Cetera Investment Advisers Increases Position in LPL Financial Holdings Inc. (NASDAQ:LPLA)

Key Points

• Cetera Investment Advisers increased its stake in LPL Financial Holdings Inc. by 25.6% in Q1, holding 18,400 shares valued at approximately $6.01 million.
• LPL Financial reported $4.51 earnings per share for the latest quarter, exceeding analysts' expectations and reflecting a 30.8% year-over-year revenue growth.
• The company announced a quarterly dividend of $0.30 per share, representing a 0.3% dividend yield and a payout ratio of 8.21%.

Cetera Investment Advisers grew its stake in LPL Financial Holdings Inc. (NASDAQ:LPLA - Free Report) by 25.6% during the first quarter, according to its most recent 13F filing with the SEC. The firm owned 18,400 shares of the financial services provider's stock after acquiring an additional 3,747 shares during the period. Cetera Investment Advisers' holdings in LPL Financial were worth $6,019,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds have also made changes to their positions in the company. Millstone Evans Group LLC grew its holdings in shares of LPL Financial by 123.1% in the first quarter. Millstone Evans Group LLC now owns 87 shares of the financial services provider's stock valued at $28,000 after purchasing an additional 48 shares in the last quarter. Private Trust Co. NA grew its holdings in shares of LPL Financial by 234.5% in the first quarter. Private Trust Co. NA now owns 97 shares of the financial services provider's stock valued at $32,000 after purchasing an additional 68 shares in the last quarter. MassMutual Private Wealth & Trust FSB grew its holdings in LPL Financial by 63.9% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 100 shares of the financial services provider's stock worth $33,000 after acquiring an additional 39 shares in the last quarter. City Holding Co. acquired a new position in LPL Financial during the 1st quarter worth approximately $34,000. Finally, Fourth Dimension Wealth LLC acquired a new position in LPL Financial during the 4th quarter worth approximately $40,000. 95.66% of the stock is owned by hedge funds and other institutional investors.

LPL Financial Stock Performance

NASDAQ:LPLA traded up $4.12 during trading hours on Wednesday, reaching $378.06. 304,065 shares of the company's stock were exchanged, compared to its average volume of 821,571. The firm has a market capitalization of $30.24 billion, a price-to-earnings ratio of 25.84, a P/E/G ratio of 0.89 and a beta of 0.66. The company has a 50-day moving average of $378.40 and a 200 day moving average of $355.40. The company has a quick ratio of 2.31, a current ratio of 2.31 and a debt-to-equity ratio of 1.82. LPL Financial Holdings Inc. has a 1-year low of $193.22 and a 1-year high of $403.58.

LPL Financial (NASDAQ:LPLA - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The financial services provider reported $4.51 earnings per share for the quarter, topping analysts' consensus estimates of $4.21 by $0.30. The firm had revenue of $3.84 billion during the quarter, compared to analysts' expectations of $3.77 billion. LPL Financial had a net margin of 7.91% and a return on equity of 47.01%. LPL Financial's quarterly revenue was up 30.8% compared to the same quarter last year. During the same quarter in the prior year, the business earned $3.88 EPS. Research analysts anticipate that LPL Financial Holdings Inc. will post 19.35 EPS for the current year.

LPL Financial Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 29th. Investors of record on Friday, August 15th will be paid a dividend of $0.30 per share. The ex-dividend date is Friday, August 15th. This represents a $1.20 dividend on an annualized basis and a yield of 0.3%. LPL Financial's dividend payout ratio is currently 8.21%.

Analyst Ratings Changes

Several research analysts have commented on LPLA shares. Morgan Stanley reiterated an "overweight" rating and set a $490.00 price target (up previously from $450.00) on shares of LPL Financial in a report on Tuesday, July 15th. Wall Street Zen cut shares of LPL Financial from a "buy" rating to a "hold" rating in a report on Saturday, June 14th. TD Cowen cut shares of LPL Financial from a "strong-buy" rating to a "hold" rating and lowered their price target for the stock from $406.00 to $403.00 in a report on Wednesday, July 9th. Keefe, Bruyette & Woods boosted their price target on shares of LPL Financial from $425.00 to $435.00 and gave the stock an "outperform" rating in a report on Monday. Finally, Citigroup cut shares of LPL Financial from a "neutral" rating to a "sell" rating and set a $80.00 price target for the company. in a report on Wednesday, July 9th. One investment analyst has rated the stock with a sell rating, two have assigned a hold rating and ten have given a buy rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $383.58.

Insiders Place Their Bets

In related news, Director Greg Gates sold 1,500 shares of the stock in a transaction on Thursday, July 3rd. The shares were sold at an average price of $382.63, for a total transaction of $573,945.00. Following the completion of the sale, the director owned 20,620 shares in the company, valued at $7,889,830.60. This represents a 6.78% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.70% of the stock is currently owned by corporate insiders.

About LPL Financial

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.