Hamilton Lane Inc. (NASDAQ:HLNE) has garnered an average recommendation of “Moderate Buy” from nine research firms currently covering the company, according to data from Marketbeat.com. This consensus follows a mix of ratings that includes five firms issuing a hold rating, three assigning a buy rating, and one placing a strong buy status on the stock.
The average one-year price target among analysts stands at approximately $159.29. Notably, several firms have recently updated their ratings on Hamilton Lane. On October 3, 2023, BMO Capital Markets initiated coverage with an “outperform” rating, setting a price target of $150.00. Conversely, Zacks Research downgraded Hamilton Lane from a “strong buy” to a “hold” rating on October 22, 2023.
Recent Analyst Activity and Institutional Involvement
Investment analysts have provided varied insights into Hamilton Lane’s stock performance. Wall Street Zen upgraded its rating from “sell” to “hold” on November 9, 2023. In contrast, Weiss Ratings lowered its rating from “buy (b-)” to “hold (c+)” on October 25, 2023. Keefe, Bruyette & Woods increased their price target from $150.00 to $158.00 on November 6, 2023, giving the stock an “outperform” rating.
Recent institutional investment activity has also influenced the stock’s dynamics. Swiss Life Asset Management Ltd acquired a new position in Hamilton Lane valued at approximately $252,000 during the third quarter. Additionally, Advisory Services Network LLC and Morningstar Investment Management LLC invested $26,000 and $1.65 million, respectively. Kestra Private Wealth Services LLC expanded its stake by 12.1%, now owning a total of 2,816 shares worth $380,000. Overall, institutional investors and hedge funds collectively hold 97.40% of Hamilton Lane’s shares.
Stock Performance and Financial Highlights
As of the latest trading session, Hamilton Lane’s stock increased by 1.6% to open at $125.20. The company boasts a market capitalization of $6.99 billion, a price-to-earnings ratio of 22.68, and a beta of 1.33. Hamilton Lane’s financial health is reflected in its debt-to-equity ratio of 0.25, alongside a current ratio and quick ratio both standing at 3.49. The stock has fluctuated between a fifty-two week low of $111.98 and a high of $185.96.
Hamilton Lane recently released its quarterly earnings data on November 4, 2023, reporting earnings per share (EPS) of $1.54, exceeding analysts’ expectations of $1.08 by $0.46. The company’s net margin was recorded at 31.12%, with a return on equity of 29.43%. Revenue for the quarter reached $190.88 million, surpassing the consensus estimate of $171.86 million.
Additionally, Hamilton Lane announced a quarterly dividend of $0.54 per share, scheduled for payment on January 7, 2024, to shareholders of record on December 19, 2023. This reflects an annualized dividend total of $2.16, yielding 1.7%. The company’s dividend payout ratio currently stands at 39.13%.
Hamilton Lane, a private equity firm, specializes in various investment strategies, including venture capital, growth equity, and distressed assets. The firm focuses its investments across multiple sectors, including energy, healthcare, technology, and real estate.
With a robust outlook supported by recent analyst ratings and strong financial performance, Hamilton Lane appears to be navigating the current market landscape effectively, attracting significant institutional interest.
