368.685 USD
-9.94 (-2.62%)
Overall LPLA gets a fundamental rating of 6 out of 10. We evaluated LPLA against 238 industry peers in the Capital Markets industry. LPLA has only an average score on both its financial health and profitability. LPLA is growing strongly while it is still valued neutral. This is a good combination! These ratings could make LPLA a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
- LPLA had positive earnings in the past year.
- LPLA had a negative operating cash flow in the past year.
- LPLA had positive earnings in each of the past 5 years.
- Each year in the past 5 years LPLA had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of LPLA (4.62%) is better than 65.97% of its industry peers.
- LPLA's Return On Equity of 16.52% is amongst the best of the industry. LPLA outperforms 80.67% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 10.03%, LPLA belongs to the top of the industry, outperforming 85.29% of the companies in the same industry.
- LPLA had an Average Return On Invested Capital over the past 3 years of 15.44%. This is significantly above the industry average of 7.27%.
- The 3 year average ROIC (15.44%) for LPLA is well above the current ROIC(10.03%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.62% | ||
| ROE | 16.52% | ||
| ROIC | 10.03% |
ROA(3y)9.04%
ROA(5y)8.01%
ROE(3y)42.14%
ROE(5y)37.98%
ROIC(3y)15.44%
ROIC(5y)14.04%
1.3 Margins
- LPLA's Profit Margin of 5.35% is on the low side compared to the rest of the industry. LPLA is outperformed by 71.01% of its industry peers.
- In the last couple of years the Profit Margin of LPLA has declined.
- LPLA's Operating Margin of 12.49% is on the low side compared to the rest of the industry. LPLA is outperformed by 63.87% of its industry peers.
- LPLA's Operating Margin has declined in the last couple of years.
- The Gross Margin of LPLA (98.94%) is better than 99.16% of its industry peers.
- LPLA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.49% | ||
| PM (TTM) | 5.35% | ||
| GM | 98.94% |
OM growth 3Y10.2%
OM growth 5Y-2.12%
PM growth 3Y12.79%
PM growth 5Y-3%
GM growth 3Y0.03%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
- Compared to 1 year ago, LPLA has about the same amount of shares outstanding.
- Compared to 5 years ago, LPLA has less shares outstanding
- LPLA has a worse debt/assets ratio than last year.
2.2 Solvency
- LPLA has an Altman-Z score of 3.37. This indicates that LPLA is financially healthy and has little risk of bankruptcy at the moment.
- LPLA's Altman-Z score of 3.37 is fine compared to the rest of the industry. LPLA outperforms 78.15% of its industry peers.
- A Debt/Equity ratio of 1.51 is on the high side and indicates that LPLA has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.51, LPLA is not doing good in the industry: 71.01% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.37 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- A Current Ratio of 2.38 indicates that LPLA has no problem at all paying its short term obligations.
- LPLA has a better Current ratio (2.38) than 77.73% of its industry peers.
- LPLA has a Quick Ratio of 2.38. This indicates that LPLA is financially healthy and has no problem in meeting its short term obligations.
- With a decent Quick ratio value of 2.38, LPLA is doing good in the industry, outperforming 77.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.38 | ||
| Quick Ratio | 2.38 |
3. Growth
3.1 Past
- LPLA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.26%, which is quite impressive.
- Measured over the past years, LPLA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.07% on average per year.
- LPLA shows a strong growth in Revenue. In the last year, the Revenue has grown by 35.19%.
- LPLA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.10% yearly.
EPS 1Y (TTM)21.26%
EPS 3Y32.96%
EPS 5Y18.07%
EPS Q2Q%25%
Revenue 1Y (TTM)35.19%
Revenue growth 3Y17.06%
Revenue growth 5Y17.1%
Sales Q2Q%47.85%
3.2 Future
- LPLA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.60% yearly.
- Based on estimates for the next years, LPLA will show a quite strong growth in Revenue. The Revenue will grow by 19.26% on average per year.
EPS Next Y23.4%
EPS Next 2Y20.19%
EPS Next 3Y20.47%
EPS Next 5Y10.6%
Revenue Next Year39.99%
Revenue Next 2Y31.99%
Revenue Next 3Y25.37%
Revenue Next 5Y19.26%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- LPLA is valuated rather expensively with a Price/Earnings ratio of 19.29.
- LPLA's Price/Earnings ratio is in line with the industry average.
- The average S&P500 Price/Earnings ratio is at 27.38. LPLA is valued slightly cheaper when compared to this.
- A Price/Forward Earnings ratio of 15.47 indicates a correct valuation of LPLA.
- LPLA's Price/Forward Earnings ratio is in line with the industry average.
- LPLA's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.29 | ||
| Fwd PE | 15.47 |
4.2 Price Multiples
- 82.77% of the companies in the same industry are more expensive than LPLA, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.01 |
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.
- LPLA has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as LPLA's earnings are expected to grow with 20.47% in the coming years.
PEG (NY)0.82
PEG (5Y)1.07
EPS Next 2Y20.19%
EPS Next 3Y20.47%
5. Dividend
5.1 Amount
- LPLA has a yearly dividend return of 0.32%, which is pretty low.
- Compared to an average industry Dividend Yield of 6.10, LPLA is paying slightly less dividend.
