(HLI) Houlihan Lokey - Ratings and Ratios
M&A Advisory, Restructuring, Valuation, Capital Markets, Fairness Opinions
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 1.68% |
| Yield on Cost 5y | 4.99% |
| Yield CAGR 5y | 15.27% |
| Payout Consistency | 100.0% |
| Payout Ratio | 31.3% |
| Risk via 10d forecast | |
|---|---|
| Volatility | 24.6% |
| Value at Risk 5%th | 39.5% |
| Relative Tail Risk | -2.54% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.24 |
| Alpha | -21.58 |
| CAGR/Max DD | 0.92 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.387 |
| Beta | 1.006 |
| Beta Downside | 0.919 |
| Drawdowns 3y | |
|---|---|
| Max DD | 25.20% |
| Mean DD | 5.37% |
| Median DD | 4.11% |
Description: HLI Houlihan Lokey October 31, 2025
Houlihan Lokey Inc. (NYSE:HLI) is a global investment-banking firm that operates through three distinct segments: Corporate Finance (CF), Financial Restructuring (FR) and Financial & Valuation Advisory (FVA). The CF unit advises public and private companies-including financial sponsors-on buy-side and sell-side M&A, equity and debt financings, and other corporate-finance transactions. The FR unit works with debtors, creditors and other stakeholders on recapitalizations, deleveraging, liability-management deals and debtor-in-possession financing. The FVA unit delivers valuation, fairness, solvency and dispute-resolution opinions for corporate, sponsor and government clients.
Key performance indicators from FY 2023 show total revenue of roughly $1.5 billion, with the CF segment contributing about $950 million, FR about $380 million, and FVA the remainder. The firm posted an operating margin near 20 % and net income of $250 million, reflecting strong fee-generation in a market where mid-market M&A volume has risen 12 % YoY. A notable sector driver is the current high-interest-rate environment, which has elevated corporate debt levels and default risk, thereby expanding demand for restructuring services-a trend that has lifted FR revenue by double-digit percentages over the past two years.
For a deeper, data-driven look at how these dynamics translate into valuation metrics and peer comparisons, you may find ValueRay’s analytical tools useful for extending your research.
Piotroski VR‑10 (Strict, 0-10) 7.0
| Net Income (426.5m TTM) > 0 and > 6% of Revenue (6% = 153.9m TTM) |
| FCFTA 0.21 (>2.0%) and ΔFCFTA 5.04pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 23.01% (prev 15.03%; Δ 7.98pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.22 (>3.0%) and CFO 817.3m > Net Income 426.5m (YES >=105%, WARN >=100%) |
| Net Debt (-490.7m) to EBITDA (657.3m) ratio: -0.75 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.63 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (68.6m) change vs 12m ago 0.25% (target <= -2.0% for YES) |
| Gross Margin 37.22% (prev 38.05%; Δ -0.84pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 73.24% (prev 65.99%; Δ 7.25pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 11.53 (EBITDA TTM 657.3m / Interest Expense TTM 52.5m) >= 6 (WARN >= 3) |
Altman Z'' 4.50
| (A) 0.16 = (Total Current Assets 1.52b - Total Current Liabilities 931.6m) / Total Assets 3.79b |
| (B) 0.40 = Retained Earnings (Balance) 1.52b / Total Assets 3.79b |
| (C) 0.17 = EBIT TTM 606.0m / Avg Total Assets 3.50b |
| (D) 0.96 = Book Value of Equity 1.49b / Total Liabilities 1.55b |
| Total Rating: 4.50 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 85.82
| 1. Piotroski 7.0pt |
| 2. FCF Yield 6.82% |
| 3. FCF Margin 30.54% |
| 4. Debt/Equity 0.19 |
| 5. Debt/Ebitda -0.75 |
| 6. ROIC - WACC (= 10.09)% |
| 7. RoE 19.66% |
| 8. Rev. Trend 31.88% |
| 9. EPS Trend 27.92% |
What is the price of HLI shares?
Over the past week, the price has changed by +2.40%, over one month by -13.39%, over three months by -12.26% and over the past year by -5.34%.
Is HLI a buy, sell or hold?
- Strong Buy: 2
- Buy: 2
- Hold: 4
- Sell: 0
- Strong Sell: 1
What are the forecasts/targets for the HLI price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 210.9 | 20.4% |
| Analysts Target Price | 210.9 | 20.4% |
| ValueRay Target Price | 194.2 | 10.9% |
HLI Fundamental Data Overview November 26, 2025
P/E Trailing = 27.8659
P/E Forward = 20.8768
P/S = 4.7276
P/B = 5.3791
P/EG = 6.54
Beta = 0.953
Revenue TTM = 2.57b USD
EBIT TTM = 606.0m USD
EBITDA TTM = 657.3m USD
Long Term Debt = 14.5m USD (from longTermDebt, last fiscal year)
Short Term Debt = 49.9m USD (from shortTermDebt, last fiscal year)
Debt = 432.9m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -490.7m USD (from netDebt column, last quarter)
Enterprise Value = 11.48b USD (12.13b + Debt 432.9m - CCE 1.08b)
Interest Coverage Ratio = 11.53 (Ebit TTM 606.0m / Interest Expense TTM 52.5m)
FCF Yield = 6.82% (FCF TTM 783.6m / Enterprise Value 11.48b)
FCF Margin = 30.54% (FCF TTM 783.6m / Revenue TTM 2.57b)
Net Margin = 16.62% (Net Income TTM 426.5m / Revenue TTM 2.57b)
Gross Margin = 37.22% ((Revenue TTM 2.57b - Cost of Revenue TTM 1.61b) / Revenue TTM)
Gross Margin QoQ = 33.51% (prev 38.50%)
Tobins Q-Ratio = 3.03 (Enterprise Value 11.48b / Total Assets 3.79b)
Interest Expense / Debt = 1.08% (Interest Expense 4.68m / Debt 432.9m)
Taxrate = 30.16% (48.3m / 160.1m)
NOPAT = 423.2m (EBIT 606.0m * (1 - 30.16%))
Current Ratio = 1.63 (Total Current Assets 1.52b / Total Current Liabilities 931.6m)
Debt / Equity = 0.19 (Debt 432.9m / totalStockholderEquity, last quarter 2.25b)
Debt / EBITDA = -0.75 (Net Debt -490.7m / EBITDA 657.3m)
Debt / FCF = -0.63 (Net Debt -490.7m / FCF TTM 783.6m)
Total Stockholder Equity = 2.17b (last 4 quarters mean from totalStockholderEquity)
RoA = 11.24% (Net Income 426.5m / Total Assets 3.79b)
RoE = 19.66% (Net Income TTM 426.5m / Total Stockholder Equity 2.17b)
RoCE = 27.74% (EBIT 606.0m / Capital Employed (Equity 2.17b + L.T.Debt 14.5m))
RoIC = 19.50% (NOPAT 423.2m / Invested Capital 2.17b)
WACC = 9.41% (E(12.13b)/V(12.56b) * Re(9.72%) + D(432.9m)/V(12.56b) * Rd(1.08%) * (1-Tc(0.30)))
Discount Rate = 9.72% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 0.52%
[DCF Debug] Terminal Value 76.19% ; FCFE base≈670.8m ; Y1≈827.6m ; Y5≈1.41b
Fair Price DCF = 327.7 (DCF Value 17.86b / Shares Outstanding 54.5m; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 27.92 | EPS CAGR: -11.42% | SUE: 1.27 | # QB: 5
Revenue Correlation: 31.88 | Revenue CAGR: -7.65% | SUE: 0.37 | # QB: 0
Additional Sources for HLI Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle