In a recent transaction on June 3, Christopher M. Crain, General Counsel of Houlihan Lokey, Inc. (NYSE:HLI), sold 1,000 shares of the company's Class A common stock at an average price of $133.49, totaling $133,490. The sale was conducted under a pre-arranged 10b5-1 trading plan, which allows insiders to set up a predetermined schedule for buying or selling securities to avoid accusations of insider trading.
The transaction was disclosed in a Form 4 filing with the Securities and Exchange Commission. According to the filing, the shares were sold in a series of open market transactions at prices ranging from $133.01 to $133.64. The exact number of shares sold at each price point within this range can be provided upon request.
This sale has reduced Crain's direct ownership of Class A common stock to zero, as indicated in the post-transaction amounts. However, it should be noted that Crain still retains indirect investment control and dispositive power over 55,265 shares of Class B common stock held by the HL Voting Trust, as stated in the footnotes of the filing. Class B shares are convertible into Class A shares on a one-for-one basis.
Investors and followers of Houlihan Lokey, a global investment bank specializing in investment advice, will be keeping a close eye on insider transactions as they can provide valuable insights into the company's financial health and future prospects.
InvestingPro Insights
Houlihan Lokey, Inc. (NYSE:HLI) has recently seen significant insider trading activity, which can often be a signal to investors regarding the company's current valuation and future performance. According to InvestingPro data, Houlihan Lokey has a market capitalization of approximately $9.11 billion USD and is trading at a P/E ratio of 30.53. This valuation reflects a premium, as indicated by the adjusted P/E ratio for the last twelve months as of Q4 2024, which stands at 33.49.
The company's financial health appears robust, with a gross profit margin of 93.45% over the last twelve months as of Q4 2024. Additionally, Houlihan Lokey has demonstrated a commendable revenue growth of 5.8% during the same period. These figures suggest that the company has maintained profitability and efficiency in its operations.
One InvestingPro Tip for Houlihan Lokey highlights that the company has raised its dividend for 9 consecutive years, indicating a commitment to returning value to shareholders. This is further supported by the company's dividend yield of 1.7% and a dividend growth of 7.55% over the last twelve months as of Q4 2024. Moreover, Houlihan Lokey has been profitable over the last twelve months and analysts predict the company will continue to be profitable this year.
For investors seeking more in-depth analysis, there are additional InvestingPro Tips available at https://www.investing.com/pro/HLI. These tips could provide further insights into Houlihan Lokey's performance and valuation. To access these additional tips and the full suite of InvestingPro features, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.