LPL FINANCIAL HOLDINGS INC (LPLA) Fundamental Analysis & Valuation

NASDAQ:LPLA • US50212V1008

313.56 USD
-3.36 (-1.06%)
At close: Mar 6, 2026
313.56 USD
0 (0%)
After Hours: 3/6/2026, 8:00:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This LPLA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

6

LPLA gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 241 industry peers in the Capital Markets industry. LPLA has only an average score on both its financial health and profitability. LPLA is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! This makes LPLA very considerable for growth investing!


Dividend Valuation Growth Profitability Health

6

1. LPLA Profitability Analysis

1.1 Basic Checks

  • In the past year LPLA was profitable.
  • LPLA had a negative operating cash flow in the past year.
  • Each year in the past 5 years LPLA has been profitable.
  • LPLA had a positive operating cash flow in 4 of the past 5 years.
LPLA Yearly Net Income VS EBIT VS OCF VS FCFLPLA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B

1.2 Ratios

  • LPLA's Return On Assets of 4.67% is fine compared to the rest of the industry. LPLA outperforms 65.55% of its industry peers.
  • The Return On Equity of LPLA (16.15%) is better than 78.15% of its industry peers.
  • LPLA's Return On Invested Capital of 10.62% is amongst the best of the industry. LPLA outperforms 86.13% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for LPLA is significantly above the industry average of 7.26%.
Industry RankSector Rank
ROA 4.67%
ROE 16.15%
ROIC 10.62%
ROA(3y)7.63%
ROA(5y)7.51%
ROE(3y)34.52%
ROE(5y)34.02%
ROIC(3y)13.64%
ROIC(5y)13.73%
LPLA Yearly ROA, ROE, ROICLPLA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

1.3 Margins

  • The Profit Margin of LPLA (5.08%) is worse than 68.49% of its industry peers.
  • LPLA's Profit Margin has declined in the last couple of years.
  • The Operating Margin of LPLA (12.12%) is worse than 63.87% of its industry peers.
  • In the last couple of years the Operating Margin of LPLA has remained more or less at the same level.
  • LPLA's Gross Margin of 98.95% is amongst the best of the industry. LPLA outperforms 98.74% of its industry peers.
  • In the last couple of years the Gross Margin of LPLA has remained more or less at the same level.
Industry RankSector Rank
OM 12.12%
PM (TTM) 5.08%
GM 98.95%
OM growth 3Y-6.5%
OM growth 5Y-0.58%
PM growth 3Y-19.76%
PM growth 5Y-8.79%
GM growth 3Y-0.02%
GM growth 5Y0.03%
LPLA Yearly Profit, Operating, Gross MarginsLPLA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. LPLA Health Analysis

2.1 Basic Checks

  • The number of shares outstanding for LPLA has been increased compared to 1 year ago.
  • LPLA has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, LPLA has an improved debt to assets ratio.
LPLA Yearly Shares OutstandingLPLA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M
LPLA Yearly Total Debt VS Total AssetsLPLA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • An Altman-Z score of 3.21 indicates that LPLA is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of LPLA (3.21) is better than 77.31% of its industry peers.
  • A Debt/Equity ratio of 1.36 is on the high side and indicates that LPLA has dependencies on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 1.36, LPLA is doing worse than 67.23% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 1.36
Debt/FCF N/A
Altman-Z 3.21
ROIC/WACCN/A
WACCN/A
LPLA Yearly LT Debt VS Equity VS FCFLPLA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 2.30 indicates that LPLA has no problem at all paying its short term obligations.
  • With a decent Current ratio value of 2.30, LPLA is doing good in the industry, outperforming 77.73% of the companies in the same industry.
  • A Quick Ratio of 2.30 indicates that LPLA has no problem at all paying its short term obligations.
  • LPLA has a Quick ratio of 2.30. This is in the better half of the industry: LPLA outperforms 77.73% of its industry peers.
Industry RankSector Rank
Current Ratio 2.3
Quick Ratio 2.3
LPLA Yearly Current Assets VS Current LiabilitesLPLA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. LPLA Growth Analysis

3.1 Past

  • LPLA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.76%, which is quite impressive.
  • LPLA shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.51% yearly.
  • Looking at the last year, LPLA shows a very strong growth in Revenue. The Revenue has grown by 37.18%.
  • The Revenue has been growing by 23.68% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)21.76%
EPS 3Y20.33%
EPS 5Y25.51%
EPS Q2Q%23.06%
Revenue 1Y (TTM)37.18%
Revenue growth 3Y25.47%
Revenue growth 5Y23.68%
Sales Q2Q%41.84%

