Houlihan Lokey, Inc. cash flow to debt ratio of 143.08% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

Houlihan Lokey, Inc.'s free cash flow has decreased 15.71% from $808.91M last year to $681.82M, signaling decreasing performance

Houlihan Lokey, Inc.'s debt to equity ratio is 0.22, which means that the company's assets are healthy financed, signaling financial stability.

Houlihan Lokey, Inc.'s debt has increased relative to shareholder equity from 0.20 last year to 0.22 today, signaling weakened financials

Houlihan Lokey, Inc. has a net cash position, so leverage is healthy.

Interest expense is not separately reported in Houlihan Lokey, Inc.'s latest filing, so interest coverage cannot be calculated.

Houlihan Lokey, Inc.'s profit margin has decreased (3.77%) in the last year from 16.73% to 16.10%, signaling decreasing performance

Houlihan Lokey, Inc.'s short-term assets of $1.86B exceed its short-term liabilities of $1.21B

Houlihan Lokey, Inc.'s return on assets of 10.93% is higher than the 5.00% threshold, indicating efficient asset utilization

Houlihan Lokey, Inc.'s return on equity of 17.78%, is higher than 15.00%, indicating good performance

Houlihan Lokey, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Houlihan Lokey, Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Houlihan Lokey, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Houlihan Lokey, Inc. has a free cash flow yield of 7.91%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Houlihan Lokey, Inc.'s yearly earnings has increased 6.50% since last year from $399.71M to $425.70M, signaling increasing performance

Houlihan Lokey, Inc.'s yearly revenue has increased 9.55% since last year from $2.39B to $2.62B, signaling increasing performance

ROIC 16.44% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

Houlihan Lokey, Inc.'s 3-year revenue CAGR of 13.10% is positive, indicating growing revenue over the past 3 years

Houlihan Lokey, Inc. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Houlihan Lokey, Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Houlihan Lokey, Inc. is undervalued relative to its fair value price of 213.39 based on Discounted Cash Flow model

Houlihan Lokey, Inc. has an earnings yield of 4.95%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Houlihan Lokey, Inc. is overvalued relative to its fair value price of 67.58 based on EBITDA multiple model

Houlihan Lokey, Inc. has an EV/EBITDA ratio of 12.82x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Houlihan Lokey, Inc. is undervalued relative to its fair value price of 145.08 based on Earnings Fair Value model

Houlihan Lokey, Inc. has a PEG-ratio over 1 which is considered overvalued

Houlihan Lokey, Inc. has a price-to-book ratio of 3.47x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Houlihan Lokey, Inc. has a price-to-sales ratio of 3.25x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue