LPL Financial (NASDAQ:LPLA) Trading 1% Higher – Here’s Why

LPL Financial Holdings Inc. (NASDAQ:LPLA)’s stock price was up 1% during mid-day trading on Tuesday . The company traded as high as $379.59 and last traded at $377.70. Approximately 128,223 shares changed hands during trading, a decline of 79% from the average daily volume of 604,899 shares. The stock had previously closed at $373.98.

Analyst Ratings Changes

LPLA has been the subject of several recent research reports. StockNews.com upgraded LPL Financial from a “sell” rating to a “hold” rating in a research note on Saturday, November 9th. TD Cowen upgraded LPL Financial from a “hold” rating to a “buy” rating and upped their target price for the company from $277.00 to $413.00 in a research report on Thursday, December 19th. Morgan Stanley raised their price target on LPL Financial from $379.00 to $413.00 and gave the stock an “overweight” rating in a research report on Thursday, February 6th. JPMorgan Chase & Co. upped their price objective on shares of LPL Financial from $397.00 to $405.00 and gave the stock an “overweight” rating in a research report on Friday, January 31st. Finally, The Goldman Sachs Group raised their target price on shares of LPL Financial from $271.00 to $305.00 and gave the company a “buy” rating in a report on Friday, November 1st. One research analyst has rated the stock with a sell rating, one has assigned a hold rating and twelve have issued a buy rating to the stock. Based on data from MarketBeat.com, LPL Financial currently has a consensus rating of “Moderate Buy” and an average target price of $379.17.

LPL Financial Stock Down 1.0 %

The company has a debt-to-equity ratio of 1.60, a quick ratio of 2.16 and a current ratio of 2.16. The stock’s fifty day simple moving average is $348.16 and its two-hundred day simple moving average is $288.42. The stock has a market capitalization of $28.41 billion, a P/E ratio of 27.03, a price-to-earnings-growth ratio of 0.94 and a beta of 0.87.

LPL Financial (NASDAQ:LPLA) last announced its earnings results on Thursday, January 30th. The financial services provider reported $4.25 EPS for the quarter, topping the consensus estimate of $4.01 by $0.24. LPL Financial had a return on equity of 49.41% and a net margin of 8.55%. As a group, research analysts expect that LPL Financial Holdings Inc. will post 19.35 EPS for the current fiscal year.

LPL Financial Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 25th. Investors of record on Tuesday, March 11th will be issued a $0.30 dividend. The ex-dividend date of this dividend is Tuesday, March 11th. This represents a $1.20 annualized dividend and a yield of 0.32%. LPL Financial’s payout ratio is 8.55%.

Insider Buying and Selling at LPL Financial

In related news, Director Aneri Jambusaria sold 305 shares of the company’s stock in a transaction dated Thursday, December 5th. The stock was sold at an average price of $331.94, for a total transaction of $101,241.70. Following the sale, the director now owns 3,920 shares in the company, valued at $1,301,204.80. This represents a 7.22 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Matthew J. Audette sold 28,777 shares of LPL Financial stock in a transaction that occurred on Wednesday, February 5th. The stock was sold at an average price of $365.14, for a total value of $10,507,633.78. Following the completion of the sale, the chief financial officer now owns 13,663 shares of the company’s stock, valued at approximately $4,988,907.82. The trade was a 67.81 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 1.30% 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. Graney & King LLC bought a new position in shares of LPL Financial during the 4th quarter worth about $30,000. Ashton Thomas Securities LLC acquired a new position in LPL Financial during the 3rd quarter worth approximately $31,000. Fourth Dimension Wealth LLC bought a new position in LPL Financial in the fourth quarter worth approximately $40,000. Itau Unibanco Holding S.A. acquired a new stake in LPL Financial in the fourth quarter valued at approximately $42,000. Finally, Brooklyn Investment Group bought a new stake in shares of LPL Financial during the third quarter valued at approximately $43,000. 95.66% of the stock is currently owned by institutional investors and hedge funds.

LPL Financial Company Profile

LPL Financial Holdings Inc, together with its subsidiaries, provides an integrated platform of brokerage and investment advisory services to independent financial advisors and financial advisors at enterprises in the United States. Its brokerage offerings include variable and fixed annuities, mutual funds, equities, fixed income, alternative investments, retirement and 529 education savings plans, and insurance.