(LPLA) LPL Financial Holdings - Overview
Sector: Financial Services | Industry: Capital Markets | Exchange: NASDAQ (USA) | Market Cap: 22.858m USD | Total Return: -28.7% in 12m
Avg Turnover: 299M
EPS Trend: 88.1%
Qual. Beats: -1
Rev. Trend: 98.7%
Qual. Beats: 0
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
LPL Financial Holdings Inc. operates as a leading independent broker-dealer and investment advisory platform in the United States. The firm provides a comprehensive suite of financial products, including annuities, mutual funds, equities, and alternative investments, alongside fee-based advisory platforms and retirement plan solutions.
The company serves independent financial advisors and financial institutions by providing necessary infrastructure, such as custodial services, portfolio rebalancing tools, and compliance oversight. As part of the Investment Banking & Brokerage sector, LPL’s business model relies on a mix of commission-based transactions and recurring asset-based fees, benefiting from the ongoing industry shift toward independent advisory models over traditional wirehouse structures.
For more detailed insights into the companys valuation and performance metrics, consider exploring the data available on ValueRay.
Founded in 1989 and headquartered in San Diego, the firm also offers specialized services such as insurance brokerage, trust management, and technology products designed for practice management and investment analytics.
- Interest rate fluctuations impact net interest income from client cash sweep programs
- Strategic acquisitions and advisor recruitment drive total assets under management growth
- Market volatility and equity performance influence asset-based advisory fee revenue
- Rising operational costs and regulatory compliance spending pressure adjusted EBITDA margins
- Shift toward fee-based advisory models stabilizes long-term recurring revenue streams
| Net Income: 900.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -2.35 > 1.0 |
| NWC/Revenue: 29.20% < 20% (prev 30.19%; Δ -0.99% < -1%) |
| CFO/TA -0.03 > 3% & CFO -573.9m > Net Income 900.9m |
| Net Debt (5.22b) to EBITDA (2.30b): 2.27 < 3 |
| Current Ratio: 2.46 > 1.5 & < 3 |
| Outstanding Shares: last quarter (80.4m) vs 12m ago 7.10% < -2% |
| Gross Margin: 23.56% > 18% (prev 0.27%; Δ 2.33k% > 0.5%) |
| Asset Turnover: 111.3% > 50% (prev 94.70%; Δ 16.64% > 0%) |
| Interest Coverage Ratio: 3.91 > 6 (EBITDA TTM 2.30b / Interest Expense TTM 417.8m) |
| A: 0.28 (Total Current Assets 8.97b - Total Current Liabilities 3.64b) / Total Assets 18.8b |
| B: 0.33 (Retained Earnings 6.17b / Total Assets 18.8b) |
| C: 0.10 (EBIT TTM 1.63b / Avg Total Assets 16.4b) |
| D: 0.47 (Book Value of Equity 6.17b / Total Liabilities 13.1b) |
| Altman-Z'' = 4.09 = AA |
| DSRI: 1.06 (Receivables 6.07b/4.13b, Revenue 18.3b/13.2b) |
| GMI: 1.14 (GM 23.56% / 26.78%) |
| AQI: 1.19 (AQ_t 0.45 / AQ_t-1 0.38) |
| SGI: 1.38 (Revenue 18.3b / 13.2b) |
| TATA: 0.08 (NI 900.9m - CFO -573.9m) / TA 18.8b) |
| Beneish M = -2.39 (Cap -4..+1) = BBB |
As of May 28, 2026, the stock is trading at USD 271.46 with a total of 1,631,992 shares traded.
Over the past week, the price has changed by -5.43%,
over one month by -17.75%,
over three months by -9.45% and
over the past year by -28.70%.
LPL Financial Holdings has received a consensus analysts rating of 4.20. Therefore, it is recommended to buy LPLA.
