In the last three months, 13 analysts have published ratings on LPL Finl Hldgs (NASDAQ:LPLA), offering a diverse range of perspectives from bullish to bearish.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 5 | 3 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 2 | 2 | 1 | 0 | 0 |
| 3M Ago | 3 | 2 | 2 | 0 | 0 |
Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $292.92, along with a high estimate of $378.00 and a low estimate of $235.00. This current average has increased by 3.48% from the previous average price target of $283.08.
Interpreting Analyst Ratings: A Closer Look
The standing of LPL Finl Hldgs among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Benjamin Budish | Barclays | Raises | Overweight | $378.00 | $311.00 |
| Alexander Blostein | Goldman Sachs | Raises | Buy | $305.00 | $271.00 |
| Christopher Allen | Citigroup | Raises | Buy | $310.00 | $285.00 |
| Benjamin Budish | Barclays | Raises | Overweight | $311.00 | $273.00 |
| Bill Kirk | TD Cowen | Raises | Hold | $277.00 | $271.00 |
| Michael Cyprys | Morgan Stanley | Raises | Overweight | $309.00 | $303.00 |
| Devin Ryan | JMP Securities | Maintains | Market Outperform | $310.00 | $310.00 |
| Michael Brown | Wells Fargo | Raises | Overweight | $285.00 | $235.00 |
| Brennan Hawken | UBS | Raises | Neutral | $250.00 | $215.00 |
| Gerald O'Hara | Jefferies | Lowers | Buy | $282.00 | $309.00 |
| Christopher Allen | Citigroup | Lowers | Buy | $285.00 | $325.00 |
| Alexander Blostein | Goldman Sachs | Lowers | Buy | $271.00 | $289.00 |
| Michael Brown | Wells Fargo | Announces | Equal-Weight | $235.00 | - |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to LPL Finl Hldgs. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of LPL Finl Hldgs compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for LPL Finl Hldgs's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
For valuable insights into LPL Finl Hldgs's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on LPL Finl Hldgs analyst ratings.
Unveiling the Story Behind LPL Finl Hldgs
LPL Financial Holdings is an independent broker/dealer that provides a platform of proprietary technology, brokerage, and investment advisory services to financial advisors and institutions. As of the end of June 2024, the company had over 23,000 advisors on its platform managing $1.5 trillion of client assets. The company doesn't have material operations outside of the United States.
LPL Finl Hldgs's Economic Impact: An Analysis
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: Over the 3 months period, LPL Finl Hldgs showcased positive performance, achieving a revenue growth rate of 23.23% as of 30 September, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Financials sector.
Net Margin: LPL Finl Hldgs's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 8.21%, the company may face hurdles in effective cost management.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 9.66%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): LPL Finl Hldgs's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.18% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: LPL Finl Hldgs's debt-to-equity ratio is below the industry average at 1.69, reflecting a lower dependency on debt financing and a more conservative financial approach.
The Significance of Analyst Ratings Explained
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
Which Stocks Are Analysts Recommending Now?
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This article was generated by Benzinga's automated content engine and reviewed by an editor.
