Nykredit A S Purchases New Shares in LPL Financial Holdings Inc. $LPLA

Key Points

• Nykredit A/S initiated a position in LPL Financial during the second quarter, purchasing 29,959 shares valued at approximately $8.4 million. Institutional investors collectively own 95.66% of the company.
• LPL Financial exceeded quarterly expectations, reporting $5.84 in EPS and $5.19 billion in revenue, with revenue up 35.2% year over year. The company also maintains a quarterly dividend of $0.30 per share.
• Analysts remain broadly positive, with 12 Buy ratings and four Holds producing a “Moderate Buy” consensus and an average price target of $407, above the reported share price of $328.09.

Nykredit A S acquired a new position in LPL Financial Holdings Inc. (NASDAQ:LPLA - Free Report) during the second quarter, according to the company in its most recent filing with the SEC. The fund acquired 29,959 shares of the financial services provider's stock, valued at approximately $8,439,000.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new stake in shares of LPL Financial during the second quarter worth about $1,333,189,000. Capital World Investors boosted its holdings in LPL Financial by 37.9% in 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 purchasing an additional 996,806 shares during the last quarter. Janus Henderson Group PLC grew its stake in LPL Financial by 9.0% during the 4th quarter. Janus Henderson Group PLC now owns 3,377,553 shares of the financial services provider's stock valued at $1,206,371,000 after purchasing an additional 280,202 shares in the last quarter. Jupiter Topco LLC purchased a new stake in LPL Financial during the 2nd quarter worth approximately $1,182,595,000. Finally, Principal Financial Group Inc. increased its holdings in LPL Financial by 36.3% during the 1st quarter. Principal Financial Group Inc. now owns 2,636,544 shares of the financial services provider's stock worth $793,163,000 after purchasing an additional 702,061 shares during the last quarter. 95.66% of the stock is owned by hedge funds and other institutional investors.

LPL Financial Price Performance

LPLA stock opened at $328.09 on Monday. The firm has a market cap of $25.83 billion, a price-to-earnings ratio of 26.16, a PEG ratio of 0.55 and a beta of 0.48. LPL Financial Holdings Inc. has a 1-year low of $260.15 and a 1-year high of $400.16. The firm has a fifty day moving average price of $350.00 and a two-hundred day moving average price of $317.38. The company has a debt-to-equity ratio of 1.30, a current ratio of 2.39 and a quick ratio of 2.39.

LPL Financial (NASDAQ:LPLA - Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The financial services provider reported $5.84 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.39 by $0.45. LPL Financial had a net margin of 5.13% and a return on equity of 32.20%. The company had revenue of $5.19 billion for the quarter, compared to the consensus estimate of $5.04 billion. During the same period last year, the firm posted $4.51 EPS. The company's revenue for the quarter was up 35.2% on a year-over-year basis. Research analysts predict that LPL Financial Holdings Inc. will post 24.06 EPS for the current year.

LPL Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Friday, August 14th were issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a yield of 0.4%. The ex-dividend date of this dividend was Friday, August 14th. LPL Financial's dividend payout ratio is 9.57%.

Wall Street Analyst Weigh In

LPLA has been the subject of several research analyst reports. JPMorgan Chase & Co. increased their target price on LPL Financial from $408.00 to $428.00 and gave the company an "overweight" rating in a research note on Friday, July 31st. Truist Financial started coverage on shares of LPL Financial in a research note on Tuesday, September 1st. They issued a "hold" rating and a $389.00 price target for the company. Keefe, Bruyette & Woods increased their price objective on shares of LPL Financial from $365.00 to $390.00 and gave the company an "outperform" rating in a research note on Friday, July 31st. Wolfe Research reiterated an "outperform" rating and set a $454.00 price objective on shares of LPL Financial in a research note on Wednesday, August 12th. Finally, William Blair reissued an "outperform" rating on shares of LPL Financial in a report on Thursday, June 4th. Twelve equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $407.00.

Insiders Place Their Bets

In other news, Director Aneri Jambusaria sold 308 shares of the 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 completion of the transaction, the director owned 6,107 shares of the company's stock, valued at approximately $2,182,397.52. This represents a 4.80% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Greg Gates sold 4,119 shares of the stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $355.38, for a total transaction of $1,463,810.22. Following the completion of the transaction, the director owned 23,602 shares of the company's stock, valued at $8,387,678.76. This represents a 14.86% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 5,867 shares of company stock valued at $2,079,664. 0.60% of the stock is owned by corporate insiders.

LPL Financial Profile

LPL Financial Holdings Inc NASDAQ: LPLA is the parent company of LPL Financial LLC, an independent broker-dealer and registered investment adviser that provides services and support to financial advisors. Rather than operating primarily through a proprietary branch network, LPL enables independent financial professionals, registered investment advisers, and advisors affiliated with banks and credit unions to operate their own practices while accessing investment products, technology, and business resources.

The company's platform supports brokerage and fee-based advisory services, retirement plan services, insurance and annuity products, alternative investments, cash management, research, compliance, and practice management.

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