.14 EPS for the quarter, exceeding analysts' expectations of $1.69, with revenue reaching $605.35 million.
• The firm announced a quarterly dividend of $0.60 per share, with a payout ratio of 40.40% and a dividend yield of 1.2%.

Kayne Anderson Rudnick Investment Management LLC reduced its holdings in shares of Houlihan Lokey, Inc. (NYSE:HLI - Free Report) by 10.8% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 2,926,959 shares of the financial services provider's stock after selling 354,335 shares during the quarter. Houlihan Lokey accounts for 1.2% of Kayne Anderson Rudnick Investment Management LLC's portfolio, making the stock its 28th biggest holding. Kayne Anderson Rudnick Investment Management LLC owned about 4.17% of Houlihan Lokey worth $472,704,000 as of its most recent SEC filing.

A number of other hedge funds also recently bought and sold shares of HLI. Bogart Wealth LLC increased its position in Houlihan Lokey by 111.1% in the first quarter. Bogart Wealth LLC now owns 152 shares of the financial services provider's stock worth $25,000 after buying an additional 80 shares in the last quarter. Motco purchased a new stake in shares of Houlihan Lokey in the first quarter worth about $29,000. Brooklyn Investment Group purchased a new stake in shares of Houlihan Lokey in the first quarter worth about $33,000. TCTC Holdings LLC boosted its stake in shares of Houlihan Lokey by 103.5% in the first quarter. TCTC Holdings LLC now owns 232 shares of the financial services provider's stock worth $37,000 after buying an additional 118 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd boosted its stake in shares of Houlihan Lokey by 3,714.3% in the first quarter. Caitong International Asset Management Co. Ltd now owns 267 shares of the financial services provider's stock worth $43,000 after buying an additional 260 shares during the last quarter. Hedge funds and other institutional investors own 78.07% of the company's stock.

Wall Street Analyst Weigh In

HLI has been the subject of a number of analyst reports. Wall Street Zen cut Houlihan Lokey from a "buy" rating to a "hold" rating in a report on Saturday, August 2nd. Wells Fargo & Company upped their price target on Houlihan Lokey from $185.00 to $209.00 and gave the stock an "overweight" rating in a report on Friday, July 11th. Keefe, Bruyette & Woods raised Houlihan Lokey from a "hold" rating to a "moderate buy" rating and upped their price target for the stock from $185.00 to $232.00 in a report on Monday, July 14th. Finally, Morgan Stanley reaffirmed an "overweight" rating and issued a $192.00 price target (up previously from $159.00) on shares of Houlihan Lokey in a report on Monday, June 23rd. Three analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $206.40.

Insider Buying and Selling at Houlihan Lokey

In other news, Chairman Irwin Gold sold 5,000 shares of the business's stock in a transaction dated Monday, June 30th. The stock was sold at an average price of $182.81, for a total value of $914,050.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Chairman Paul Eric Siegert sold 40,000 shares of the business's stock in a transaction dated Wednesday, August 27th. The shares were sold at an average price of $199.95, for a total value of $7,998,000.00. The disclosure for this sale can be found here. Insiders have sold a total of 45,500 shares of company stock worth $8,998,560 over the last ninety days. Corporate insiders own 22.83% of the company's stock.

Houlihan Lokey Price Performance

Shares of NYSE:HLI traded down $1.49 during midday trading on Friday, hitting $199.25. The company had a trading volume of 184,291 shares, compared to its average volume of 400,594. Houlihan Lokey, Inc. has a twelve month low of $137.99 and a twelve month high of $201.63. The stock has a market cap of $14.01 billion, a price-to-earnings ratio of 33.54 and a beta of 0.86. The business's 50-day simple moving average is $190.48 and its 200-day simple moving average is $174.61.

Houlihan Lokey (NYSE:HLI - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The financial services provider reported $2.14 EPS for the quarter, topping the consensus estimate of $1.69 by $0.45. Houlihan Lokey had a return on equity of 23.75% and a net margin of 16.46%.The business had revenue of $605.35 million during the quarter, compared to analyst estimates of $573.07 million. During the same period last year, the business posted $1.22 earnings per share. The company's quarterly revenue was up 17.8% on a year-over-year basis. As a group, sell-side analysts forecast that Houlihan Lokey, Inc. will post 5.98 EPS for the current year.

Houlihan Lokey Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Shareholders 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 dividend on an annualized basis and a yield of 1.2%. Houlihan Lokey's dividend payout ratio (DPR) is currently 40.40%.

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.