Greg Gates Sells 1,500 Shares of LPL Financial (NASDAQ:LPLA) Stock

Key Points

• Director Greg Gates of LPL Financial sold 1,500 shares for $507,315 on September 5th, reducing his ownership by 7.85%.
• The company reported a strong quarterly earnings of $4.51 per share, exceeding expectations and reflecting a 30.8% year-over-year revenue increase to $3.84 billion.
• LPL Financial recently declared a quarterly dividend of $0.30 per share, resulting in an annual yield of 0.4% and a payout ratio of 8.21%.

LPL Financial Holdings Inc. (NASDAQ:LPLA - Get Free Report) Director Greg Gates sold 1,500 shares of the business's stock in a transaction dated Friday, September 5th. The stock was sold at an average price of $338.21, for a total transaction of $507,315.00. Following the completion of the sale, the director owned 17,620 shares in the company, valued at approximately $5,959,260.20. This trade represents a 7.85% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website.

Greg Gates also recently made the following trade(s):

• On Tuesday, August 5th, Greg Gates sold 1,500 shares of LPL Financial stock. The stock was sold at an average price of $374.05, for a total transaction of $561,075.00.
• On Thursday, July 3rd, Greg Gates sold 1,500 shares of LPL Financial stock. The stock was sold at an average price of $382.63, for a total transaction of $573,945.00.

LPL Financial Trading Up 0.8%

LPLA traded up $2.93 during trading on Friday, reaching $350.64. The company had a trading volume of 589,143 shares, compared to its average volume of 770,953. The firm's 50-day simple moving average is $367.68 and its 200 day simple moving average is $353.98. The company has a debt-to-equity ratio of 1.41, a quick ratio of 3.22 and a current ratio of 3.22. The company has a market cap of $28.05 billion, a price-to-earnings ratio of 23.98, a PEG ratio of 0.81 and a beta of 0.66. LPL Financial Holdings Inc. has a 12-month low of $205.50 and a 12-month high of $403.58.

LPL Financial (NASDAQ:LPLA - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The financial services provider reported $4.51 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.21 by $0.30. The firm had revenue of $3.84 billion for the quarter, compared to the consensus estimate of $3.77 billion. LPL Financial had a return on equity of 39.80% and a net margin of 7.91%.The business's revenue for the quarter was up 30.8% compared to the same quarter last year. During the same quarter in the previous year, the company earned $3.88 EPS. Equities research analysts anticipate that LPL Financial Holdings Inc. will post 19.35 earnings per share for the current year.

LPL Financial Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Friday, August 15th were issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 0.3%. The ex-dividend date was Friday, August 15th. LPL Financial's payout ratio is presently 8.21%.

Hedge Funds Weigh In On LPL Financial

Institutional investors have recently modified their holdings of the company. Osterweis Capital Management Inc. bought a new position in shares of LPL Financial in the second quarter valued at approximately $26,000. Summit Securities Group LLC bought a new position in LPL Financial during the first quarter worth $26,000. SBI Securities Co. Ltd. increased its position in LPL Financial by 116.2% during the second quarter. SBI Securities Co. Ltd. now owns 80 shares of the financial services provider's stock worth $30,000 after acquiring an additional 43 shares during the period. Millstone Evans Group LLC increased its position in LPL Financial by 123.1% during the first quarter. Millstone Evans Group LLC now owns 87 shares of the financial services provider's stock worth $28,000 after acquiring an additional 48 shares during the period. Finally, Bayforest Capital Ltd bought a new position in LPL Financial during the second quarter worth $34,000. Institutional investors own 95.66% of the company's stock.

Analyst Ratings Changes

Several research firms have issued reports on LPLA. Wall Street Zen downgraded LPL Financial from a "buy" rating to a "hold" rating in a report on Saturday, June 14th. Morgan Stanley restated an "overweight" rating and set a $490.00 price objective (up previously from $450.00) on shares of LPL Financial in a report on Tuesday, July 15th. Barclays cut their price objective on LPL Financial from $463.00 to $460.00 and set an "overweight" rating on the stock in a report on Tuesday, September 2nd. TD Cowen cut LPL Financial from a "strong-buy" rating to a "hold" rating and lowered their target price for the company from $406.00 to $403.00 in a research note on Wednesday, July 9th. Finally, Citigroup lowered shares of LPL Financial from a "neutral" rating to a "sell" rating and set a $80.00 price target for the company. in a research report on Wednesday, July 9th. Ten research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, LPL Financial presently has a consensus rating of "Moderate Buy" and an average price target of $391.67.

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.