- With a Dividend Yield of 0.32, LPLA pays less dividend than the S&P500 average, which is at 1.84.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
5.2 History
- The dividend of LPLA has a limited annual growth rate of 3.76%.
- LPLA has been paying a dividend for at least 10 years, so it has a reliable track record.
- LPLA has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.76%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
- LPLA pays out 11.15% 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.
DP11.15%
EPS Next 2Y20.19%
EPS Next 3Y20.47%
NASDAQ:LPLA (1/20/2026, 2:54:38 PM)
368.685
-9.94 (-2.62%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)01-29 2026-01-29/amc
Inst Owners101.29%
Inst Owner Change0.04%
Ins Owners0.38%
Ins Owner Change-0.7%
Market Cap29.51B
Revenue(TTM)15.57B
Net Income(TTM)833.05M
Analysts80.95
Price Target453.53 (23.01%)
Short Float %3.43%
Short Ratio4.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
Yearly Dividend1.2
Dividend Growth(5Y)3.76%
DP11.15%
Div Incr Years0
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.13%
Min EPS beat(2)4.59%
Max EPS beat(2)13.68%
EPS beat(4)4
Avg EPS beat(4)8.02%
Min EPS beat(4)4.59%
Max EPS beat(4)13.68%
EPS beat(8)8
Avg EPS beat(8)6.87%
EPS beat(12)11
Avg EPS beat(12)5.17%
EPS beat(16)15
Avg EPS beat(16)5.89%
Revenue beat(2)2
Avg Revenue beat(2)2.94%
Min Revenue beat(2)0.76%
Max Revenue beat(2)5.13%
Revenue beat(4)3
Avg Revenue beat(4)2.11%
Min Revenue beat(4)-0.35%
Max Revenue beat(4)5.13%
Revenue beat(8)5
Avg Revenue beat(8)1.32%
Revenue beat(12)6
Avg Revenue beat(12)0.64%
Revenue beat(16)9
Avg Revenue beat(16)1.75%
PT rev (1m)2.43%
PT rev (3m)2.53%
EPS NQ rev (1m)-1.93%
EPS NQ rev (3m)5.57%
EPS NY rev (1m)0.1%
EPS NY rev (3m)5.27%
Revenue NQ rev (1m)0.18%
Revenue NQ rev (3m)9.09%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)3.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.29 | ||
| Fwd PE | 15.47 | ||
| P/S | 1.9 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 5.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.01 |
EPS(TTM)19.11
EY5.18%
EPS(NY)23.83
Fwd EY6.46%
FCF(TTM)-24.23
FCFYN/A
OCF(TTM)-17.18
OCFYN/A
SpS194.52
BVpS63.01
TBVpS-11.68
PEG (NY)0.82
PEG (5Y)1.07
Graham Number164.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.62% | ||
| ROE | 16.52% | ||
| ROCE | 13.39% | ||
| ROIC | 10.03% | ||
| ROICexc | 12.2% | ||
| ROICexgc | 33.67% | ||
| OM | 12.49% | ||
| PM (TTM) | 5.35% | ||
| GM | 98.94% | ||
| FCFM | N/A |
ROA(3y)9.04%
ROA(5y)8.01%
ROE(3y)42.14%
ROE(5y)37.98%
ROIC(3y)15.44%
ROIC(5y)14.04%
ROICexc(3y)25.8%
ROICexc(5y)23.26%
ROICexgc(3y)599.08%
ROICexgc(5y)438.7%
ROCE(3y)20.61%
ROCE(5y)18.75%
ROICexgc growth 3Y-20.71%
ROICexgc growth 5Y-23.61%
ROICexc growth 3Y-1.8%
ROICexc growth 5Y-7.03%
OM growth 3Y10.2%
OM growth 5Y-2.12%
PM growth 3Y12.79%
PM growth 5Y-3%
GM growth 3Y0.03%
GM growth 5Y0.02%
F-Score2
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.03 | ||
| Cap/Depr | 97.74% | ||
| Cap/Sales | 3.62% | ||
| Interest Coverage | 5.64 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.38 | ||
| Quick Ratio | 2.38 | ||
| Altman-Z | 3.37 |
F-Score2
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)115.77%
Cap/Depr(5y)105.75%
Cap/Sales(3y)4.04%
Cap/Sales(5y)3.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.26%
EPS 3Y32.96%
EPS 5Y18.07%
EPS Q2Q%25%
EPS Next Y23.4%
EPS Next 2Y20.19%
EPS Next 3Y20.47%
EPS Next 5Y10.6%
Revenue 1Y (TTM)35.19%
Revenue growth 3Y17.06%
Revenue growth 5Y17.1%
Sales Q2Q%47.85%
Revenue Next Year39.99%
Revenue Next 2Y31.99%
Revenue Next 3Y25.37%
Revenue Next 5Y19.26%
EBIT growth 1Y18.72%
EBIT growth 3Y29%
EBIT growth 5Y14.62%
EBIT Next Year39.34%
EBIT Next 3Y26.57%
EBIT Next 5Y18.07%
FCF growth 1Y-987.72%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-810.69%
OCF growth 3Y-15.07%
OCF growth 5Y-14.95%
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 19.29 and the Price/Book (PB) ratio is 5.85.
How financially healthy is LPL FINANCIAL HOLDINGS INC?
The financial health rating of LPL FINANCIAL HOLDINGS INC (LPLA) is 5 / 10.