(LPLA) LPL Financial Holdings - Ratings and Ratios
Brokerage, Investment, Advisory, Annuities, MutualFunds
LPLA EPS (Earnings per Share)
LPLA Revenue
Description: LPLA LPL Financial Holdings
LPL Financial Holdings Inc. is a leading provider of brokerage and investment advisory services to independent financial advisors and institutions in the US, offering a comprehensive platform of products and services that cater to diverse client needs.
The companys extensive range of offerings includes variable and fixed annuities, mutual funds, equities, and alternative investments, as well as retirement and education savings plans, and insurance products. Its fee-based platforms provide access to a broad array of investment products, including mutual funds, ETFs, and institutional money managers.
From a financial perspective, LPL Financial Holdings Inc. has demonstrated strong performance, with a Return on Equity (ROE) of 38.39%, indicating effective utilization of shareholder capital. The companys Price-to-Earnings (P/E) ratio of 25.40 and Forward P/E of 21.23 suggest a relatively stable valuation. With a Market Capitalization of $29.35 billion, LPL Financial Holdings Inc. is a significant player in the Investment Banking & Brokerage sub-industry.
To further evaluate the companys prospects, key performance indicators (KPIs) such as revenue growth, advisor count, and client assets under management/administration can be monitored. The companys ability to attract and retain advisors, as well as its capacity to expand its product offerings and enhance its technology platforms, will be crucial in driving future growth. Additionally, metrics such as net interest margin and operating efficiency can provide insights into the companys financial health and competitiveness.
From a technical analysis perspective, the stocks current price is near its 52-week high, with support levels at $373.3, $353.6, and $321.0. The companys ATR of 10.08 (2.66%) indicates moderate volatility, and its SMA20, SMA50, and SMA200 can be used to gauge short-term and long-term trends.
LPLA Stock Overview
| Market Cap in USD | 29,967m |
| Sector | Financial Services |
| Industry | Capital Markets |
| GiC Sub-Industry | Investment Banking & Brokerage |
| IPO / Inception | 2010-11-18 |
LPLA Stock Ratings
| Growth Rating | 93.0 |
| Fundamental | 69.1% |
| Dividend Rating | 46.6 |
| Rel. Strength | 49.0 |
| Analysts | 4.20 of 5 |
| Fair Price Momentum | 461.93 USD |
| Fair Price DCF | - |
LPLA Dividends
| Dividend Yield 12m | 0.26% |
| Yield on Cost 5y | 1.10% |
| Annual Growth 5y | 3.71% |
| Payout Consistency | 92.0% |
| Payout Ratio | 6.6% |
LPLA Growth Ratios
| Growth Correlation 3m | -28.5% |
| Growth Correlation 12m | 83.8% |
| Growth Correlation 5y | 93.4% |
| CAGR 5y | 35.39% |
| CAGR/Max DD 5y | 1.07 |
| Sharpe Ratio 12m | 2.01 |
| Alpha | 59.15 |
| Beta | 1.569 |
| Volatility | 43.04% |
| Current Volume | 409.2k |
| Average Volume 20d | 746.7k |
| Stop Loss | 358.2 (-3.4%) |
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (1.12b TTM) > 0 and > 6% of Revenue (6% = 847.5m TTM) |
| FCFTA -0.02 (>2.0%) and ΔFCFTA -7.90pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 5.95% (prev 29.82%; Δ -23.87pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.01 (>3.0%) and CFO 191.5m <= Net Income 1.12b (YES >=105%, WARN >=100%) |
| Net Debt (-4.19b) to EBITDA (2.25b) ratio: -1.86 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.20 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (77.8m) change vs 12m ago 2.93% (target <= -2.0% for YES) |
| Gross Margin 43.97% (prev 33.20%; Δ 10.77pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 97.50% (prev 95.02%; Δ 2.48pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.19 (EBITDA TTM 2.25b / Interest Expense TTM 341.3m) >= 6 (WARN >= 3) |
Altman Z'' 2.66
| (A) 0.05 = (Total Current Assets 5.04b - Total Current Liabilities 4.19b) / Total Assets 17.47b |
| (B) 0.32 = Retained Earnings (Balance) 5.62b / Total Assets 17.47b |
| (C) 0.12 = EBIT TTM 1.77b / Avg Total Assets 14.49b |
| (D) 0.45 = Book Value of Equity 5.62b / Total Liabilities 12.40b |
| Total Rating: 2.66 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 69.05
| 1. Piotroski 6.0pt = 1.0 |
| 2. FCF Yield -0.92% = -0.46 |
| 3. FCF Margin -2.02% = -0.76 |
| 4. Debt/Equity 1.08 = 1.94 |
| 5. Debt/Ebitda 2.44 = -0.85 |
| 6. ROIC - WACC 6.33% = 7.91 |
| 7. RoE 32.17% = 2.50 |
| 8. Rev. Trend 82.08% = 4.10 |
| 9. Rev. CAGR 68.30% = 2.50 |
| 10. EPS Trend 17.66% = 0.44 |
| 11. EPS CAGR 7.11% = 0.71 |
As of August 13, 2025, the stock is trading at USD 370.65 with a total of 409,230 shares traded.