3.2 Future

  • The Earnings Per Share is expected to grow by 15.88% on average over the next years. This is quite good.
  • Based on estimates for the next years, LPLA will show a quite strong growth in Revenue. The Revenue will grow by 12.22% on average per year.
EPS Next Y20.13%
EPS Next 2Y21.57%
EPS Next 3Y19.97%
EPS Next 5Y15.88%
Revenue Next Year25.08%
Revenue Next 2Y19.1%
Revenue Next 3Y10.25%
Revenue Next 5Y12.22%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
LPLA Yearly Revenue VS EstimatesLPLA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B
LPLA Yearly EPS VS EstimatesLPLA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10 20 30 40 50

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Find the best growth stocksShow best growing peers

5

4. LPLA Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 15.61, LPLA is valued correctly.
  • LPLA's Price/Earnings ratio is in line with the industry average.
  • LPLA's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.29.
  • The Price/Forward Earnings ratio is 12.99, which indicates a correct valuation of LPLA.
  • LPLA's Price/Forward Earnings is on the same level as the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 24.57. LPLA is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 15.61
Fwd PE 12.99
LPLA Price Earnings VS Forward Price EarningsLPLA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, LPLA is valued cheaper than 85.71% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 11.09
LPLA Per share dataLPLA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100 150 200

4.3 Compensation for Growth

  • LPLA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • The decent profitability rating of LPLA may justify a higher PE ratio.
  • A more expensive valuation may be justified as LPLA's earnings are expected to grow with 19.97% in the coming years.
PEG (NY)0.78
PEG (5Y)0.61
EPS Next 2Y21.57%
EPS Next 3Y19.97%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. LPLA Dividend Analysis

5.1 Amount

  • With a yearly dividend of 0.38%, LPLA is not a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 6.46, LPLA is paying slightly less dividend.
  • Compared to an average S&P500 Dividend Yield of 1.82, LPLA's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.38%

5.2 History

  • The dividend of LPLA has a limited annual growth rate of 4.26%.
  • LPLA has been paying a dividend for at least 10 years, so it has a reliable track record.
  • LPLA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.26%
Div Incr Years0
Div Non Decr Years11
LPLA Yearly Dividends per shareLPLA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8 1

5.3 Sustainability

  • LPLA pays out 10.94% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of LPLA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP10.94%
EPS Next 2Y21.57%
EPS Next 3Y19.97%
LPLA Yearly Income VS Free CF VS DividendLPLA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M 1B 1.5B
LPLA Dividend Payout.LPLA Dividend Payout, showing the Payout Ratio.LPLA Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

LPLA Fundamentals: All Metrics, Ratios and Statistics

LPL FINANCIAL HOLDINGS INC

NASDAQ:LPLA (3/6/2026, 8:00:00 PM)

After market: 313.56 0 (0%)

