Houlihan Lokey Inc (HLI)vsRobinhood Markets Inc (HOOD)
HLI
Houlihan Lokey Inc
$139.25
-1.38%
FINANCIAL SERVICES · Cap: $9.52B
HOOD
Robinhood Markets Inc
$88.33
-5.87%
FINANCIAL SERVICES · Cap: $88.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Robinhood Markets Inc generates 76% more annual revenue ($4.61B vs $2.62B). HOOD leads profitability with a 41.1% profit margin vs 16.3%. HOOD appears more attractively valued with a PEG of 2.75. HOOD earns a higher WallStSmart Score of 60/100 (C+).
HLI
Buy50
out of 100
Grade: C-
HOOD
Buy60
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Strong operational efficiency at 22.5%
Keeps 41 of every $100 in revenue as profit
Strong operational efficiency at 38.5%
Large-cap with strong market position
Every $100 of equity generates 20 in profit
15.1% revenue growth
Generating 1.2B in free cash flow
Areas to Watch
Expensive relative to growth rate
Revenue declined 4.6%
Earnings declined 16.6%
Trading at 8.5x book value
2.7% earnings growth
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : HLI
The strongest argument for HLI centers on Debt/Equity, Operating Margin. Profitability is solid with margins at 16.3% and operating margin at 22.5%.
Bull Case : HOOD
The strongest argument for HOOD centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 41.1% and operating margin at 38.5%. Revenue growth of 15.1% demonstrates continued momentum.
Bear Case : HLI
The primary concerns for HLI are PEG Ratio, Revenue Growth, EPS Growth.
Bear Case : HOOD
The primary concerns for HOOD are Price/Book, EPS Growth, Debt/Equity. A P/E of 47.6x leaves little room for execution misses.
Key Dynamics to Monitor
HLI profiles as a declining stock while HOOD is a growth play — different risk/reward profiles.
HOOD carries more volatility with a beta of 2.35 — expect wider price swings.
HOOD is growing revenue faster at 15.1% — sustainability is the question.
HOOD generates stronger free cash flow (1.2B), providing more financial flexibility.
Bottom Line
HOOD scores higher overall (60/100 vs 50/100), backed by strong 41.1% margins and 15.1% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Houlihan Lokey Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Houlihan Lokey, Inc., an investment banking firm, provides valuation and financial advisory services, capital markets, mergers and acquisitions (M&A) globally. The company is headquartered in Los Angeles, California.
Robinhood Markets Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Robinhood Markets Inc (HOOD) is a pioneering fintech company that has transformed retail investing since its inception in 2013, providing a commission-free trading platform through an intuitive mobile app. Catering to a diverse demographic, Robinhood offers a wide array of investment products—including stocks, ETFs, options, and cryptocurrencies—while fostering financial education and inclusivity. Its innovative features such as fractional shares and robust cash management solutions reinforce its competitive position in the digital brokerage sector, appealing to a new generation of investors seeking transparent and efficient access to the financial markets.
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