JMP Securities Forecasts Strong Price Appreciation for LPL Financial (NASDAQ:LPLA) Stock

LPL Financial (NASDAQ:LPLA) had its price target raised by JMP Securities from $420.00 to $440.00 in a research report released on Friday,Benzinga reports. They currently have a market outperform rating on the financial services provider’s stock.

Other analysts have also recently issued research reports about the company. UBS Group boosted their target price on LPL Financial from $390.00 to $420.00 and gave the stock a “buy” rating in a report on Friday, January 31st. Citigroup cut their price objective on LPL Financial from $415.00 to $400.00 and set a “buy” rating on the stock in a research note on Wednesday, April 2nd. Wells Fargo & Company decreased their target price on LPL Financial from $405.00 to $342.00 and set an “overweight” rating for the company in a research note on Tuesday, April 8th. JPMorgan Chase & Co. lifted their price target on LPL Financial from $397.00 to $405.00 and gave the company an “overweight” rating in a report on Friday, January 31st. Finally, StockNews.com lowered LPL Financial from a “hold” rating to a “sell” rating in a research note on Wednesday, March 26th. One research analyst has rated the stock with a sell rating and twelve have given a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $371.50.

LPL Financial Trading Up 6.3%

Shares of LPL Financial stock opened at $360.42 on Friday. The company has a 50-day moving average of $320.64 and a two-hundred day moving average of $329.85. The stock has a market cap of $28.60 billion, a PE ratio of 25.67, a price-to-earnings-growth ratio of 0.94 and a beta of 0.65. LPL Financial has a 12-month low of $187.19 and a 12-month high of $384.04. The company has a current ratio of 2.16, a quick ratio of 2.16 and a debt-to-equity ratio of 1.60.

LPL Financial (NASDAQ:LPLA) last released its earnings results on Thursday, May 8th. The financial services provider reported $5.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.54 by $0.61. LPL Financial had a net margin of 8.55% and a return on equity of 49.41%. The company had revenue of $3.67 billion for the quarter, compared to analyst estimates of $3.63 billion. During the same period in the prior year, the firm earned $3.83 EPS. The firm’s quarterly revenue was up 4.5% on a year-over-year basis. On average, research analysts anticipate that LPL Financial will post 19.35 EPS for the current fiscal year.

LPL Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 12th. Investors of record on Friday, May 30th will be paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 0.33%. The ex-dividend date is Friday, May 30th. LPL Financial’s dividend payout ratio is currently 8.30%.

Insiders Place Their Bets

In related news, CFO Matthew J. Audette sold 4,588 shares of the firm’s stock in a transaction on Wednesday, February 26th. The shares were sold at an average price of $360.07, for a total value of $1,652,001.16. Following the transaction, the chief financial officer now directly owns 16,538 shares in the company, valued at approximately $5,954,837.66. This trade represents a 21.72% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Marc Eliot Cohen sold 1,100 shares of LPL Financial stock in a transaction that occurred on Wednesday, February 26th. The stock was sold at an average price of $365.85, for a total value of $402,435.00. Following the completion of the transaction, the director now directly owns 4,075 shares in the company, valued at approximately $1,490,838.75. This represents a 21.26% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Principal Financial Group Inc. raised its stake in shares of LPL Financial by 1,453.3% in the 1st quarter. Principal Financial Group Inc. now owns 1,038,683 shares of the financial services provider’s stock valued at $339,795,000 after buying an additional 971,814 shares in the last quarter. Norges Bank acquired a new position in LPL Financial in the fourth quarter worth about $305,747,000. Raymond James Financial Inc. bought a new position in LPL Financial during the fourth quarter worth about $295,982,000. Jennison Associates LLC boosted its holdings in LPL Financial by 786.2% during the first quarter. Jennison Associates LLC now owns 959,371 shares of the financial services provider’s stock valued at $313,849,000 after purchasing an additional 851,115 shares in the last quarter. Finally, Boston Partners boosted its holdings in LPL Financial by 26.0% during the fourth quarter. Boston Partners now owns 3,905,541 shares of the financial services provider’s stock valued at $1,278,454,000 after purchasing an additional 805,637 shares in the last quarter. 95.66% of the stock is owned by institutional investors.

LPL Financial Company Profile

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.