(HLI) Houlihan Lokey - NYSE
Sector: Financial Services | Industry: Capital Markets | Exchange: NYSE (USA) | Market Cap: 9.523m USD | Total Return: -16.5% in 12m
Avg Turnover: 87.8M
EPS Trend: 96.9%
Qual. Beats: -1
Rev. Trend: 98.5%
Qual. Beats: -1
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
Houlihan Lokey, Inc. (HLI) is a global investment bank specializing in mergers and acquisitions, capital markets, and financial restructuring. The firm operates through three primary business segments: Corporate Finance, Financial Restructuring, and Financial and Valuation Advisory. Its client base includes corporations, financial sponsors, and government agencies.
The company maintains a counter-cyclical business model, as its Financial Restructuring segment often experiences increased demand during economic downturns when corporate defaults and recapitalizations rise. In the investment banking sector, Houlihan Lokey is frequently recognized for its high volume of mid-market M&A transactions and its specialized valuation services for illiquid assets. Reviewing the latest technical indicators on ValueRay can help clarify current market sentiment for this stock.
Founded in 1972 and headquartered in Los Angeles, the firm provides critical advisory services including fairness opinions, solvency opinions, and dispute resolution. This diversified service suite allows the company to generate fee-based revenue across various stages of the corporate lifecycle and through fluctuating market conditions.
- Counter-cyclical restructuring revenue offsets volatility in mid-market M&A activity
- Expansion of private equity sponsor coverage drives corporate finance deal flow
- Growth in illiquid asset valuation services increases recurring advisory revenue
- Interest rate fluctuations impact debt capital markets and insolvency transaction volume
- Competition for senior talent pressures compensation ratios and operating margins
| Net Income: 425.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.16 > 0.02 and ΔFCF/TA -5.35 > 1.0 |
| NWC/Revenue: 24.71% < 20% (prev 17.98%; Δ 6.73% < -1%) |
| CFO/TA 0.16 > 3% & CFO 704.1m > Net Income 425.7m |
| Net Debt (-867.6m) to EBITDA (652.7m): -1.33 < 3 |
| Current Ratio: 1.53 > 1.5 & < 3 |
| Outstanding Shares: last quarter (68.1m) vs 12m ago -1.61% < -2% |
| Gross Margin: 51.87% > 18% (prev 38.50%; Δ 13.37% > 0.5%) |
| Asset Turnover: 64.40% > 50% (prev 62.55%; Δ 1.85% > 0%) |
| Interest Coverage Ratio: 12.77 > 6 (EBIT TTM 610.0m / Interest Expense TTM 47.8m) |
| A: 0.15 (Total Current Assets 1.86b - Total Current Liabilities 1.21b) / Total Assets 4.31b |
| B: 0.38 (Retained Earnings 1.65b / Total Assets 4.31b) |
| C: 0.15 (EBIT TTM 610.0m / Avg Total Assets 4.06b) |
| D: 1.26 (Book Value of Equity 2.34b / Total Liabilities 1.86b) |
| Altman-Z'' = 4.56 = AA |
| DSRI: 1.10 (Receivables 499.6m/415.1m, Revenue 2.62b/2.39b) |
| GMI: 0.74 (GM 38.50% / 51.87%) |
| AQI: 1.17 (AQ_t 0.54 / AQ_t-1 0.46) |
| SGI: 1.10 (Revenue 2.62b / 2.39b) |
| TATA: -0.06 (NI 425.7m - CFO 704.1m) / TA 4.31b) |
| Beneish M = -3.02 (Cap -4..+1) = AA |
As of June 19, 2026, the stock is trading at USD 141.38 with a total of 744,300 shares traded.
Over the past week, the price has changed by +3.99%,
over one month by -6.57%,
over three months by +1.28% and
over the past year by -16.46%.
Houlihan Lokey has received a consensus analysts rating of 3.44. Therefore, it is recommended to hold HLI.
