Stenger Family Office LLC Sells 4,685 Shares of LPL Financial Holdings Inc. $LPLA

Key Points

• Stenger Family Office LLC cut its LPL Financial stake by 57.8% in the fourth quarter, selling 4,685 shares and leaving it with 3,427 shares worth about $1.224 million.
• Despite the sale, institutional ownership remains very high, with hedge funds and other institutions continuing to make large moves in LPL Financial and owning 95.66% of the stock overall.
• LPL Financial recently beat earnings expectations with Q1 EPS of $5.60 versus $5.49 estimated, and analysts still view the stock favorably with a consensus “Moderate Buy” rating and average target price of $398.86.

Stenger Family Office LLC lowered its holdings in shares of LPL Financial Holdings Inc. (NASDAQ:LPLA - Free Report) by 57.8% in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 3,427 shares of the financial services provider's stock after selling 4,685 shares during the period. Stenger Family Office LLC's holdings in LPL Financial were worth $1,224,000 at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in the business. Capital World Investors lifted its stake in LPL Financial by 15,960.1% in the third quarter. Capital World Investors now owns 2,628,551 shares of the financial services provider's stock valued at $874,493,000 after buying an additional 2,612,184 shares during the period. Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in shares of LPL Financial during the 4th quarter worth approximately $450,493,000. M&T Bank Corp increased its stake in shares of LPL Financial by 27,955.5% in the 4th quarter. M&T Bank Corp now owns 1,141,019 shares of the financial services provider's stock valued at $407,538,000 after acquiring an additional 1,136,952 shares in the last quarter. Norges Bank bought a new stake in shares of LPL Financial in the 4th quarter valued at $371,616,000. Finally, Dodge & Cox increased its stake in shares of LPL Financial by 23.2% in the 3rd quarter. Dodge & Cox now owns 3,329,255 shares of the financial services provider's stock valued at $1,107,610,000 after acquiring an additional 627,546 shares in the last quarter. 95.66% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on the stock. Jefferies Financial Group cut their target price on shares of LPL Financial from $464.00 to $383.00 and set a "buy" rating on the stock in a research note on Monday, April 6th. JPMorgan Chase & Co. decreased their price target on shares of LPL Financial from $396.00 to $390.00 and set an "overweight" rating for the company in a research note on Friday, May 1st. Keefe, Bruyette & Woods began coverage on shares of LPL Financial in a report on Wednesday, April 8th. They set an "outperform" rating and a $350.00 price objective on the stock. Morgan Stanley cut their price objective on shares of LPL Financial from $447.00 to $374.00 and set an "overweight" rating on the stock in a research report on Friday, April 10th. Finally, William Blair restated an "outperform" rating on shares of LPL Financial in a research note on Thursday, June 4th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $398.86.

Insiders Place Their Bets

In related news, CFO Matthew J. Audette sold 1,110 shares of the firm's stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $330.01, for a total value of $366,311.10. Following the transaction, the chief financial officer owned 19,803 shares of the company's stock, valued at approximately $6,535,188.03. This trade represents a 5.31% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.60% of the company's stock.

LPL Financial Stock Performance

Shares of LPLA stock opened at $293.95 on Friday. The firm has a market capitalization of $23.51 billion, a PE ratio of 26.25, a price-to-earnings-growth ratio of 0.61 and a beta of 0.50. The firm has a fifty day simple moving average of $301.84 and a two-hundred day simple moving average of $327.85. The company has a current ratio of 2.56, a quick ratio of 2.56 and a debt-to-equity ratio of 1.26. LPL Financial Holdings Inc. has a 12 month low of $260.15 and a 12 month high of $403.58.

LPL Financial (NASDAQ:LPLA - Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The financial services provider reported $5.60 earnings per share for the quarter, beating analysts' consensus estimates of $5.49 by $0.11. The firm had revenue of $4.94 billion for the quarter, compared to analyst estimates of $4.98 billion. LPL Financial had a net margin of 4.93% and a return on equity of 31.26%. The business's quarterly revenue was up 34.6% compared to the same quarter last year. During the same period last year, the firm earned $5.15 earnings per share. Analysts forecast that LPL Financial Holdings Inc. will post 22.98 EPS for the current fiscal year.

LPL Financial Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, June 4th. Investors of record on Thursday, May 21st were issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date was Thursday, May 21st. LPL Financial's dividend payout ratio is currently 10.71%.

LPL Financial Profile

LPL Financial NASDAQ: LPLA is a U.S.-focused financial services firm that provides brokerage, custodial and advisory platforms to independent financial advisors, registered investment advisers and institutions. Operating primarily as an independent broker-dealer and custodian, the company supports a network of advisors with the operational, compliance and clearing infrastructure needed to manage client accounts and deliver investment advice outside of traditional wirehouse models.

The firm's product and service offerings include trade execution and clearing, custody services, retirement plan services, model portfolio and advisory platforms, wealth management technology, investment research and product access across equities, fixed income, mutual funds, exchange-traded funds and insurance and annuity solutions.

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