Hamilton Lane (HLNE) Q4 Earnings: What To Expect

Alternative investment management firm Hamilton Lane (NASDAQ:HLNE) will be reporting results this Tuesday before the bell. Here’s what to look for.

Hamilton Lane beat analysts’ revenue expectations by 12.8% last quarter, reporting revenues of $190.9 million, up 27.3% year on year. It was an incredible quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ revenue estimates.

Is Hamilton Lane a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Hamilton Lane’s revenue to grow 15.2% year on year to $193.9 million, slowing from the 34.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.33 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Hamilton Lane has missed Wall Street’s revenue estimates twice over the last two years.

Looking at Hamilton Lane’s peers in the custody bank segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Franklin Resources delivered year-on-year revenue growth of 38.3%, beating analysts’ expectations by 11.5%, and WisdomTree reported revenues up 33.4%, topping estimates by 3%.

Read our full analysis of Franklin Resources’s results here and WisdomTree’s results here.

While some of the custody bank stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.6% on average over the last month. Hamilton Lane is down 2.6% during the same time and is heading into earnings with an average analyst price target of $177.57 (compared to the current share price of $140.96).

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