- StrongBuy: 2
- Buy: 2
- Hold: 4
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 172.5 | 22% |
P/E Trailing = 22.1688
P/E Forward = 13.8504
P/S = 3.638
P/B = 4.0654
P/EG = 6.54
Revenue TTM = 2.62b USD
EBIT TTM = 610.0m USD
EBITDA TTM = 652.7m USD
Long Term Debt = unknown (none)
Short Term Debt = unknown (none)
Debt = 492.1m USD (from shortLongTermDebtTotal, last quarter) (leases 492.1m already included)
Net Debt = -867.6m USD (calculated: Debt 492.1m - CCE 1.36b)
Enterprise Value = 8.65b USD (9.52b + Debt 492.1m - CCE 1.36b)
Interest Coverage Ratio = 12.77 (Ebit TTM 610.0m / Interest Expense TTM 47.8m)
EV/FCF = 12.69x (Enterprise Value 8.65b / FCF TTM 681.8m)
FCF Yield = 7.88% (FCF TTM 681.8m / Enterprise Value 8.65b)
FCF Margin = 26.05% (FCF TTM 681.8m / Revenue TTM 2.62b)
Net Margin = 16.26% (Net Income TTM 425.7m / Revenue TTM 2.62b)
Gross Margin = 51.87% ((Revenue TTM 2.62b - Cost of Revenue TTM 1.26b) / Revenue TTM)
Gross Margin QoQ = none% (prev 38.50%)
Tobins Q-Ratio = 2.01 (Enterprise Value 8.65b / Total Assets 4.31b)
Interest Expense / Debt = 9.71% (Interest Expense 47.8m / Debt 492.1m)
Taxrate = 24.56% (138.1m / 562.3m)
NOPAT = 460.2m (EBIT 610.0m * (1 - 24.56%))
Current Ratio = 1.53 (Total Current Assets 1.86b / Total Current Liabilities 1.21b)
Debt / Equity = 0.21 (Debt 492.1m / totalStockholderEquity, last quarter 2.34b)
Debt / EBITDA = -1.33 (Net Debt -867.6m / EBITDA 652.7m)
Debt / FCF = -1.27 (Net Debt -867.6m / FCF TTM 681.8m)
Total Stockholder Equity = 2.27b (last 4 quarters mean from totalStockholderEquity)
RoA = 10.47% (Net Income 425.7m / Total Assets 4.31b)
RoE = 18.79% (Net Income TTM 425.7m / Total Stockholder Equity 2.27b)
RoCE = 19.70% (EBIT 610.0m / Capital Employed (Total Assets 4.31b - Current Liab 1.21b))
RoIC = 15.52% (NOPAT 460.2m / Invested Capital 2.97b)
WACC = 10.21% (E(9.52b)/V(10.0b) * Re(10.36%) + D(492.1m)/V(10.0b) * Rd(9.71%) * (1-Tc(0.25)))
Discount Rate = 10.36% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 11.11 | Cagr: 0.12%
[DCF] Terminal Value 66.48% ; FCFF base≈732.7m ; Y1≈642.5m ; Y5≈519.1m
[DCF] Fair Price = 133.6 (EV 6.38b - Net Debt -867.6m = Equity 7.25b / Shares 54.3m; r=10.21% [WACC]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: 96.92 | EPS CAGR: 30.12% | SUE: -1.04 | # QB: -1
Revenue Correlation: 98.50 | Revenue CAGR: 18.00% | SUE: -3.10 | # QB: -1
EPS current Quarter (2026-06-30): EPS=1.83 | Chg30d=-5.02% | Revisions=-17% | Analysts=9
EPS next Quarter (2026-09-30): EPS=2.02 | Chg30d=+1.64% | Revisions=-27% | Analysts=9
EPS current Year (2027-03-31): EPS=8.21 | Chg30d=-3.66% | Revisions=-33% | GrowthEPS=+8.6% | GrowthRev=+12.6%
EPS next Year (2028-03-31): EPS=9.44 | Chg30d=-0.86% | Revisions=-20% | GrowthEPS=+15.0% | GrowthRev=+13.2%
[Analyst] Revisions Ratio: -33%