LPL Financial's (LPLA) Market Outperform Rating Reaffirmed at Citizens Jmp

Key Points

• Citizens JMP reaffirmed its “market outperform” rating on LPL Financial and maintained a $500 price target, implying roughly 56% upside from the reported $320.35 share price. The analyst consensus remains “Moderate Buy,” with an average target of $413.80.
• LPL Financial reported stronger-than-expected quarterly results, with EPS of $5.84 versus the $5.39 estimate and revenue of $5.19 billion. Revenue increased 35.2% year over year.
• Institutional ownership is substantial at 95.66%, with major investors including BlackRock and Jupiter Topco establishing new positions; meanwhile, insiders have sold 5,867 shares worth approximately $2.08 million over the past 90 days.

LPL Financial (NASDAQ:LPLA - Get Free Report)'s stock had its "market outperform" rating reiterated by analysts at Citizens Jmp in a research report issued to clients and investors on Monday, Benzinga reports. They presently have a $500.00 price objective on the financial services provider's stock. Citizens Jmp's target price points to a potential upside of 56.08% from the stock's current price.

LPLA has been the subject of a number of other research reports. Truist Financial began coverage on shares of LPL Financial in a research report on Tuesday, September 1st. They set a "hold" rating and a $389.00 target price for the company. Keefe, Bruyette & Woods increased their target price on shares of LPL Financial from $365.00 to $390.00 and gave the company an "outperform" rating in a research report on Friday, July 31st. Morgan Stanley increased their target price on shares of LPL Financial from $374.00 to $387.00 and gave the company an "overweight" rating in a research report on Friday, July 10th. Citigroup reiterated a "market outperform" rating on shares of LPL Financial in a research note on Monday. Finally, Bank of America reiterated a "buy" rating and issued a $554.00 price objective on shares of LPL Financial in a research note on Monday. Fourteen analysts have rated the stock with a Buy rating and four have given a Hold rating to the company's stock. According to data from MarketBeat, LPL Financial has a consensus rating of "Moderate Buy" and an average price target of $413.80.

LPL Financial Stock Up 1.2%

LPLA stock opened at $320.35 on Monday. The stock has a market capitalization of $25.22 billion, a P/E ratio of 25.55, a price-to-earnings-growth ratio of 0.53 and a beta of 0.53. The company has a current ratio of 2.39, a quick ratio of 2.39 and a debt-to-equity ratio of 1.30. LPL Financial has a 12 month low of $260.15 and a 12 month high of $400.16. The firm has a 50-day moving average price of $347.04 and a 200-day moving average price of $317.94.

LPL Financial (NASDAQ:LPLA - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The financial services provider reported $5.84 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $5.39 by $0.45. The business had revenue of $5.19 billion during the quarter, compared to analyst estimates of $5.04 billion. LPL Financial had a net margin of 5.13% and a return on equity of 32.20%. The firm's quarterly revenue was up 35.2% on a year-over-year basis. During the same quarter last year, the business earned $4.51 EPS. As a group, equities research analysts anticipate that LPL Financial will post 24.24 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Katharine Reeping sold 440 shares of LPL Financial stock in a transaction on Friday, September 11th. The stock was sold at an average price of $347.88, for a total transaction of $153,067.20. Following the sale, the insider directly owned 1,774 shares in the company, valued at $617,139.12. The trade was a 19.87% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Aneri Jambusaria sold 308 shares of LPL Financial stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $357.36, for a total value of $110,066.88. Following the sale, the director owned 6,107 shares in the company, valued at $2,182,397.52. The trade was a 4.80% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 5,867 shares of company stock valued at $2,079,664. 0.60% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On LPL Financial

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new stake in LPL Financial in the 2nd quarter valued at about $1,333,189,000. Jupiter Topco LLC bought a new stake in shares of LPL Financial during the second quarter valued at about $1,182,595,000. Janus Henderson Group PLC grew its stake in LPL Financial by 8.6% during the first quarter. Janus Henderson Group PLC now owns 3,666,780 shares of the financial services provider's stock valued at $1,103,079,000 after acquiring an additional 289,227 shares in the last quarter. Capital World Investors grew its stake in LPL Financial by 37.9% during the fourth quarter. Capital World Investors now owns 3,625,357 shares of the financial services provider's stock valued at $1,294,869,000 after acquiring an additional 996,806 shares in the last quarter. Finally, Principal Financial Group Inc. grew its stake in LPL Financial by 36.3% during the first quarter. Principal Financial Group Inc. now owns 2,636,544 shares of the financial services provider's stock valued at $793,163,000 after acquiring an additional 702,061 shares in the last quarter. 95.66% of the stock is currently owned by institutional investors.

About LPL Financial

LPL Financial Holdings Inc is a financial services company that provides brokerage and investment advisory services through a network of independent financial advisors. Operating primarily in the United States, the company supports advisors who serve individuals, families, businesses and retirement plan participants.

LPL Financial's platform offers access to investment products and services, including equities, bonds, mutual funds, exchange-traded funds, insurance products, annuities and alternative investments.