LPL Financial (NASDAQ:LPLA) Stock Gets Price Target Trim from UBS Group

by · The Cerbat Gem

LPL Financial (NASDAQ:LPLA – Free Report) had its target price decreased by UBS Group from $390.00 to $369.00 in a research report sent to investors on Thursday,Benzinga reports. UBS Group currently has a buy rating on the financial services provider’s stock.

Several other equities analysts have also weighed in on LPLA. Citigroup restated a “market outperform” rating on shares of LPL Financial in a report on Monday, October 5th. Barclays dropped their target price on shares of LPL Financial from $409.00 to $372.00 and set an “overweight” rating for the company in a research report on Wednesday. JPMorgan Chase & Co. dropped their target price on shares of LPL Financial from $445.00 to $413.00 and set an “overweight” rating for the company in a research report on Wednesday. The Goldman Sachs Group reissued a “buy” rating and issued a $400.00 price target on shares of LPL Financial in a research note on Wednesday. Finally, Wolfe Research restated an “outperform” rating and issued a $454.00 price target on shares of LPL Financial in a research report on Wednesday, August 12th. Fourteen investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $400.60.

View Our Latest Report on LPLA

LPL Financial Trading Up 1.5%

Shares of LPLA opened at $283.74 on Thursday. The stock has a market cap of $22.34 billion, a PE ratio of 16.28, a PEG ratio of 0.54 and a beta of 0.53. The stock has a 50 day simple moving average of $330.25 and a 200-day simple moving average of $323.02. The company has a current ratio of 2.39, a quick ratio of 2.39 and a debt-to-equity ratio of 1.30. LPL Financial has a 1 year low of $260.15 and a 1 year high of $400.16.

LPL Financial (NASDAQ:LPLA – Get Free Report) last announced its earnings results on Tuesday, October 27th. The financial services provider reported $5.97 EPS for the quarter, topping the consensus estimate of $5.69 by $0.28. LPL Financial had a return on equity of 32.36% and a net margin of 6.83%. The business had revenue of $5.34 billion for the quarter, compared to the consensus estimate of $5.35 billion. During the same period in the previous year, the business earned $5.20 EPS. LPL Financial’s revenue was up 17.4% compared to the same quarter last year. On average, sell-side analysts predict that LPL Financial will post 23.51 EPS for the current fiscal year.

LPL Financial Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, November 30th. Stockholders of record on Thursday, November 12th will be issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, November 12th. LPL Financial’s dividend payout ratio is presently 6.88%.

Insider Activity

In other LPL Financial news, insider Katharine Reeping sold 440 shares of the firm’s stock in a transaction on Friday, September 11th. The stock was sold at an average price of $347.88, for a total transaction of $153,067.20. Following the completion of the sale, the insider owned 1,774 shares of the company’s stock, valued at $617,139.12. This trade represents a 19.87% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Greg Gates sold 4,119 shares of the company’s stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $355.38, for a total transaction of $1,463,810.22. Following the completion of the transaction, the director owned 23,602 shares in the company, valued at approximately $8,387,678.76. This trade represents a 14.86% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 4,867 shares of company stock valued at $1,726,944 over the last three months. Insiders own 0.60% of the company’s stock.

Institutional Investors Weigh In On LPL Financial

A number of large investors have recently bought and sold shares of LPLA. BlackRock Inc. purchased a new position in shares of LPL Financial during the 2nd quarter worth $1,333,189,000. Jupiter Topco LLC bought a new position in LPL Financial in the 2nd quarter worth $1,182,595,000. Janus Henderson Group PLC increased its stake in LPL Financial by 8.6% in the 1st quarter. Janus Henderson Group PLC now owns 3,666,780 shares of the financial services provider’s stock worth $1,103,079,000 after buying an additional 289,227 shares in the last quarter. Principal Financial Group Inc. raised its holdings in LPL Financial by 36.3% during the first quarter. Principal Financial Group Inc. now owns 2,636,544 shares of the financial services provider’s stock valued at $793,163,000 after acquiring an additional 702,061 shares during the period. Finally, WCM Investment Management LLC raised its holdings in LPL Financial by 0.8% during the first quarter. WCM Investment Management LLC now owns 1,734,395 shares of the financial services provider’s stock valued at $520,631,000 after acquiring an additional 12,922 shares during the period. 95.66% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting LPL Financial

Here are the key news stories impacting LPL Financial this week:

  • Positive Sentiment: LPL added Anchor Financial Partners to its broker-dealer and RIA platforms. The team reportedly serves approximately $525 million in advisory, brokerage and retirement-plan assets, adding to LPL’s advisor network and asset base. LPL Financial Welcomes Anchor Financial Partners
  • Positive Sentiment: A Bell Global Equities Fund investor letter pushed back against concerns that artificial intelligence could disrupt LPL’s advisor-driven business model, supporting the long-term value of its independent wealth-management platform. Bell Global Equities Fund on AI Disruption Concerns
  • Neutral Sentiment: UBS lowered its target from $390 to $369 but maintained a Buy rating, implying substantial upside based on the referenced share price. This indicates analysts remain divided rather than uniformly bearish. UBS LPL Financial Ratings
  • Negative Sentiment: TD Cowen, Barclays, Wells Fargo, Truist Financial and JPMorgan Chase all issued lower expectations or price targets for LPLA. TD Cowen’s revised target was reported at $356, while the cluster of reductions weakened investor sentiment and contributed to the stock’s decline. TD Cowen Cuts LPL Financial Target
  • Negative Sentiment: Recent reported insider activity showed four open-market sales and no purchases over six months, adding a modest additional cautionary signal.

LPL Financial Company Profile

(Get Free Report)

LPL Financial Holdings Inc is a financial services company that supports independent financial advisors and institutions across the United States. Through its primary subsidiary, LPL Financial LLC, the company provides brokerage, investment advisory, and custodial services, enabling advisors to serve individual investors, families, retirement plans, and other clients.

LPL’s platform includes access to brokerage and advisory products, securities clearing and custody, trading and operations support, technology, compliance services, investment research, and practice-management resources.

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