10 Analysts Have This To Say About Houlihan Lokey

10 analysts have shared their evaluations of Houlihan Lokey HLI during the recent three months, expressing a mix of bullish and bearish perspectives.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $184.5, along with a high estimate of $230.00 and a low estimate of $156.00. This current average represents a 1.44% decrease from the previous average price target of $187.20.

Deciphering Analyst Ratings: An In-Depth Analysis

The standing of Houlihan Lokey among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|-----------------------|---------------|---------------|--------------------|--------------------| |Ryan Kenny |Morgan Stanley |Lowers |Overweight | $156.00|$190.00 | |Ryan Kenny |Morgan Stanley |Lowers |Overweight | $190.00|$201.00 | |Michael Brown |Wells Fargo |Lowers |Overweight | $179.00|$180.00 | |Manan Gosalia |Morgan Stanley |Raises |Underweight | $201.00|$200.00 | |Aidan Hall |Keefe, Bruyette & Woods|Raises |Market Perform | $192.00|$170.00 | |Michael Brown |Wells Fargo |Raises |Underweight | $180.00|$178.00 | |Brennan Hawken |UBS |Raises |Buy | $230.00|$229.00 | |Kenneth Worthington |JP Morgan |Lowers |Neutral | $169.00|$172.00 | |Michael Brown |Wells Fargo |Lowers |Underweight | $178.00|$180.00 | |Aidan Hall |Keefe, Bruyette & Woods|Lowers |Market Perform | $170.00|$172.00 |

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Houlihan Lokey. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Houlihan Lokey compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Houlihan Lokey's stock. This examination reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Houlihan Lokey's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Houlihan Lokey analyst ratings.

Unveiling the Story Behind Houlihan Lokey

Houlihan Lokey Inc is an investment bank with expertise in mergers and acquisitions, capital markets, financial restructuring, valuation, and strategic consulting. The firm serves corporations, institutions, and governments worldwide with offices in the United States, Europe, and the Asia-Pacific region. The company operates in three segments. In the Corporate Finance business segment, it provides M&A and capital markets advisory services. Through the Financial Restructuring business segment, the company advises on some of the complex restructurings around the world. Financial and Valuation Advisory Services business segment provides valuation and financial opinion, and financial and strategic consulting practices in the United States.

Understanding the Numbers: Houlihan Lokey's Finances

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Positive Revenue Trend: Examining Houlihan Lokey's financials over 3M reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 24.12% as of 31 December, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Houlihan Lokey's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 15.02%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Houlihan Lokey's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 4.72%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 2.85%, the company showcases effective utilization of assets.

Debt Management: Houlihan Lokey's debt-to-equity ratio is below the industry average. With a ratio of 0.21, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Understanding the Relevance of Analyst Ratings

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.