LPL Financial (NASDAQ:LPLA) Shares Gap Up After Analyst Upgrade

Shares of LPL Financial Holdings Inc. (NASDAQ:LPLA) gapped up before the market opened on Wednesday after Wells Fargo & Company upgraded the stock from an equal weight rating to an overweight rating. The stock had previously closed at $238.71, but opened at $244.64. Wells Fargo & Company now has a $285.00 price target on the stock, up from their previous price target of $235.00. LPL Financial shares last traded at $242.80, with a volume of 30,123 shares.

A number of other research analysts also recently weighed in on LPLA. Keefe, Bruyette & Woods decreased their price target on LPL Financial from $326.00 to $315.00 and set an “outperform” rating for the company in a research note on Friday, July 26th. The Goldman Sachs Group decreased their price objective on LPL Financial from $289.00 to $271.00 and set a “buy” rating on the stock in a report on Thursday, September 26th. JPMorgan Chase & Co. lifted their price target on shares of LPL Financial from $261.00 to $268.00 and gave the company a “neutral” rating in a research report on Thursday, July 11th. Jefferies Financial Group dropped their price target on LPL Financial from $309.00 to $282.00 and set a “buy” rating for the company in a research note on Friday, October 4th. Finally, JMP Securities lifted their price objective on shares of LPL Financial from $305.00 to $310.00 and gave the company a “market outperform” rating in a research note on Friday, July 26th. Two analysts have rated the stock with a sell rating, four have assigned a hold rating and nine have given a buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $278.23.

Hedge Funds Weigh In On LPL Financial

Hedge funds have recently bought and sold shares of the company. Ashton Thomas Private Wealth LLC bought a new position in LPL Financial during the second quarter valued at about $25,000. Key Financial Inc bought a new stake in LPL Financial during the second quarter valued at $28,000. Riverview Trust Co purchased a new position in shares of LPL Financial during the first quarter worth about $30,000. Crewe Advisors LLC grew its stake in LPL Financial by 360.7% in the 2nd quarter. Crewe Advisors LLC now owns 129 shares of the financial services provider’s stock worth $36,000 after buying an additional 101 shares in the last quarter. Finally, Tortoise Investment Management LLC raised its position in LPL Financial by 74.7% during the second quarter. Tortoise Investment Management LLC now owns 131 shares of the financial services provider’s stock valued at $37,000 after purchasing an additional 56 shares in the last quarter. 95.66% of the stock is owned by hedge funds and other institutional investors.

LPL Financial Trading Up 2.6 %

The company has a market capitalization of $18.29 billion, a PE ratio of 18.03, a PEG ratio of 1.27 and a beta of 0.88. The company has a current ratio of 2.16, a quick ratio of 2.16 and a debt-to-equity ratio of 1.77. The stock has a fifty day moving average of $217.54 and a two-hundred day moving average of $248.76.

LPL Financial (NASDAQ:LPLA) last posted its quarterly earnings results on Thursday, July 25th. The financial services provider reported $3.88 EPS for the quarter, beating analysts’ consensus estimates of $3.66 by $0.22. The company had revenue of $2.93 billion during the quarter, compared to analyst estimates of $2.89 billion. LPL Financial had a net margin of 8.91% and a return on equity of 52.14%. The firm’s revenue was up 18.8% compared to the same quarter last year. During the same period in the prior year, the business posted $3.94 EPS. As a group, sell-side analysts anticipate that LPL Financial Holdings Inc. will post 15.88 earnings per share for the current fiscal year.

LPL Financial Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 23rd. Stockholders of record on Friday, August 9th were paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 0.49%. The ex-dividend date of this dividend was Friday, August 9th. LPL Financial’s payout ratio is presently 9.06%.

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.