LPL Financial (NASDAQ:LPLA) Downgraded by StockNews.com to Sell

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

Several other equities analysts also recently issued reports on the stock. UBS Group increased their price objective on shares of LPL Financial from $390.00 to $420.00 and gave the company a “buy” rating in a report on Friday, January 31st. Keefe, Bruyette & Woods increased their price objective on shares of LPL Financial from $390.00 to $405.00 and gave the company an “outperform” rating in a report on Friday, January 31st. Morgan Stanley raised their price target on shares of LPL Financial from $379.00 to $413.00 and gave the stock an “overweight” rating in a research note on Thursday, February 6th. Wells Fargo & Company raised their price target on shares of LPL Financial from $390.00 to $405.00 and gave the stock an “overweight” rating in a research note on Friday, January 31st. Finally, JMP Securities reissued a “market outperform” rating and issued a $435.00 price target on shares of LPL Financial in a research note on Friday, January 31st. Two analysts have rated the stock with a sell rating and twelve have given a buy rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $379.17.

LPL Financial Stock Up 1.8 %

LPLA stock opened at $332.21 on Monday. The firm has a market cap of $24.81 billion, a PE ratio of 23.66, a P/E/G ratio of 0.94 and a beta of 0.82. The company has a debt-to-equity ratio of 1.60, a quick ratio of 2.16 and a current ratio of 2.16. The firm’s fifty day moving average is $351.98 and its 200 day moving average is $305.90. LPL Financial has a one year low of $187.19 and a one year high of $384.04.

LPL Financial (NASDAQ:LPLA) last posted its quarterly earnings data on Thursday, January 30th. The financial services provider reported $4.25 earnings per share (EPS) for the quarter, beating 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%. On average, research analysts forecast that LPL Financial will post 19.35 EPS for the current year.

LPL Financial Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 25th. Investors of record on Tuesday, March 11th will be given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 0.36%. The ex-dividend date of this dividend is Tuesday, March 11th. LPL Financial’s payout ratio is currently 8.55%.

Insider Buying and Selling

In related news, CFO Matthew J. Audette sold 28,777 shares of the firm’s 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 completion of the sale, the chief financial officer now directly owns 13,663 shares in the company, valued at approximately $4,988,907.82. This trade represents a 67.81 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, 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 sale, the director now owns 4,075 shares of the company’s stock, 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. Over the last ninety days, insiders sold 34,465 shares of company stock worth $12,562,070. Insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Principal Financial Group Inc. raised its position in LPL Financial by 15.7% in the 3rd quarter. Principal Financial Group Inc. now owns 25,418 shares of the financial services provider’s stock valued at $5,913,000 after purchasing an additional 3,444 shares during the last quarter. Los Angeles Capital Management LLC purchased a new position in LPL Financial in the 3rd quarter valued at about $305,000. GSA Capital Partners LLP lifted its holdings in LPL Financial by 116.9% in the 3rd quarter. GSA Capital Partners LLP now owns 2,978 shares of the financial services provider’s stock valued at $693,000 after purchasing an additional 1,605 shares in the last quarter. Metis Global Partners LLC lifted its holdings in shares of LPL Financial by 5.1% during the 3rd quarter. Metis Global Partners LLC now owns 945 shares of the financial services provider’s stock worth $220,000 after acquiring an additional 46 shares during the period. Finally, OneDigital Investment Advisors LLC lifted its holdings in shares of LPL Financial by 27.9% during the 3rd quarter. OneDigital Investment Advisors LLC now owns 5,081 shares of the financial services provider’s stock worth $1,182,000 after acquiring an additional 1,107 shares during the period. Hedge funds and other institutional investors own 95.66% of the company’s stock.

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.