Earnest Partners 13F: Cuts Houlihan Lokey (HLI) Stake by $8.4M

Earnest Partners Trims Stake in Houlihan Lokey

Institutional investment firm Earnest Partners lowered its exposure to Houlihan Lokey, Inc. HLI on the New York Stock Exchange, reducing its portfolio allocation by 62,527 shares during the period. According to a Form 13F filing submitted to the Securities and Exchange Commission, the firm held 2,228,984 shares at the end of the window. This downward adjustment follows similar portfolio adjustments made by the fund across several other equities during the filing cycle.

Details of the Share Reduction

Prior to the adjustment, Earnest Partners owned 2,291,511 shares of the financial services company. The reduction of 62,527 shares translated to a 2.7% decrease in its holdings. Based on market prices at the end of the reporting period, the remaining 2.22 million shares carried an estimated value of about $298.9 million. Because 13F filings look backward at historical holdings, this snapshot reflects the position as of May 15, 2026, and may not match the firm's current share count today.

Stock Valuation and Recent Trading Levels

Houlihan Lokey shares traded near $134.13 ahead of the filing review, positioned below the 200-day moving average of $151.75 while hovering near the 50-day moving average of $132.99. Over the past year, the equity has seen a low of $112.83 and a high of $211.78. The company carries a trailing price-to-earnings ratio of 22.29, reflecting its valuation as an independent investment banking and financial advisory specialist.

Analysts Set New Price Targets

Wall Street firms have actively adjusted their outlooks on the investment bank through the summer and autumn. On October 9, 2026, Citizens upgraded the stock to a Market Outperform rating with a $175.00 price target. Earlier in October, Morgan Stanley maintained its Overweight rating while adjusting its target to $165.00, and UBS kept a Neutral stance with a $154.00 target. Additional updates came from BMO Capital, Goldman Sachs, and Keefe, Bruyette & Woods over the preceding months.

Corporate Advisory Operations

Houlihan Lokey operates out of Los Angeles, California, providing specialized financial services including mergers and acquisitions advisory, financial restructuring, and valuation opinions for corporations and financial sponsors worldwide. The firm generates revenue across three primary segments covering corporate finance, financial restructuring, and financial valuation advisory services. Its upcoming quarterly financial results are scheduled for release on October 29, 2026, which will provide fresh data on its advisory fee income.

What to Watch Next for Investors

Market observers will look to the upcoming late October earnings report to gauge deal-making activity across the capital markets sector. Additional institutional disclosures and subsequent 13F filings will also reveal whether other large asset managers followed suit or added to their positions in the financial advisory firm.