Short Interest in Houlihan Lokey, Inc. (NYSE:HLI) Grows By 36.5%

Houlihan Lokey, Inc. (NYSE:HLI) was the recipient of a large increase in short interest during the month of February. As of February 13th, there was short interest totaling 1,369,875 shares, an increase of 36.5% from the January 29th total of 1,003,414 shares. Approximately 2.5% of the shares of the stock are short sold. Based on an average daily trading volume, of 618,407 shares, the days-to-cover ratio is currently 2.2 days. Based on an average daily trading volume, of 618,407 shares, the days-to-cover ratio is currently 2.2 days. Approximately 2.5% of the shares of the stock are short sold.

Insiders Place Their Bets

In related news, General Counsel Christopher M. Crain sold 500 shares of the firm’s stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $174.17, for a total transaction of $87,085.00. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Robert A. Schriesheim sold 5,000 shares of the business’s stock in a transaction on Friday, February 6th. The shares were sold at an average price of $170.86, for a total value of $854,300.00. Following the completion of the transaction, the director owned 27,982 shares of the company’s stock, valued at $4,781,004.52. This trade represents a 15.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 22.83% of the company’s stock.

Institutional Trading of Houlihan Lokey

Several hedge funds have recently bought and sold shares of HLI. Vanguard Group Inc. increased its stake in shares of Houlihan Lokey by 0.3% in the third quarter. Vanguard Group Inc. now owns 5,305,182 shares of the financial services provider’s stock valued at $1,089,260,000 after purchasing an additional 13,750 shares during the period. Royal Bank of Canada increased its position in Houlihan Lokey by 362.1% in the 4th quarter. Royal Bank of Canada now owns 1,703,369 shares of the financial services provider’s stock valued at $296,706,000 after acquiring an additional 1,334,769 shares during the period. Geode Capital Management LLC raised its stake in Houlihan Lokey by 6.4% during 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 acquiring an additional 84,757 shares in the last quarter. Burgundy Asset Management Ltd. raised its stake in Houlihan Lokey by 3.0% during the 2nd quarter. Burgundy Asset Management Ltd. now owns 1,225,966 shares of the financial services provider’s stock valued at $220,613,000 after acquiring an additional 36,144 shares in the last quarter. Finally, Bank of Montreal Can grew its stake in shares of Houlihan Lokey by 2,723.2% in the fourth quarter. Bank of Montreal Can now owns 1,199,459 shares of the financial services provider’s stock worth $208,934,000 after purchasing an additional 1,156,973 shares in the last quarter. 78.07% of the stock is currently owned by institutional investors.

Houlihan Lokey Stock Up 0.4%

HLI stock traded up $0.57 during trading on Wednesday, hitting $162.67. 131,094 shares of the company’s stock traded hands, compared to its average volume of 551,622. The stock has a market capitalization of $11.35 billion, a price-to-earnings ratio of 24.99 and a beta of 0.95. Houlihan Lokey has a 52 week low of $137.99 and a 52 week high of $211.78. The stock has a fifty day moving average price of $175.05 and a two-hundred day moving average price of $184.66.

Houlihan Lokey (NYSE:HLI) last announced its quarterly earnings results on Thursday, January 29th. The financial services provider reported $1.94 earnings per share for the quarter, topping analysts’ consensus estimates of $1.85 by $0.09. Houlihan Lokey had a return on equity of 24.46% and a net margin of 16.91%.During the same quarter in the previous year, the business posted $1.64 EPS. Houlihan Lokey’s revenue was up 13.0% compared to the same quarter last year. As a group, equities research analysts expect that Houlihan Lokey will post 5.98 EPS for the current fiscal year.

Houlihan Lokey Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Sunday, March 15th. Stockholders of record on Monday, March 2nd will be issued a dividend of $0.60 per share. The ex-dividend date of this dividend is Monday, March 2nd. This represents a $2.40 annualized dividend and a dividend yield of 1.5%. Houlihan Lokey’s payout ratio is 36.87%.

Wall Street Analysts Forecast Growth

HLI has been the subject of a number of research reports. BMO Capital Markets boosted their target price on Houlihan Lokey from $209.00 to $211.00 and gave the stock an “outperform” rating in a report on Thursday, January 29th. Keefe, Bruyette & Woods cut their price objective on Houlihan Lokey from $218.00 to $214.00 and set an “outperform” rating on the stock in a research report on Thursday, January 29th. Morgan Stanley lowered their target price on Houlihan Lokey from $216.00 to $215.00 and set an “overweight” rating for the company in a research note on Tuesday, January 6th. UBS Group reissued a “neutral” rating and set a $196.00 price target on shares of Houlihan Lokey in a research report on Friday, January 30th. Finally, Weiss Ratings raised shares of Houlihan Lokey from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, February 20th. Five investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $209.17.

About Houlihan Lokey

Houlihan Lokey, Inc is a global investment bank and financial services firm founded in 1972 and headquartered in Los Angeles, California. The company specializes in advisory services across a broad range of transaction types and financial matters. Since its founding, Houlihan Lokey has grown to serve corporations, financial sponsors, and government entities worldwide, providing expertise in complex and high-stakes engagements.

The firm’s core service offerings include mergers and acquisitions advisory, capital markets advisory, financial restructuring and distressed M&A, and valuation and fairness opinions.