Hamilton Lane (HLNE) AI Stock Analysis

• Market Cap: $8.59B
• Dividend Yield: 1.3%
• Average Volume (3M): 382.19K
• Price to Earnings (P/E): 29.7
• Beta (1Y): 1.24
• Revenue Growth: 10.66%
• EPS Growth: 22.13%
• Country: US
• Employees: 700
• Sector: Financial
• Sector Strength: 72
• Industry: Asset Management
• EPS (TTM): 1.31
• Shares Outstanding: 43,500,458
• 10 Day Avg. Volume: 367,876
• 30 Day Avg. Volume: 382,186
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 11.59
• Enterprise Value/Gross Profit: 18.86
• Enterprise Value/Ebitda: 25.41
• 1Y Price Target: $159.80
• Price Target Upside: 3.42% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 74 Outperform
• Price Target: $175.00 ▲(13.25% Upside)

Hamilton Lane's strong financial performance and positive earnings call are the most significant factors contributing to the score. While technical analysis and valuation present some concerns, the company's growth in assets and strategic initiatives provide a solid foundation for future performance.

Positive Factors

Earnings

Hamilton Lane Inc. reported adjusted EPS of $1.21, exceeding analyst expectations.

Fee Performance

Fee-related performance fees were higher than anticipated, contributing positively to the quarter's results.

Negative Factors

Earnings Miss

The earnings miss was due to lower fee-related earnings and lower than expected incentive fees.

Fluctuating Expenses

Management noted ongoing fluctuations in quarterly expenses which could impact future financial performance.

Hamilton Lane Business Overview & Revenue Model

Company Description

Hamilton Lane Incorporated is an investment firm specializing in direct and fund of fund investments. It provides following services: separate accounts (customized to each individual client and structured as single client vehicles); specialized strategies (fund-of-funds, secondaries, co-investments, taft-hartley, distribution management); advisory relationships (including due diligence, strategic portfolio planning, monitoring and reporting services); and reporting and analytics solutions. For direct investments, the firm invests in early, mid and late venture, mature companies, growth equity, emerging growth, distressed debt, later stage, turnarounds, bridge financing, mezzanine financing, and buyouts in middle market companies. For fund of fund investments, it invests in mezzanine, venture capital, private equity, turnaround, secondary investments, real estate, and special situation funds. The firm invests in real estate investments. It also invest in technology, healthcare, education, natural resources, energy and essential consumer goods sectors, cleantech, and environment, community development, and financial empowerment. It invests in private equity markets in North America, Latin America, United States, Western Europe, Middle East, Africa, United Kingdom, Asia, Japan, and Australia. The firm prefer to invest $1 million to $100 million in companies. It prefers to have majority stake in companies. Hamilton Lane Incorporated was founded in 1991 and is based in Conshohocken, Pennsylvania with additional offices across Europe, North America, and Asia.

How the Company Makes Money

Hamilton Lane generates revenue primarily through management fees and performance fees associated with the private markets funds it manages. The management fees are typically calculated as a percentage of the assets under management (AUM), providing a stable income stream as the firm grows its client base and AUM. Additionally, the firm earns performance fees, also known as carried interest, based on the investment returns generated for its clients above a specified benchmark, which can significantly enhance profitability during strong market performance. The company also engages in advisory services, providing strategic consulting and investment-related services to clients, which adds another layer of revenue. Strategic partnerships with other investment firms and institutional investors further bolster Hamilton Lane's market position and contribute to its earnings, as these collaborations can lead to increased deal flow and co-investment opportunities.

Hamilton Lane Financial Statement Overview

Summary

Hamilton Lane maintains a strong financial position with solid profitability and efficient cash flow management. Despite a slight decline in revenue growth, the company demonstrates robust margins and effective leverage management.

Income Statement

Hamilton Lane demonstrates strong profitability with a consistent gross profit margin around 61-64% and a solid net profit margin of approximately 30%. However, the recent TTM revenue shows a slight decline of 2.9%, indicating potential challenges in revenue growth. Despite this, the EBIT and EBITDA margins remain robust, reflecting efficient operational management.

Balance Sheet

The company's balance sheet is stable with a moderate debt-to-equity ratio around 0.48-0.70, suggesting manageable leverage. Return on equity is strong at approximately 31%, indicating effective use of equity to generate profits. The equity ratio is healthy, supporting financial stability, although the slight increase in debt warrants monitoring.

Cash Flow

Hamilton Lane shows positive cash flow dynamics with a significant 16.7% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is over 1, indicating good cash conversion. The free cash flow to net income ratio is also strong, reflecting efficient cash management. However, fluctuations in free cash flow growth in prior periods suggest potential volatility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	692.19M	712.96M	553.84M	528.75M	367.92M	341.63M
Gross Profit	425.20M	438.47M	352.35M	340.29M	246.16M	205.32M
EBITDA	315.64M	325.84M	301.02M	247.48M	175.06M	159.86M
Net Income	212.20M	217.42M	140.86M	109.12M	145.99M	98.02M
Balance Sheet
Total Assets	1.80B	1.69B	1.27B	1.14B	1.29B	1.14B
Cash, Cash Equivalents and Short-Term Investments	315.88M	277.27M	114.63M	111.75M	72.17M	87.34M
Total Debt	365.49M	368.32M	275.19M	292.35M	253.57M	238.46M
Total Liabilities	806.99M	766.46M	595.24M	566.35M	557.46M	546.32M
Stockholders Equity	758.80M	717.28M	525.15M	415.44M	346.88M	238.13M
Cash Flow
Free Cash Flow	344.23M	311.36M	109.78M	221.84M	161.00M	168.52M
Operating Cash Flow	356.22M	323.52M	120.85M	226.59M	169.52M	188.16M
Investing Cash Flow	-229.59M	-139.81M	-122.18M	177.91M	-70.49M	-421.78M
Financing Cash Flow	24.38M	-19.62M	4.40M	-364.15M	-113.22M	270.66M

Hamilton Lane Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 154.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HLNE, the sentiment is Positive. The current price of 154.52 is above the 20-day moving average (MA) of 154.23, above the 50-day MA of 150.69, and below the 200-day MA of 156.10, indicating a neutral trend. The MACD of 0.42 indicates Positive momentum. The RSI at 51.30 is Neutral, neither overbought nor oversold. The STOCH value of 53.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HLNE.

Hamilton Lane Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CG	76 Outperform	$23.46B	18.58	23.07%	2.16%	101.10%	―
TRIN	74 Outperform	$1.12B	7.07	17.31%	12.73%	31.43%	30.85%
HLNE	74 Outperform	$8.59B	29.67	32.03%	1.30%	10.66%	22.13%
Sector *	68 Neutral	$17.84B	12.03	10.32%	3.73%	9.70%	0.76%
GCMG	64 Neutral	$2.53B	91.80	-12.68%	3.37%	15.78%	56.27%
STEP	60 Neutral	$7.40B	103.13	-88.82%	2.17%	88.68%	-494.20%
BRDG	48 Neutral	$2.55B	72.24	-18.73%	2.65%	-4.35%	-281.66%

Hamilton Lane Corporate Events

Hamilton Lane’s Mario Giannini to Step Down

On June 18, 2025, Mario L. Giannini, Executive Co-Chairman of Hamilton Lane, announced he will not seek re-election to the Board of Directors at the 2025 Annual Meeting of Stockholders. His decision is not due to any disagreements with the company, and he will continue his role as Executive Co-Chairman, ensuring stability in the company’s leadership and operations.