Over the past week, the price has changed by -1.05%, over one month by -0.35%, over three months by -1.54% and over the past year by +85.82%.
Partly, yes. Based on ValueRay´s Fundamental Analyses, LPL Financial Holdings (NASDAQ:LPLA) is currently (August 2025) ok to buy, but has to be watched. It has a ValueRay Fundamental Rating of 69.05 and therefor a somewhat positive outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of LPLA is around 461.93 USD . This means that LPLA is currently undervalued and has a potential upside of +24.63% (Margin of Safety).
LPL Financial Holdings has received a consensus analysts rating of 4.20. Therefore, it is recommended to buy LPLA.
- Strong Buy: 7
- Buy: 5
- Hold: 2
- Sell: 1
- Strong Sell: 0
According to our own proprietary Forecast Model, LPLA LPL Financial Holdings will be worth about 522.4 in August 2026. The stock is currently trading at 370.65. This means that the stock has a potential upside of +40.95%.
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 441.5 | 19.1% |
| Analysts Target Price | 398.6 | 7.5% |
| ValueRay Target Price | 522.4 | 41% |
LPLA Fundamental Data Overview
CCE Cash And Equivalents = 4.33b USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 25.3774
P/E Forward = 21.4133
P/S = 2.1781
P/B = 5.8325
P/EG = 1.7405
Beta = 0.655
Revenue TTM = 14.13b USD
EBIT TTM = 1.77b USD
EBITDA TTM = 2.25b USD
Long Term Debt = 4.45b USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.05b USD (from shortTermDebt, last fiscal year)
Debt = 5.49b USD (Calculated: Short Term 1.05b + Long Term 4.45b)
Net Debt = -4.19b USD (from netDebt column, last quarter)
Enterprise Value = 31.14b USD (29.97b + Debt 5.49b - CCE 4.33b)
Interest Coverage Ratio = 5.19 (Ebit TTM 1.77b / Interest Expense TTM 341.3m)
FCF Yield = -0.92% (FCF TTM -284.9m / Enterprise Value 31.14b)
FCF Margin = -2.02% (FCF TTM -284.9m / Revenue TTM 14.13b)
Net Margin = 7.91% (Net Income TTM 1.12b / Revenue TTM 14.13b)
Gross Margin = 43.97% ((Revenue TTM 14.13b - Cost of Revenue TTM 7.92b) / Revenue TTM)
Tobins Q-Ratio = 5.54 (Enterprise Value 31.14b / Book Value Of Equity 5.62b)
Interest Expense / Debt = 1.92% (Interest Expense 105.6m / Debt 5.49b)
Taxrate = 24.00% (from yearly Income Tax Expense: 334.3m / 1.39b)
NOPAT = 1.35b (EBIT 1.77b * (1 - 24.00%))
Current Ratio = 1.20 (Total Current Assets 5.04b / Total Current Liabilities 4.19b)
Debt / Equity = 1.08 (Debt 5.49b / last Quarter total Stockholder Equity 5.07b)
Debt / EBITDA = 2.44 (Net Debt -4.19b / EBITDA 2.25b)
Debt / FCF = -19.28 (Debt 5.49b / FCF TTM -284.9m)
Total Stockholder Equity = 3.48b (last 4 quarters mean)
RoA = 6.40% (Net Income 1.12b, Total Assets 17.47b )
RoE = 32.17% (Net Income TTM 1.12b / Total Stockholder Equity 3.48b)
RoCE = 22.37% (Ebit 1.77b / (Equity 3.48b + L.T.Debt 4.45b))
RoIC = 16.53% (NOPAT 1.35b / Invested Capital 8.15b)
WACC = 10.20% (E(29.97b)/V(35.46b) * Re(11.80%)) + (D(5.49b)/V(35.46b) * Rd(1.92%) * (1-Tc(0.24)))
Shares Correlation 5-Years: -70.0 | Cagr: -0.99%
Discount Rate = 11.80% (= CAPM, Blume Beta Adj.)
[93m Fair Price DCF = unknown (Cash Flow -284.9m)
[39m Revenue Correlation: 82.08 | Revenue CAGR: 68.30%
Revenue Growth Correlation: -58.30%
EPS Correlation: 17.66 | EPS CAGR: 7.11%
EPS Growth Correlation: 63.49%
Additional Sources for LPLA Stock
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Fund Manager Positions: Dataroma | Stockcircle