LPL Financial (NASDAQ:LPLA) Cut to “Sell” at StockNews.com

StockNews.com lowered shares of LPL Financial (NASDAQ:LPLA) from a hold rating to a sell rating in a research note released on Monday.

Several other research analysts also recently commented on LPLA. Wells Fargo & Company lifted their target price on shares of LPL Financial from $390.00 to $405.00 and gave the stock an “overweight” rating in a report on Friday, January 31st. Keefe, Bruyette & Woods raised their price target on shares of LPL Financial from $390.00 to $405.00 and gave the stock an “outperform” rating in a research report on Friday, January 31st. JMP Securities restated a “market outperform” rating and issued a $435.00 price target on shares of LPL Financial in a research report on Friday, January 31st. Citigroup raised their price target on shares of LPL Financial from $310.00 to $385.00 and gave the stock a “buy” rating in a research report on Friday, January 10th. Finally, TD Cowen upgraded shares of LPL Financial from a “hold” rating to a “buy” rating and raised their price target for the stock from $277.00 to $413.00 in a research report on Thursday, December 19th. Two equities research analysts have rated the stock with a sell rating and twelve have given a buy rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $379.17.

LPL Financial Stock Performance

Shares of LPLA opened at $328.29 on Monday. The company has a market capitalization of $24.52 billion, a PE ratio of 23.38, a price-to-earnings-growth ratio of 0.94 and a beta of 0.82. LPL Financial has a one year low of $187.19 and a one year high of $384.04. The company has a debt-to-equity ratio of 1.60, a current ratio of 2.16 and a quick ratio of 2.16. The company’s fifty day moving average price is $352.19 and its 200 day moving average price is $305.00.

LPL Financial (NASDAQ:LPLA) last announced its earnings results on Thursday, January 30th. The financial services provider reported $4.25 EPS for the quarter, topping the consensus estimate of $4.01 by $0.24. LPL Financial had a net margin of 8.55% and a return on equity of 49.41%. As a group, analysts expect that LPL Financial will post 19.35 earnings per share for the current year.

LPL Financial Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, March 25th. Stockholders of record on Tuesday, March 11th will be given a dividend of $0.30 per share. The ex-dividend date is Tuesday, March 11th. This represents a $1.20 annualized dividend and a dividend yield of 0.37%. LPL Financial’s dividend payout ratio (DPR) is currently 8.55%.

Insider Activity

In related news, Director Marc Eliot Cohen sold 1,100 shares of LPL Financial stock in a transaction dated Wednesday, February 26th. The shares were sold at an average price of $365.85, for a total transaction of $402,435.00. Following the completion of the transaction, the director now directly owns 4,075 shares of the company’s stock, valued at $1,490,838.75. This trade represents a 21.26 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Matthew J. Audette sold 28,777 shares of LPL Financial stock in a transaction dated Wednesday, February 5th. The shares were sold at an average price of $365.14, for a total transaction of $10,507,633.78. Following the transaction, the chief financial officer now directly owns 13,663 shares of the company’s stock, valued at $4,988,907.82. This represents a 67.81 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 34,465 shares of company stock worth $12,562,070. Corporate insiders own 1.30% of the company’s stock.

Hedge Funds Weigh In On LPL Financial

Several institutional investors have recently added to or reduced their stakes in the company. Anchor Investment Management LLC lifted its holdings in LPL Financial by 0.3% during the 4th quarter. Anchor Investment Management LLC now owns 9,697 shares of the financial services provider’s stock valued at $3,166,000 after purchasing an additional 28 shares during the last quarter. Colonial Trust Co SC raised its stake in shares of LPL Financial by 6.1% in the fourth quarter. Colonial Trust Co SC now owns 505 shares of the financial services provider’s stock worth $165,000 after acquiring an additional 29 shares during the last quarter. Wealth Alliance raised its stake in shares of LPL Financial by 2.1% in the fourth quarter. Wealth Alliance now owns 1,483 shares of the financial services provider’s stock worth $484,000 after acquiring an additional 30 shares during the last quarter. United Capital Financial Advisors LLC raised its stake in shares of LPL Financial by 2.6% in the fourth quarter. United Capital Financial Advisors LLC now owns 1,203 shares of the financial services provider’s stock worth $393,000 after acquiring an additional 31 shares during the last quarter. Finally, Sanchez Wealth Management Group raised its stake in shares of LPL Financial by 2.1% in the fourth quarter. Sanchez Wealth Management Group now owns 1,686 shares of the financial services provider’s stock worth $551,000 after acquiring an additional 35 shares during the last quarter. 95.66% of the stock is owned by institutional investors.

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.