Q: Do you think some consolidation is due in HPS or have there been fundamental shifts that explain the trajectory and can be sustained?
5i Research Answer:
It is always hard to predict the price of a winning stock, especially after it crosses $1B market cap, which HPS.A has done. New, larger investors are likely looking at it for the first time now, and valuation multiples could still increase if they like what they see (and we think they will). Growth has certainly improved on a fundamental basis in the past couple of years.