Hamilton Lane Valuation
| HLNE Stock | USD 113.49 2.01 1.80% |
At this time, the firm appears to be overvalued. Hamilton Lane retains a regular Real Value of $103.46 per share. The prevalent price of the firm is $113.49. Our model calculates the value of Hamilton Lane from evaluating the firm fundamentals such as Return On Equity of 0.35, return on asset of 0.11, and Current Valuation of 4.66 B as well as inspecting its technical indicators and probability of bankruptcy. In general, most investors encourage purchasing undervalued assets and exiting overvalued assets since, at some point, asset prices and their ongoing real values will come together. Key fundamental drivers impacting Hamilton Lane's valuation include:
Price Book 9.5627 | Enterprise Value 4.7 B | Enterprise Value Ebitda 16.9204 | Price Sales 12.6043 | Forward PE 23.6407 |
Overvalued
Today
Please note that Hamilton Lane's price fluctuation is very steady at this time. Calculation of the real value of Hamilton Lane is based on 3 months time horizon. Increasing Hamilton Lane's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Hamilton Lane is useful when determining the fair value of the Hamilton stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Hamilton Lane. Since Hamilton Lane is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Hamilton Stock. However, Hamilton Lane's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 113.49 | Real 103.46 | Target 94.0 | Hype 113.33 | Naive 108.17 |
The real value of Hamilton Stock, also known as its intrinsic value, is the underlying worth of Hamilton Lane Company, which is reflected in its stock price. It is based on Hamilton Lane's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Hamilton Lane's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Hamilton Lane's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Hamilton Lane helps investors to forecast how Hamilton stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Hamilton Lane more accurately as focusing exclusively on Hamilton Lane's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Hamilton Lane's intrinsic value based on its ongoing forecasts of Hamilton Lane's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Hamilton Lane's closest peers. When choosing an evaluation method for Hamilton Lane, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Hamilton Lane Investments |
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Hamilton Valuation Trend
Knowing Hamilton Lane's actual value is paramount for traders to make sound investment determinations. Hamilton Lane's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Hamilton Lane's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Hamilton Lane's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Hamilton Market Cap
Hamilton Lane is one of the top stocks in market capitalization category among related companies. Market capitalization of Financials industry is currently estimated at about 9.14 Billion. Hamilton Lane totals roughly 6.22 Billion in market capitalization claiming about 68% of equities under Financials industry.Hamilton Lane Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Hamilton Lane's current stock value. Our valuation model uses many indicators to compare Hamilton Lane value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Hamilton Lane competition to find correlations between indicators driving Hamilton Lane's intrinsic value. More Info.Hamilton Lane is one of the top stocks in price to earning category among related companies. It is rated # 5 in price to book category among related companies fabricating about 0.32 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Hamilton Lane is roughly 3.14 . As of April 25, 2024, Price To Book Ratio is expected to decline to 5.68. Comparative valuation analysis is a catch-all model that can be used if you cannot value Hamilton Lane by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Hamilton Lane's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Hamilton Lane's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Hamilton Lane's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Hamilton Lane and how it compares across the competition.
About Hamilton Lane Valuation
The stock valuation mechanism determines the current worth of Hamilton Lane on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Hamilton Lane. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Hamilton Lane based exclusively on its fundamental and basic technical indicators. By analyzing Hamilton Lane's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Hamilton Lane's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Hamilton Lane. We calculate exposure to Hamilton Lane's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Hamilton Lane's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 391.3 M | 410.9 M | |
| Pretax Profit Margin | 0.46 | 0.41 | |
| Operating Profit Margin | 0.43 | 0.40 | |
| Net Profit Margin | 0.32 | 0.27 | |
| Gross Profit Margin | 0.58 | 0.49 |
8 Steps to conduct Hamilton Lane's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Hamilton Lane's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Hamilton Lane's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Hamilton Lane's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Hamilton Lane's revenue streams: Identify Hamilton Lane's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Hamilton Lane's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Hamilton Lane's growth potential: Evaluate Hamilton Lane's management, business model, and growth potential.
- Determine Hamilton Lane's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Hamilton Lane's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Hamilton Lane represents a small ownership stake in the entity. As a stockholder of Hamilton, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Hamilton Lane Dividends Analysis For Valuation
At present, Hamilton Lane's Dividend Paid And Capex Coverage Ratio is projected to slightly decrease based on the last few years of reporting. . At present, Hamilton Lane's Retained Earnings Total Equity is projected to increase significantly based on the last few years of reporting. The current year's Earnings Yield is expected to grow to 0.11, whereas Price Earnings Ratio is forecasted to decline to 16.00.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 156.2 M | 78.3 M | |
| Dividend Yield | 0.06 | 0.11 | |
| Dividend Payout Ratio | 0.83 | 0.79 | |
| Dividend Paid And Capex Coverage Ratio | 1.99 | 2.09 |
There are various types of dividends Hamilton Lane can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Hamilton shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Hamilton Lane directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Hamilton pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Hamilton Lane by the value of the dividends paid out.
Hamilton Lane Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Hamilton Lane does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 53.7 M | |
| Quarterly Earnings Growth Y O Y | 0.643 | |
| Forward Price Earnings | 23.6407 |
Hamilton Lane Current Valuation Indicators
Valuation refers to the process of determining the present value of Hamilton Lane and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Hamilton we look at many different elements of the entity such as Hamilton's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Hamilton Lane's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Hamilton Lane's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Hamilton Lane, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Hamilton Lane's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Hamilton Lane's worth.When determining whether Hamilton Lane is a strong investment it is important to analyze Hamilton Lane's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Hamilton Lane's future performance. For an informed investment choice regarding Hamilton Stock, refer to the following important reports: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Hamilton Lane. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors. For information on how to trade Hamilton Stock refer to our How to Trade Hamilton Stock guide.You can also try the Equity Valuation module to check real value of public entities based on technical and fundamental data.
Complementary Tools for Hamilton Stock analysis
When running Hamilton Lane's price analysis, check to measure Hamilton Lane's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Hamilton Lane is operating at the current time. Most of Hamilton Lane's value examination focuses on studying past and present price action to predict the probability of Hamilton Lane's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hamilton Lane's price. Additionally, you may evaluate how the addition of Hamilton Lane to your portfolios can decrease your overall portfolio volatility.
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Is Hamilton Lane's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Hamilton Lane. If investors know Hamilton will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Hamilton Lane listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.643 | Dividend Share 1.735 | Earnings Share 3.25 | Revenue Per Share 13.032 | Quarterly Revenue Growth (0.01) |
The market value of Hamilton Lane is measured differently than its book value, which is the value of Hamilton that is recorded on the company's balance sheet. Investors also form their own opinion of Hamilton Lane's value that differs from its market value or its book value, called intrinsic value, which is Hamilton Lane's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Hamilton Lane's market value can be influenced by many factors that don't directly affect Hamilton Lane's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Hamilton Lane's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hamilton Lane is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hamilton Lane's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.