Lpl Financial Holdings Stock Buy Hold or Sell Recommendation
| LPLA Stock | USD 361.80 0.22 0.06% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding LPL Financial Holdings is 'Strong Buy'. Macroaxis provides LPL Financial buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LPLA positions.
Check out LPL Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as LPL and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards LPL Financial Holdings. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of economic analysis.
LPL |
Execute LPL Financial Buy or Sell Advice
The LPL recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on LPL Financial Holdings. Macroaxis does not own or have any residual interests in LPL Financial Holdings or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute LPL Financial's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | Solid | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
LPL Financial Trading Alerts and Improvement Suggestions
| LPL Financial has a poor financial position based on the latest SEC disclosures | |
| Over 97.0% of the company shares are owned by institutional investors | |
| Latest headline from news.google.com: Acquisition by Richard Steinmeier of 12776 shares of LPL Financial subject to Rule 16b-3 |
LPL Financial Returns Distribution Density
The distribution of LPL Financial's historical returns is an attempt to chart the uncertainty of LPL Financial's future price movements. The chart of the probability distribution of LPL Financial daily returns describes the distribution of returns around its average expected value. We use LPL Financial Holdings price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of LPL Financial returns is essential to provide solid investment advice for LPL Financial.
| Mean Return | 0.51 | Value At Risk | -2.09 | Potential Upside | 2.35 | Standard Deviation | 1.98 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of LPL Financial historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
LPL Stock Institutional Investors
| Shares | Jpmorgan Chase & Co | 2024-09-30 | 1.3 M | Darlington Partners Capital Management, Lp | 2024-09-30 | 1.1 M | Eminence Capital Llc | 2024-09-30 | 1.1 M | First Trust Advisors L.p. | 2024-09-30 | 991 K | Clarkston Capital Partners, Llc | 2024-09-30 | 977 K | Norges Bank | 2024-06-30 | 928.9 K | Td Asset Management Inc | 2024-09-30 | 906.6 K | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 870.8 K | Marshall Wace Asset Management Ltd | 2024-09-30 | 863.3 K | Vanguard Group Inc | 2024-09-30 | 7.3 M | Blackrock Inc | 2024-09-30 | 4.8 M |
LPL Financial Cash Flow Accounts
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 (projected) | ||
| Change To Inventory | (114.3M) | (242.4M) | (128.9M) | (310.2M) | (279.2M) | (265.2M) | |
| Change In Cash | 327.3M | 273.3M | 1.1B | (556.1M) | (639.5M) | (607.5M) | |
| Free Cash Flow | 634.4M | 237.1M | 1.6B | 109.3M | 125.7M | 119.4M | |
| Depreciation | 177.1M | 230.7M | 287.4M | 354.2M | 407.3M | 427.7M | |
| Other Non Cash Items | 111.7M | 180.7M | 214.8M | 287.4M | 330.5M | 347.0M | |
| Dividends Paid | 79.1M | 80.1M | 79.8M | 92.2M | 106.0M | 93.2M | |
| Capital Expenditures | 155.5M | 216.0M | 306.6M | 403.3M | 463.8M | 487.0M | |
| Net Income | 472.6M | 459.9M | 845.7M | 1.1B | 1.2B | 1.3B | |
| End Period Cash Flow | 1.8B | 2.1B | 3.1B | 2.6B | 3.0B | 3.1B | |
| Change To Netincome | (4.2M) | 19.5M | 77.5M | (12.4M) | (14.2M) | (13.5M) | |
| Investments | (1.4M) | 3.3M | (5.9M) | (757.2M) | (681.5M) | (647.4M) | |
| Change Receivables | (59.5M) | (66.6M) | (144.8M) | (61.4M) | (55.2M) | (58.0M) | |
| Net Borrowings | 16.1M | (55.7M) | 437.5M | (102.6M) | (92.3M) | (87.7M) |
LPL Financial Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to LPL Financial or Capital Markets sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that LPL Financial's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a LPL stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.47 | |
β | Beta against Dow Jones | 0.29 | |
σ | Overall volatility | 1.86 | |
Ir | Information ratio | 0.21 |
LPL Financial Volatility Alert
