Houlihan Lokey Inc (HLI)vsCharles Schwab Corp (SCHW)
HLI
Houlihan Lokey Inc
$139.25
-1.38%
FINANCIAL SERVICES · Cap: $9.52B
SCHW
Charles Schwab Corp
$92.03
-1.91%
FINANCIAL SERVICES · Cap: $158.17B
Smart Verdict
WallStSmart Research — data-driven comparison
Charles Schwab Corp generates 848% more annual revenue ($24.80B vs $2.62B). SCHW leads profitability with a 38.0% profit margin vs 16.3%. SCHW appears more attractively valued with a PEG of 1.09. SCHW earns a higher WallStSmart Score of 75/100 (B+).
HLI
Buy50
out of 100
Grade: C-
SCHW
Strong Buy75
out of 100
Grade: B+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Strong operational efficiency at 22.5%
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 49.3%
Large-cap with strong market position
15.8% revenue growth
Earnings expanding 38.6% YoY
Generating 7.2B in free cash flow
Areas to Watch
Expensive relative to growth rate
Revenue declined 4.6%
Earnings declined 16.6%
Distress zone — elevated risk
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 : SCHW
The strongest argument for SCHW centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 38.0% and operating margin at 49.3%. Revenue growth of 15.8% demonstrates continued momentum.
Bear Case : HLI
The primary concerns for HLI are PEG Ratio, Revenue Growth, EPS Growth.
Bear Case : SCHW
The primary concerns for SCHW are Altman Z-Score.
Key Dynamics to Monitor
HLI profiles as a declining stock while SCHW is a growth play — different risk/reward profiles.
HLI carries more volatility with a beta of 0.95 — expect wider price swings.
SCHW is growing revenue faster at 15.8% — sustainability is the question.
SCHW generates stronger free cash flow (7.2B), providing more financial flexibility.
Bottom Line
SCHW scores higher overall (75/100 vs 50/100), backed by strong 38.0% margins and 15.8% revenue growth. Both earn "Strong 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.
Charles Schwab Corp
FINANCIAL SERVICES · CAPITAL MARKETS · USA
The Charles Schwab Corporation is an American multinational financial services company. It offers banking, commercial banking, an electronic trading platform, and wealth management advisory services to both retail and institutional clients.
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