Houlihan Lokey Inc (HLI)vsMorgan Stanley (MS)
HLI
Houlihan Lokey Inc
$152.87
-0.41%
FINANCIAL SERVICES · Cap: $10.27B
MS
Morgan Stanley
$193.09
+1.54%
FINANCIAL SERVICES · Cap: $299.95B
Smart Verdict
WallStSmart Research — data-driven comparison
Morgan Stanley generates 2663% more annual revenue ($73.17B vs $2.65B). MS leads profitability with a 24.7% profit margin vs 16.9%. MS appears more attractively valued with a PEG of 2.33. MS earns a higher WallStSmart Score of 73/100 (B).
HLI
Strong Buy68
out of 100
Grade: B-
MS
Strong Buy73
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 21 in profit
Strong operational efficiency at 24.9%
Earnings expanding 22.3% YoY
Mega-cap, among the largest globally
Strong operational efficiency at 40.6%
Keeps 25 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
16.3% revenue growth
Areas to Watch
Expensive relative to growth rate
Expensive relative to growth rate
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : HLI
The strongest argument for HLI centers on Return on Equity, Operating Margin, EPS Growth. Profitability is solid with margins at 16.9% and operating margin at 24.9%. Revenue growth of 13.0% demonstrates continued momentum.
Bull Case : MS
The strongest argument for MS centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 24.7% and operating margin at 40.6%. Revenue growth of 16.3% demonstrates continued momentum.
Bear Case : HLI
The primary concerns for HLI are PEG Ratio.
Bear Case : MS
The primary concerns for MS are PEG Ratio, Piotroski F-Score, Free Cash Flow.
Key Dynamics to Monitor
HLI profiles as a mature stock while MS is a growth play — different risk/reward profiles.
MS carries more volatility with a beta of 1.21 — expect wider price swings.
MS is growing revenue faster at 16.3% — sustainability is the question.
HLI generates stronger free cash flow (217M), providing more financial flexibility.
Bottom Line
MS scores higher overall (73/100 vs 68/100), backed by strong 24.7% margins and 16.3% revenue growth. Both earn "Strong Buy" and "Strong 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.
Morgan Stanley
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Morgan Stanley is an American multinational investment bank and financial services company headquartered at 1585 Broadway in the Morgan Stanley Building, Midtown Manhattan, New York City.
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