Lpl Financial Stock Buy Hold or Sell Recommendation

LPLA
 Stock
  

USD 176.49  8.91  4.81%   

Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Lpl Financial Holdings is 'Strong Buy'. Macroaxis provides Lpl Financial buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LPLA positions. The advice algorithm takes into account all of Lpl Financial's available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from Lpl Financial's buy-and-hold perspective. Additionally, see Lpl Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Lpl Financial and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Lpl Financial Holdings.

Execute Lpl Financial Buy or Sell Advice

The Lpl Financial recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Lpl Financial Holdings. Macroaxis does not own or have any residual interests in Lpl Financial Holdings or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Lpl Financial's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Lpl FinancialBuy Lpl Financial
Strong Buy

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

UndervaluedDetails

Odds of Distress

LowDetails

Economic Sensitivity

Responds to the marketDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Lpl Financial Holdings has a Risk Adjusted Performance of 0.0016, Jensen Alpha of 0.214, Total Risk Alpha of 0.3335 and Treynor Ratio of (0.012669)
Macroaxis provides trade recommendations on Lpl Financial Holdings to complement and cross-verify current analyst consensus on Lpl Financial. Our advice engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Lpl Financial Holdings is not overpriced, please verify all Lpl Financial Holdings fundamentals, including its ebitda, current ratio, and the relationship between the price to sales and cash per share . Given that Lpl Financial Holdings has a price to earning of 31.90 X, we recommend you to check Lpl Financial market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Lpl Financial Trading Alerts and Improvement Suggestions

Lpl Financial generated a negative expected return over the last 90 days
Lpl Financial has high historical volatility and very poor performance
Over 99.0% of the company shares are owned by institutional investors
Latest headline from www.defenseworld.net: Pacer Trendpilot US Large Cap ETF Shares Sold by Sigma Planning Corp - Defense World

Lpl Financial current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Lpl Financial analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Lpl Financial analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price236.10
Target Median Price229.00
Target High Price271.00
Recommendation Mean2.00
Number Of Analyst Opinions10
Target Low Price220.00
Average Consensus Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Lpl Financial Returns Distribution Density

The distribution of Lpl Financial's historical returns is an attempt to chart the future uncertainty of Lpl Financial's future price movements. The chart of the probability distribution of Lpl Financial stock daily returns describes the distribution of returns around its average expected value. We use Lpl Financial Holdings price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Lpl Financial returns is essential to provide solid investment advice for Lpl Financial stock.
Mean Return-0.0074Value At Risk-4.82
Potential Upside4.36Standard Deviation2.94
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Lpl Financial historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Lpl Financial Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(111.9 M)(132.69 M)(156.39 M)(155.53 M)(215.99 M)(221.67 M)
Depreciation Amortization and Accretion122.36 M147.91 M161.11 M177.09 M230.69 M194.55 M
Net Cash Flow or Change in Cash and Cash Equivalents67.05 M(63.54 M)(90.34 M)327.26 M273.33 M294.91 M
Issuance Purchase of Equity Shares(29.32 M)(366.35 M)(460.21 M)(119.8 M)(48.04 M)(51.83 M)
Issuance Repayment of Debt Securities174.49 M(23.81 M)15.44 M(56.87 M)436.14 M470.57 M
Payment of Dividends and Other Cash Distributions(90.27 M)(88.36 M)(82.6 M)(79.1 M)(80.09 M)(86.42 M)
Net Cash Flow from Financing51.43 M(483.36 M)(533.23 M)(275.19 M)278.84 M300.85 M
Net Cash Flow from Investing(437.69 M)(161.75 M)(180.99 M)(187.5 M)(458.64 M)(470.71 M)
Net Cash Flow Investment Acquisitions and Disposals(2.97 M)(1.14 M)1.25 M(1.41 M)3.26 M3.52 M
Net Cash Flow from Operations453.31 M581.58 M623.87 M789.94 M453.13 M483.71 M
Share Based Compensation28.52 M29.16 M32.86 M33.98 M44.17 M47.66 M

Lpl Financial Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Lpl Financial or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Lpl Financial stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Lpl Financial stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.21
β
Beta against DOW1.38
σ
Overall volatility
3.01
Ir
Information ratio 0.05

Lpl Financial Volatility Alert

Lpl Financial Holdings exhibits very low volatility with skewness of -0.27 and kurtosis of -0.25. However, we advise investors to further study Lpl Financial Holdings technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Lpl Financial's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Lpl Financial's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Lpl Financial Implied Volatility

Lpl Financial's implied volatility exposes the market's sentiment of Lpl Financial Holdings stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Lpl Financial's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Lpl Financial stock will not fluctuate a lot when Lpl Financial's options are near their expiration.