LPL Financial Holdings has relatively low volatility with skewness of 3.26 and kurtosis of 16.61. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure LPL Financial's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact LPL Financial's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.LPL Financial Fundamentals Vs Peers
Comparing LPL Financial's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze LPL Financial's direct or indirect competition across all of the common fundamentals between LPL Financial and the related equities. This way, we can detect undervalued stocks with similar characteristics as LPL Financial or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of LPL Financial's fundamental indicators could also be used in its relative valuation, which is a method of valuing LPL Financial by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare LPL Financial to competition |
| Fundamentals | LPL Financial | Peer Average |
| Return On Equity | 0.41 | -0.31 |
| Return On Asset | 0.0995 | -0.14 |
| Profit Margin | 0.09 % | (1.27) % |
| Operating Margin | 0.14 % | (5.51) % |
| Current Valuation | 30.2 B | 16.62 B |
| Shares Outstanding | 74.88 M | 571.82 M |
| Shares Owned By Insiders | 0.68 % | 10.09 % |
| Shares Owned By Institutions | 97.43 % | 39.21 % |
| Number Of Shares Shorted | 791.41 K | 4.71 M |
| Price To Earning | 40.90 X | 28.72 X |
| Price To Book | 9.77 X | 9.51 X |
| Price To Sales | 2.35 X | 11.42 X |
| Revenue | 10.05 B | 9.43 B |
| Gross Profit | 3.23 B | 27.38 B |
| EBITDA | 1.99 B | 3.9 B |
| Net Income | 1.07 B | 570.98 M |
| Cash And Equivalents | 1.22 B | 2.7 B |
| Cash Per Share | 15.28 X | 5.01 X |
| Total Debt | 3.96 B | 5.32 B |
| Debt To Equity | 1.36 % | 48.70 % |
| Current Ratio | 7.94 X | 2.16 X |
| Book Value Per Share | 37.05 X | 1.93 K |
| Cash Flow From Operations | 512.61 M | 971.22 M |
| Short Ratio | 1.68 X | 4.00 X |
| Earnings Per Share | 14.04 X | 3.12 X |
| Price To Earnings To Growth | 1.32 X | 4.89 X |
| Target Price | 386.53 | |
| Number Of Employees | 8.79 K | 18.84 K |
| Beta | 0.85 | -0.15 |
| Market Capitalization | 27.09 B | 19.03 B |
| Total Asset | 10.39 B | 29.47 B |
| Retained Earnings | 4.09 B | 9.33 B |
| Working Capital | 2.33 B | 1.48 B |
Note: Disposition of 305 shares by Jambusaria Aneri of LPL Financial at 331.94 subject to Rule 16b-3 [view details]
LPL Financial Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as LPL . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 19900.82 | |||
| Daily Balance Of Power | (0.04) | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 362.56 | |||
| Day Typical Price | 362.31 | |||
| Price Action Indicator | (0.87) | |||
| Period Momentum Indicator | (0.22) |
About LPL Financial Buy or Sell Advice
When is the right time to buy or sell LPL Financial Holdings? Buying financial instruments such as LPL Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having LPL Financial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Retail Thematic Idea Now
Retail
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Retail theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Retail Theme or any other thematic opportunities.
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Check out LPL Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Is Investment Banking & Brokerage space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of LPL Financial. If investors know LPL will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about LPL Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.165 | Dividend Share 1.2 | Earnings Share 14.04 | Revenue Per Share | Quarterly Revenue Growth 0.232 |
The market value of LPL Financial Holdings is measured differently than its book value, which is the value of LPL that is recorded on the company's balance sheet. Investors also form their own opinion of LPL Financial's value that differs from its market value or its book value, called intrinsic value, which is LPL Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because LPL Financial's market value can be influenced by many factors that don't directly affect LPL Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between LPL Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if LPL Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, LPL Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.