# Houlihan Lokey Inc. (HLI) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Financial Services / Capital Markets. Price $137.11, market value $9.6 billion.

## Valuation
- **P/E (trailing): 23.0×** (5-yr avg 23.0×, 3-yr avg 26.8×). Houlihan Lokey Inc. trades at 23.0× trailing earnings, close to its own five-year average of 23.0×. The Financial Services median in the September 2026 study was 13.1×. Forward P/E is 15.6×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 2.27**. A PEG of 2.27 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 3.8×**. Each dollar of revenue is priced at 3.8×.
- **Price / book: 4.3×**. The shares trade at 4.3× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 15.4×**. Enterprise value is 15.4× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 5.1%** (5-yr avg 6.4%). Free cash flow equals 5.1% of the market value, below its five-year average of 6.4%, so the shares are pricier on cash than usual. Above 5% is generally attractive.
- **Earnings yield: 4.3%**. The inverse of the P/E: 4.3% of the price is earned each year.

## Profitability
- **Operating margin: 20.4%**. 20.4% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 16.3%**. 16.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 18.2%**. 18.2% on shareholders' equity is solid.
- **Return on invested capital: 33.7%**. Return on all capital, debt included, is 33.7%: comfortably above what that capital costs.
- **Return on assets: 9.4%**. Each dollar of assets produces 9.4% of profit; low single digits are normal for banks and insurers.

## Growth
- **Revenue growth (1 yr): 9.5%** (3-yr 13.1%/yr, 5-yr 11.4%/yr). Revenue grew 9.5% over the last year, against 11.4% a year compounded over five years.
- **EPS growth (1 yr): 6.9%** (3-yr 18.3%/yr, 5-yr 6.5%/yr). Earnings per share rose 6.9%, roughly in step with revenue.
- **Free-cash-flow growth (3 yr): 99.8%/yr**. Free cash flow has compounded at 99.8% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.
- **Cash and short-term investments: $1.2 billion**. Leverage ratios are shown differently for banks and insurers, whose balance sheets are built on deposits and reserves; use return on equity and the regulatory capital in the filings instead.

## Dividends
- **Dividend yield: 2.04%** ($2.50 per share, trailing). Houlihan Lokey Inc. yields 2.04%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 41%** (38% of free cash flow). 41% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 11**. 11 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 13.1%/yr** (1-yr 4.9%). The dividend has compounded at 13.1% a year over five years, doubling roughly every 5 years at that pace.

## Analyst view
- **Analyst consensus: buy** (8 analysts). 8 analysts cover Houlihan Lokey Inc.; the consensus is buy, with an average price target of $153.50 (+12% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -29.7%** (YTD -20.6%, 3-mo -1.5%). The shares are down 29.7% over twelve months including dividends.
- **From 52-week high: -35.3%** (21.5% above the low). Trading 35% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 60**. An RSI of 60 is neutral.
- **Beta (1 yr): 0.76** (volatility 30%). Beta of 0.76 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=HLI · Page: https://foliofundamentals.com/stocks/hli

Not investment advice.