Hamilton Lane Inc. (NASDAQ:HLNE) Receives Average Recommendation of "Moderate Buy" from Analysts

Key Points

• Hamilton Lane has a consensus analyst rating of “Moderate Buy” from 10 brokerages, with six buy ratings and four hold ratings. The average 12-month price target is $150.
• The company reported better-than-expected earnings for the latest quarter, posting $1.49 EPS versus the $1.43 estimate, though revenue of $193.57 million came in below expectations.
• Hamilton Lane raised its quarterly dividend to $0.60 per share and also authorized a $100 million share buyback, signaling continued capital returns to shareholders.

Hamilton Lane Inc. (NASDAQ:HLNE - Get Free Report) has been given a consensus recommendation of "Moderate Buy" by the ten brokerages that are covering the stock, Marketbeat Ratings reports. Four analysts have rated the stock with a hold recommendation and six have assigned a buy recommendation to the company. The average 12 month target price among brokers that have covered the stock in the last year is $150.00.

Several brokerages recently commented on HLNE. Oppenheimer raised their target price on Hamilton Lane from $171.00 to $179.00 and gave the stock an "outperform" rating in a research report on Friday, May 22nd. Keefe, Bruyette & Woods reaffirmed an "outperform" rating on shares of Hamilton Lane in a research report on Friday, May 22nd. Morgan Stanley cut their price objective on Hamilton Lane from $159.00 to $141.00 and set an "equal weight" rating for the company in a report on Tuesday, April 21st. JPMorgan Chase & Co. cut their price objective on Hamilton Lane from $166.00 to $148.00 and set an "overweight" rating for the company in a report on Monday, May 18th. Finally, UBS Group cut their price objective on Hamilton Lane from $184.00 to $150.00 and set a "buy" rating for the company in a report on Friday, February 20th.

Insider Activity

In related news, Chairman Hartley R. Rogers acquired 55,000 shares of the business's stock in a transaction on Tuesday, May 26th. The stock was bought at an average cost of $90.05 per share, with a total value of $4,952,750.00. Following the completion of the acquisition, the chairman owned 55,000 shares in the company, valued at $4,952,750. The trade was a ∞ increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 22.21% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in HLNE. Quarry LP raised its holdings in shares of Hamilton Lane by 2,557.1% in the third quarter. Quarry LP now owns 186 shares of the company's stock valued at $25,000 after buying an additional 179 shares during the last quarter. Advisory Services Network LLC bought a new position in shares of Hamilton Lane in the third quarter valued at about $26,000. Cornerstone Planning Group LLC raised its holdings in shares of Hamilton Lane by 347.7% in the third quarter. Cornerstone Planning Group LLC now owns 197 shares of the company's stock valued at $27,000 after buying an additional 153 shares during the last quarter. Hantz Financial Services Inc. raised its holdings in shares of Hamilton Lane by 80.5% in the third quarter. Hantz Financial Services Inc. now owns 213 shares of the company's stock valued at $29,000 after buying an additional 95 shares during the last quarter. Finally, Parallel Advisors LLC raised its holdings in shares of Hamilton Lane by 81.2% in the fourth quarter. Parallel Advisors LLC now owns 241 shares of the company's stock valued at $32,000 after buying an additional 108 shares during the last quarter. 97.40% of the stock is owned by institutional investors.

Hamilton Lane Price Performance

Shares of HLNE stock opened at $87.11 on Friday. The stock has a market cap of $4.86 billion, a P/E ratio of 14.74 and a beta of 1.18. Hamilton Lane has a one year low of $82.23 and a one year high of $179.19. The stock has a fifty day moving average price of $94.45 and a 200 day moving average price of $116.42.

Hamilton Lane (NASDAQ:HLNE - Get Free Report) last issued its earnings results on Thursday, May 21st. The company reported $1.49 EPS for the quarter, topping the consensus estimate of $1.43 by $0.06. The firm had revenue of $193.57 million during the quarter, compared to analysts' expectations of $203.05 million. Hamilton Lane had a return on equity of 25.98% and a net margin of 32.83%.Hamilton Lane's quarterly revenue was down 2.2% compared to the same quarter last year. During the same period last year, the business earned $1.21 earnings per share. Equities research analysts anticipate that Hamilton Lane will post 6.26 EPS for the current year.

Hamilton Lane Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 7th. Shareholders of record on Thursday, June 18th will be issued a dividend of $0.60 per share. The ex-dividend date of this dividend is Thursday, June 18th. This is a boost from Hamilton Lane's previous quarterly dividend of $0.54. This represents a $2.40 dividend on an annualized basis and a dividend yield of 2.8%. Hamilton Lane's dividend payout ratio (DPR) is 40.61%.

Hamilton Lane declared that its Board of Directors has initiated a share buyback plan on Thursday, May 21st that authorizes the company to buyback $100.00 million in shares. This buyback authorization authorizes the company to repurchase up to 2% of its shares through open market purchases. Shares buyback plans are typically an indication that the company's board believes its shares are undervalued.

About Hamilton Lane

Hamilton Lane is a global private markets investment management firm specializing in the full spectrum of private equity and credit strategies. The company partners with institutional investors and wealth managers to design, implement and manage customized portfolios in primary fund investing, secondary market transactions and direct co-investment opportunities. By combining investment selection, portfolio construction and ongoing monitoring, Hamilton Lane seeks to optimize risk-adjusted returns across diverse private markets exposures.

Founded in 1991, Hamilton Lane has developed a track record of investment and advisory services in private markets.

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