313.56

-3.36 (-1.06%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)01-29
Earnings (Next)05-06
Inst Owners103.52%
Inst Owner Change1.11%
Ins Owners0.41%
Ins Owner Change1.5%
Market Cap25.11B
Revenue(TTM)16.99B
Net Income(TTM)863.02M
Analysts80.95
Price Target457.7 (45.97%)
Short Float %3.61%
Short Ratio3.1
Dividend
Industry RankSector Rank
Dividend Yield 0.38%
Yearly Dividend1.22
Dividend Growth(5Y)4.26%
DP10.94%
Div Incr Years0
Div Non Decr Years11
Ex-Date03-10
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.81%
Min EPS beat(2)3.95%
Max EPS beat(2)13.68%
EPS beat(4)4
Avg EPS beat(4)7.58%
Min EPS beat(4)3.95%
Max EPS beat(4)13.68%
EPS beat(8)8
Avg EPS beat(8)7.14%
EPS beat(12)11
Avg EPS beat(12)5.23%
EPS beat(16)15
Avg EPS beat(16)5.77%
Revenue beat(2)1
Avg Revenue beat(2)1.86%
Min Revenue beat(2)-1.41%
Max Revenue beat(2)5.13%
Revenue beat(4)2
Avg Revenue beat(4)1.03%
Min Revenue beat(4)-1.41%
Max Revenue beat(4)5.13%
Revenue beat(8)4
Avg Revenue beat(8)1.04%
Revenue beat(12)5
Avg Revenue beat(12)0.45%
Revenue beat(16)8
Avg Revenue beat(16)0.94%
PT rev (1m)0.92%
PT rev (3m)4.11%
EPS NQ rev (1m)2.29%
EPS NQ rev (3m)1.55%
EPS NY rev (1m)1.63%
EPS NY rev (3m)2.4%
Revenue NQ rev (1m)0.97%
Revenue NQ rev (3m)1.71%
Revenue NY rev (1m)0.53%
Revenue NY rev (3m)0.95%
Valuation
Industry RankSector Rank
PE 15.61
Fwd PE 12.99
P/S 1.48
P/FCF N/A
P/OCF N/A
P/B 4.7
P/tB N/A
EV/EBITDA 11.09
EPS(TTM)20.09
EY6.41%
EPS(NY)24.13
Fwd EY7.7%
FCF(TTM)-12.26
FCFYN/A
OCF(TTM)-5.14
OCFYN/A
SpS212.21
BVpS66.76
TBVpS-7.88
PEG (NY)0.78
PEG (5Y)0.61
Graham Number173.71
Profitability
Industry RankSector Rank
ROA 4.67%
ROE 16.15%
ROCE 14.05%
ROIC 10.62%
ROICexc 13.16%
ROICexgc 37.64%
OM 12.12%
PM (TTM) 5.08%
GM 98.95%
FCFM N/A
ROA(3y)7.63%
ROA(5y)7.51%
ROE(3y)34.52%
ROE(5y)34.02%
ROIC(3y)13.64%
ROIC(5y)13.73%
ROICexc(3y)19.01%
ROICexc(5y)21.85%
ROICexgc(3y)64.55%
ROICexgc(5y)389.94%
ROCE(3y)18.05%
ROCE(5y)18.18%
ROICexgc growth 3Y-71.68%
ROICexgc growth 5Y-33.99%
ROICexc growth 3Y-27.27%
ROICexc growth 5Y-9.13%
OM growth 3Y-6.5%
OM growth 5Y-0.58%
PM growth 3Y-19.76%
PM growth 5Y-8.79%
GM growth 3Y-0.02%
GM growth 5Y0.03%
F-Score3
Asset Turnover0.92
Health
Industry RankSector Rank
Debt/Equity 1.36
Debt/FCF N/A
Debt/EBITDA 2.7
Cap/Depr 90.53%
Cap/Sales 3.36%
Interest Coverage 5.42
Cash Conversion N/A
Profit Quality N/A
Current Ratio 2.3
Quick Ratio 2.3
Altman-Z 3.21
F-Score3
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)110.39%
Cap/Depr(5y)106.29%
Cap/Sales(3y)3.97%
Cap/Sales(5y)3.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.76%
EPS 3Y20.33%
EPS 5Y25.51%
EPS Q2Q%23.06%
EPS Next Y20.13%
EPS Next 2Y21.57%
EPS Next 3Y19.97%
EPS Next 5Y15.88%
Revenue 1Y (TTM)37.18%
Revenue growth 3Y25.47%
Revenue growth 5Y23.68%
Sales Q2Q%41.84%
Revenue Next Year25.08%
Revenue Next 2Y19.1%
Revenue Next 3Y10.25%
Revenue Next 5Y12.22%
EBIT growth 1Y18.89%
EBIT growth 3Y17.31%
EBIT growth 5Y22.96%
EBIT Next Year100.69%
EBIT Next 3Y36.14%
EBIT Next 5Y24.06%
FCF growth 1Y-244.55%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-248.21%
OCF growth 3YN/A
OCF growth 5YN/A

LPL FINANCIAL HOLDINGS INC / LPLA FAQ

What is the fundamental rating for LPLA stock?

ChartMill assigns a fundamental rating of 6 / 10 to LPLA.


What is the valuation status of LPL FINANCIAL HOLDINGS INC (LPLA) stock?

ChartMill assigns a valuation rating of 5 / 10 to LPL FINANCIAL HOLDINGS INC (LPLA). This can be considered as Fairly Valued.


What is the profitability of LPLA stock?

LPL FINANCIAL HOLDINGS INC (LPLA) has a profitability rating of 6 / 10.


What are the PE and PB ratios of LPL FINANCIAL HOLDINGS INC (LPLA) stock?

The Price/Earnings (PE) ratio for LPL FINANCIAL HOLDINGS INC (LPLA) is 15.61 and the Price/Book (PB) ratio is 4.7.


How financially healthy is LPL FINANCIAL HOLDINGS INC?

The financial health rating of LPL FINANCIAL HOLDINGS INC (LPLA) is 5 / 10.