- StrongBuy: 7
- Buy: 5
- Hold: 2
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 416.5 | 53.4% |
P/E Trailing = 25.7228
P/E Forward = 11.4811
P/S = 1.2812
P/B = 4.0165
P/EG = 0.4314
Revenue TTM = 18.3b USD
EBIT TTM = 1.63b USD
EBITDA TTM = 2.30b USD
Long Term Debt = 7.18b USD (from longTermDebt, last quarter)
Short Term Debt = 370.1m USD (from shortTermDebt, last quarter)
Debt = 8.12b USD (from shortLongTermDebtTotal, last quarter) + Leases 231.1m
Net Debt = 5.22b USD (calculated: Debt 8.12b - CCE 2.91b)
Enterprise Value = 28.1b USD (22.9b + Debt 8.12b - CCE 2.91b)
Interest Coverage Ratio = 3.91 (Ebit TTM 1.63b / Interest Expense TTM 417.8m)
EV/FCF = 27.05x (Enterprise Value 28.1b / FCF TTM 1.04b)
FCF Yield = 3.70% (FCF TTM 1.04b / Enterprise Value 28.1b)
FCF Margin = 5.69% (FCF TTM 1.04b / Revenue TTM 18.3b)
Net Margin = 4.93% (Net Income TTM 900.9m / Revenue TTM 18.3b)
Gross Margin = 23.56% ((Revenue TTM 18.3b - Cost of Revenue TTM 14.0b) / Revenue TTM)
Gross Margin QoQ = 25.23% (prev 23.69%)
Tobins Q-Ratio = 1.49 (Enterprise Value 28.1b / Total Assets 18.8b)
Interest Expense / Debt = 5.14% (Interest Expense 417.8m / Debt 8.12b)
Taxrate = 26.45% (128.2m / 484.6m)
NOPAT = 1.20b (EBIT 1.63b * (1 - 26.45%))
Current Ratio = 1.32 (Total Current Assets 8.97b / Total Current Liabilities 6.81b)
Debt / Equity = 1.43 (Debt 8.12b / totalStockholderEquity, last quarter 5.69b)
Debt / EBITDA = 2.27 (Net Debt 5.22b / EBITDA 2.30b)
Debt / FCF = 5.03 (Net Debt 5.22b / FCF TTM 1.04b)
Total Stockholder Equity = 5.29b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.49% (Net Income 900.9m / Total Assets 18.8b)
RoE = 17.04% (Net Income TTM 900.9m / Total Stockholder Equity 5.29b)
RoCE = 13.11% (EBIT 1.63b / Capital Employed (Equity 5.29b + L.T.Debt 7.18b))
RoIC = 7.55% (NOPAT 1.20b / Invested Capital 15.9b)
WACC = 9.02% (E(22.9b)/V(31.0b) * Re(10.88%) + D(8.12b)/V(31.0b) * Rd(5.14%) * (1-Tc(0.26)))
Discount Rate = 10.88% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 39.75 | Cagr: 1.13%
[DCF] Terminal Value 72.29% ; FCFF base≈1.06b ; Y1≈1.02b ; Y5≈981.5m
[DCF] Fair Price = 108.1 (EV 13.9b - Net Debt 5.22b = Equity 8.64b / Shares 80.0m; r=9.02% [WACC]; 5y FCF grow -5.47% → 2.50% )
EPS Correlation: 88.11 | EPS CAGR: 10.84% | SUE: -1.12 | # QB: -1
Revenue Correlation: 98.69 | Revenue CAGR: 27.79% | SUE: -0.59 | # QB: 0
EPS current Quarter (2026-06-30): EPS=5.42 | Chg30d=-0.22% | Revisions=-25% | Analysts=13
EPS next Quarter (2026-09-30): EPS=5.87 | Chg30d=+3.89% | Revisions=+38% | Analysts=13
EPS current Year (2026-12-31): EPS=23.20 | Chg30d=+1.53% | Revisions=+5% | GrowthEPS=+15.5% | GrowthRev=+21.1%
EPS next Year (2027-12-31): EPS=28.45 | Chg30d=+0.67% | Revisions=+11% | GrowthEPS=+22.7% | GrowthRev=+13.2%
[Analyst] Revisions Ratio: +38%