Houlihan LokeyHLI -0.81%91 EV-to-FCF is 12.66 as of Jul. 11, 2026, which is 7% below its 10-year median of 13.55. GuruFocus rates HLI with a GF Score™ of 91/100 and a GF Value™ of $190.32 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 447 Capital Markets companies, Houlihan Lokey ranks worse than 59.28% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Houlihan Lokey's Enterprise Value is $8,632 Mil.
Houlihan Lokey's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $682 Mil. Therefore, Houlihan Lokey's EV-to-FCF for today is 12.66.
The historical rank and industry rank for Houlihan Lokey's EV-to-FCF or its related term are showing as below:
HLI'
s EV-to-FCF Range Over the Past 10 Years
Min: -96.35 Med: 13.55 Max: 66.18
Current: 12.66
During the past 13 years, the highest EV-to-FCF of Houlihan Lokey was 66.18. The lowest was -96.35. And the median was 13.55.
HLI's EV-to-FCF is ranked worse than 59.28% of 447
companies
in the Capital Markets industry
Industry Median: 9.49
vs HLI: 12.66
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Houlihan Lokey's PE Ratio (TTM) for today is calculated as:
Houlihan Lokey's share price for today is $135.33.
Houlihan Lokey's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $6.220.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Houlihan Lokey EV-to-FCF Related Terms
Houlihan Lokey EV-to-FCF Historical Data
* Premium members only.
The historical data trend for Houlihan Lokey's EV-to-FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Capital Markets subindustry, Houlihan Lokey's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Houlihan Lokey EV-to-FCF vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Houlihan Lokey's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Houlihan Lokey's EV-to-FCF falls into.
Houlihan Lokey's current Enterprise Value is $8,632 Mil.
Houlihan Lokey's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $682 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Houlihan Lokey (HLI) has a EV-to-FCF of 12.66 as of Jul. 11, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Houlihan Lokey and its competitors. This is near median its historical median of 13.55. According to the industry distribution chart, Houlihan Lokey ranks #265 out of 447 companies in the Capital Markets industry, placing it in the top 59.3%.
Is Houlihan Lokey's EV-to-FCF too high?
Houlihan Lokey's current EV-to-FCF of 12.66 is near median its 10-year median of 13.55. The Capital Markets industry median EV-to-FCF is 9.49. Houlihan Lokey's value of 12.66 is 33.4% above this industry median. Based on the distribution chart, Houlihan Lokey ranks #265 out of 447 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Houlihan Lokey has a GF Score™ of 91/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Houlihan Lokey's EV-to-FCF compare to JEF and SF?
According to the Capital Markets industry distribution chart, Houlihan Lokey ranks #265 out of 447 companies for EV-to-FCF. This places Houlihan Lokey in the lower half of its industry. The industry median EV-to-FCF is 9.49. Houlihan Lokey's value of 12.66 is 33.4% above this benchmark. While the company's 10-year median is 13.55 vs. the industry median of 9.49, Houlihan Lokey has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Capital Markets company?
The median EV-to-FCF among Capital Markets companies is 9.49, based on 447 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Houlihan Lokey's current EV-to-FCF of 12.66 is 33.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Houlihan Lokey and its competitors. For the Capital Markets industry, the median EV-to-FCF is 9.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Houlihan Lokey's current EV-to-FCF is 12.66, which is near median its own 10-year median of 13.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Houlihan Lokey stock overvalued right now?
Based on GuruFocus' analysis, Houlihan Lokey (HLI) is currently considered Modestly Undervalued. The stock's GF Value™ is $190.32, compared to a current price of $135.33 — trading 28.9% below its estimated fair value. The current EV-to-FCF is 12.66, which is near median its 10-year median of 13.55 and 33.4% above the Capital Markets industry median of 9.49. Houlihan Lokey's overall GF Score™ is 91/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Houlihan Lokey (HLI), the current EV-to-FCF is 12.66 as of Jul. 11, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Houlihan Lokey (HLI) Overvalued in 2026?
Based on GuruFocus' analysis, Houlihan Lokey stock appears to be undervalued.
The current stock price of $135.33 is trading 28.9% below its estimated GF Value™ of $190.32.
GuruFocus considers Houlihan Lokey to be Modestly Undervalued.
Key valuation signals for HLI:
EV-to-FCF: 12.66 (near median its 10-year median of 13.55)
GF Value™: $190.32 vs. price of $135.33 (28.9% below fair value)
Industry Position: 33.4% above the Capital Markets median (#265 of 447)
No single metric tells the full story. See the HLI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Houlihan Lokey Inc is an investment bank with expertise in mergers and acquisitions, capital markets, financial restructuring, valuation, and strategic consulting. The firm serves corporations, institutions, and governments world-wide with offices in the United States, Europe, and the Asia-Pacific region. The company operates in three segments. In the Corporate Finance business segment, it provides M&A and capital markets advisory services. Through the Financial Restructuring business segment, the company advises on some of the complex restructurings around the world. The Financial and Valuation Advisory Services business segment provides valuation and financial opinion, and financial and strategic consulting practices in the United States.
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