Insider Trading April 2, 2026

Houlihan Lokey General Counsel Disposes of $71,700 in Class A Shares, Converts Class B Holding

Christopher Crain sold 500 Class A shares and converted 500 Class B shares as the stock trades near a 52-week low; company posts fiscal Q3 beats and files prospectus supplement

By Leila Farooq HLI
Houlihan Lokey General Counsel Disposes of $71,700 in Class A Shares, Converts Class B Holding
HLI

Houlihan Lokey General Counsel Christopher M. Crain sold 500 shares of Class A common stock on April 1, 2026, for $71,700 and simultaneously converted 500 Class B shares into Class A shares at no cost. The transaction leaves Crain with no direct Class A holdings while he retains indirect exposure through the HL Voting Trust. The move comes as HLI shares trade near a 52-week low amid recent underperformance over six months. Separately, the firm reported fiscal third-quarter results that beat expectations and filed a prospectus supplement for potential resale of up to 32,421 Class A shares.

Key Points

  • Houlihan Lokey General Counsel Christopher M. Crain sold 500 Class A shares on April 1, 2026, at $143.40 per share, totaling $71,700.
  • Crain converted 500 Class B shares into 500 Class A shares at a conversion price of $0 and now holds no Class A shares directly while indirectly holding 51,238 Class B shares through the HL Voting Trust.
  • The company beat fiscal Q3 2026 expectations with adjusted EPS of $1.94 versus $1.88 forecast and revenue of $717 million versus $696.65 million forecast; it also filed a prospectus supplement for up to 32,421 Class A shares.

Houlihan Lokey, Inc. reported an insider transaction involving its general counsel, Christopher M. Crain, who sold 500 shares of Class A Common Stock on April 1, 2026. The shares were disposed of at $143.40 apiece, producing proceeds of $71,700.

On the same date, Crain executed a conversion of 500 shares of Class B Common Stock into 500 shares of Class A Common Stock. The conversion was recorded at a price per share of $0, yielding a nominal total value of $0 for that specific conversion entry.

Following these actions, Crain holds no Class A Common Stock directly. He continues to have indirect exposure to Class B Common Stock, however, through the HL Voting Trust, where his indirect holdings are 51,238 shares of Class B Common Stock.

At the time of the sale, Houlihan Lokey shares were trading at $141.32, which the company notes is close to the 52-week low of $134.41. The stock has declined by 29% over the past six months, a trend that frames the insider activity.


Independent analysis cited by market services indicates that HLI may be undervalued at current price levels. According to InvestingPro analysis referenced in company reporting, the firm carries a Piotroski Score of 9, a metric that signals strong financial health under that scoring methodology. The company has also increased its dividend for 11 consecutive years, a streak noted in the analysis.

In separate corporate developments, Houlihan Lokey released its fiscal third-quarter results for 2026. The company posted adjusted earnings per share of $1.94, topping analyst expectations of $1.88. Revenue for the quarter reached $717 million, exceeding the forecasted $696.65 million.

Additionally, Houlihan Lokey filed a prospectus supplement with the Securities and Exchange Commission that contemplates the potential resale of up to 32,421 shares of its Class A common stock. That filing specifically includes shares that may be issued to former members of Waller Helms Advisors LLC upon conversion of Class B shares.

These disclosures outline the company’s recent financial performance, an insider sale and conversion, and a filing that could introduce additional Class A shares to the market. The documentation leaves clear the current ownership structure for Crain and the company’s recent operating results without indicating any new guidance or forward-looking commitments.

Risks

  • HLI stock is trading near its 52-week low and has declined 29% over the last six months, presenting price volatility risk for investors in the financial services and investment banking sectors.
  • The prospectus supplement for up to 32,421 shares could add supply to the market if resale occurs, which may affect share liquidity and pricing in capital markets.
  • Crain’s sale and resultant lack of direct Class A holdings could be interpreted by some market participants as a change in insider positioning, introducing perception risk for investor sentiment in the financials sector.

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