Morgan Stanley Lowers Houlihan Lokey Stock Price Target

Investment bank cites concerns about the financial services firm's future performance.

Apr. 9, 2026 at 5:38pm

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An extreme close-up of complex, interconnected banking machinery and mechanisms, conveying the heavy, industrial nature of financial institutions and the intricate workings of the economy.Morgan Stanley's downgrade of Houlihan Lokey's stock price target reflects broader concerns about the financial services industry's performance in a potentially more challenging economic environment.Los Angeles Today

Morgan Stanley analysts have lowered their price target for Houlihan Lokey (NYSE:HLI) stock from $205 to $193, while maintaining an 'overweight' rating on the company. The investment bank cited a less optimistic outlook for the financial services provider's future performance.

Why it matters

Houlihan Lokey is a major player in the mergers and acquisitions advisory, capital markets, and financial restructuring sectors. Morgan Stanley's downgrade signals potential headwinds for the firm and the broader financial services industry as economic conditions become more uncertain.

The details

In a research note, Morgan Stanley analysts cut their price target on Houlihan Lokey shares from $205 to $193, while keeping an 'overweight' rating on the stock. The investment bank noted that several other equity research firms have also recently adjusted their price targets and ratings for Houlihan Lokey, reflecting a more cautious outlook for the company's future performance.

  • The research note was issued on Thursday, April 9, 2026.

The players

Morgan Stanley

A global investment bank and financial services firm.

Houlihan Lokey

A financial services provider specializing in mergers and acquisitions advisory, capital markets, and financial restructuring.

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What’s next

Investors will be closely watching Houlihan Lokey's upcoming earnings report and any further updates from analysts regarding the firm's outlook.

The takeaway

Morgan Stanley's downgrade of Houlihan Lokey's stock price target reflects broader concerns about the financial services industry's performance in a potentially more challenging economic environment. This could signal tougher times ahead for the M&A advisory and restructuring sectors.