Lpl Financial Fundamentals Vs Peers

Comparing Lpl Financial's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Lpl Financial's direct or indirect competition across all of the common fundamentals between Lpl Financial and the related equities. This way, we can detect undervalued stocks with similar characteristics as Lpl Financial or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Lpl Financial's fundamental indicators could also be used in its relative valuation, which is a method of valuing Lpl Financial by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Lpl Financial to competition
FundamentalsLpl FinancialPeer Average
Return On Equity29.28 %(0.31) %
Return On Asset6.82 %(0.14) %
Profit Margin5.74 %(1.27) %
Operating Margin12.64 %(5.51) %
Current Valuation16.75 B16.62 B
Shares Outstanding80.15 M571.82 M
Shares Owned by Insiders0.59 %10.09 %
Shares Owned by Institutions99.16 %39.21 %
Number of Shares Shorted1.9 M4.71 M
Price to Earning31.90 X28.72 X
Price to Book8.98 X9.51 X
Price to Sales1.80 X11.42 X
Revenue8.08 B9.43 B
Gross Profit1.75 B27.38 B
EBITDA1.02 B3.9 B
Net Income463.99 M570.98 M
Cash and Equivalents1.01 B2.7 B
Cash per Share12.61 X5.01 X
Total Debt2.72 B5.32 B
Debt to Equity1.57 %48.70 %
Current Ratio5.91 X2.16 X
Book Value Per Share20.17 X1.93 K
Cash Flow from Operations317.61 M971.22 M
Short Ratio1.58 X4.00 X
Earnings Per Share5.68 X3.12 X
Price to Earnings To Growth0.86 X4.89 X
Number of Employees6.05 M18.84 K
Beta1.02-0.15
Market Capitalization14.53 B19.03 B
Total Asset4.52 B29.47 B
Retained Earnings1.68 B9.33 B
Working Capital805.04 M1.48 B
Current Asset2.28 B9.34 B
   Acquisition by Thomas Corey E of tradable shares of Lpl Financial subject to Rule 16b-3 [view details]

About Lpl Financial Buy or Sell Advice

When is the right time to buy or sell Lpl Financial Holdings? Buying financial instruments such as Lpl Financial Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Lpl Financial investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Accounts Payable287.07 M239.39 M384.02 M313.75 M
Receivables1.37 B1.52 B2.23 B2.4 B

Use Investing Ideas to Build Portfolios

In addition to having Lpl Financial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Large Growth Thematic Idea Now

Large Growth
Large Growth Theme
Funds or Etfs that invest in stocks of large-sized companies with above-average risk and growth rate. The Large Growth theme has 40 constituents.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Large Growth Theme or any other thematic opportunities.
View All  Next Launch Large Growth
Additionally, see Lpl Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Lpl Financial Holdings information on this page should be used as a complementary analysis to other Lpl Financial's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.

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When running Lpl Financial Holdings price analysis, check to measure Lpl Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lpl Financial is operating at the current time. Most of Lpl Financial's value examination focuses on studying past and present price action to predict the probability of Lpl Financial's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Lpl Financial's price. Additionally, you may evaluate how the addition of Lpl Financial to your portfolios can decrease your overall portfolio volatility.
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Is Lpl Financial's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lpl Financial. If investors know Lpl Financial will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lpl Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.031
Market Capitalization
14.8 B
Quarterly Revenue Growth YOY
0.21
Return On Assets
0.0682
Return On Equity
0.29
The market value of Lpl Financial Holdings is measured differently than its book value, which is the value of Lpl Financial that is recorded on the company's balance sheet. Investors also form their own opinion of Lpl Financial's value that differs from its market value or its book value, called intrinsic value, which is Lpl Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lpl Financial's market value can be influenced by many factors that don't directly affect Lpl Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lpl Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine Lpl Financial value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lpl Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.