Hamilton Lane (NASDAQ:HLNE) Shares Down 4.6% - Here's What Happened

Key Points

• Hamilton Lane shares fell 4.6% to about $84.24 in low-volume trading, well below the stock’s 50-day and 200-day moving averages.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $131.57, despite mixed target revisions.
• The company reported strong quarterly results, with EPS of $1.94 and revenue of $275.33 million, while declaring a quarterly dividend of $0.60 per share, representing a 2.8% yield.

Hamilton Lane Inc. (NASDAQ:HLNE - Get Free Report) fell 4.6% on Tuesday . The stock traded as low as $84.84 and last traded at $84.2430. 96,493 shares changed hands during trading, a decline of 88% from the average daily volume of 786,418 shares. The stock had previously closed at $88.34.

Analyst Upgrades and Downgrades

Several research analysts recently commented on HLNE shares. UBS Group raised their price target on shares of Hamilton Lane from $114.00 to $131.00 and gave the company a "buy" rating in a report on Wednesday, August 5th. The Goldman Sachs Group dropped their price objective on Hamilton Lane from $148.00 to $128.00 and set a "buy" rating on the stock in a report on Tuesday, June 30th. Oppenheimer dropped their price target on shares of Hamilton Lane from $182.00 to $181.00 and set an "outperform" rating for the company in a research note on Thursday, August 27th. Weiss Ratings raised shares of Hamilton Lane from a "hold (c-)" rating to a "hold (c)" rating in a report on Monday, August 31st. Finally, BMO Capital Markets set a $94.00 target price on shares of Hamilton Lane in a research report on Monday, July 13th. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $131.57.

Hamilton Lane Stock Performance

The stock has a market cap of $4.76 billion, a P/E ratio of 13.01 and a beta of 1.19. The company has a debt-to-equity ratio of 0.16, a current ratio of 3.49 and a quick ratio of 3.49. The company has a fifty day moving average of $96.42 and a 200 day moving average of $92.65.

Hamilton Lane (NASDAQ:HLNE - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $1.94 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.53 by $0.41. Hamilton Lane had a return on equity of 25.10% and a net margin of 32.14%.The company had revenue of $275.33 million for the quarter, compared to analysts' expectations of $221.94 million. During the same period last year, the firm earned $1.47 EPS. The firm's revenue for the quarter was up 56.5% on a year-over-year basis. On average, equities analysts predict that Hamilton Lane Inc. will post 7.25 earnings per share for the current fiscal year.

Hamilton Lane Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, October 6th. Shareholders of record on Monday, September 21st will be issued a dividend of $0.60 per share. This represents a $2.40 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date is Monday, September 21st. Hamilton Lane's dividend payout ratio is 36.59%.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Wasatch Advisors LP lifted its holdings in shares of Hamilton Lane by 15.8% during the 1st quarter. Wasatch Advisors LP now owns 1,751,596 shares of the company's stock worth $174,109,000 after acquiring an additional 239,397 shares during the period. Principal Financial Group Inc. lifted its stake in shares of Hamilton Lane by 1.7% during the first quarter. Principal Financial Group Inc. now owns 1,103,913 shares of the company's stock valued at $109,725,000 after acquiring an additional 18,063 shares during the period. Janus Henderson Group PLC raised its stake in shares of Hamilton Lane by 12.9% during the first quarter. Janus Henderson Group PLC now owns 905,660 shares of the company's stock worth $90,045,000 after buying an additional 103,663 shares during the last quarter. Capital World Investors grew its holdings in Hamilton Lane by 24.6% during the 4th quarter. Capital World Investors now owns 653,718 shares of the company's stock worth $87,801,000 after acquiring an additional 129,040 shares during the period. Finally, Van Berkom & Associates Inc. lifted its stake in shares of Hamilton Lane by 9.7% in the 1st quarter. Van Berkom & Associates Inc. now owns 833,307 shares of the company's stock valued at $82,831,000 after purchasing an additional 73,679 shares during the period. Institutional investors and hedge funds own 97.40% of the company's stock.

Hamilton Lane Company Profile

Hamilton Lane Incorporated is a global investment management firm focused on private markets. The company provides investment solutions and advisory services across private equity, private credit, venture capital, infrastructure, real estate and other alternative investment strategies.

Its offerings include customized separate accounts, commingled funds, specialized funds and direct investment programs. Hamilton Lane also provides portfolio management, investment monitoring, due diligence, asset allocation and related advisory services to institutional investors, financial intermediaries and private wealth clients.

Founded in 1991, Hamilton Lane serves clients internationally through operations spanning North America, Europe, Asia-Pacific and the Middle East.

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