LPL Financial (NASDAQ:LPLA) Sees Large Volume Increase – Here’s Why

LPL Financial Holdings Inc. (NASDAQ:LPLA) shares saw an uptick in trading volume on Tuesday . 1,180,251 shares were traded during mid-day trading, an increase of 54% from the previous session’s volume of 764,306 shares.The stock last traded at $331.57 and had previously closed at $327.14.

Analyst Ratings Changes

LPLA has been the topic of a number of research reports. JMP Securities restated a “market outperform” rating and set a $435.00 price target on shares of LPL Financial in a research note on Friday, January 31st. JPMorgan Chase & Co. boosted their price target on shares of LPL Financial from $397.00 to $405.00 and gave the stock an “overweight” rating in a research note on Friday, January 31st. Barclays raised their price objective on shares of LPL Financial from $389.00 to $414.00 and gave the company an “overweight” rating in a research note on Friday, January 31st. Morgan Stanley increased their target price on shares of LPL Financial from $379.00 to $413.00 and gave the stock an “overweight” rating in a report on Thursday, February 6th. Finally, Wells Fargo & Company boosted 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. Two investment analysts have rated the stock with a sell rating and twelve have given a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $379.17.

LPL Financial Stock Performance

The company has a market cap of $25.24 billion, a PE ratio of 24.07, 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 stock’s 50-day simple moving average is $351.48 and its 200 day simple moving average is $313.38.

LPL Financial (NASDAQ:LPLA) last posted its quarterly earnings results on Thursday, January 30th. The financial services provider reported $4.25 earnings per share (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, equities analysts anticipate that LPL Financial Holdings Inc. will post 19.35 EPS for the current year.

LPL Financial Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, March 25th. Stockholders of record on Tuesday, March 11th were paid a dividend of $0.30 per share. The ex-dividend date of this dividend was Tuesday, March 11th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 0.35%. LPL Financial’s dividend payout ratio (DPR) is presently 8.55%.

Insider Activity

In related news, CFO Matthew J. Audette sold 28,777 shares of the business’s stock in a transaction dated Wednesday, February 5th. The shares were sold at an average price of $365.14, for a total value of $10,507,633.78. Following the sale, the chief financial officer now directly owns 13,663 shares in the company, valued at $4,988,907.82. The trade was a 67.81 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Marc Eliot Cohen sold 1,100 shares of LPL Financial stock in a transaction dated Wednesday, February 26th. The stock was sold at an average price of $365.85, for a total transaction of $402,435.00. Following the transaction, the director now owns 4,075 shares of the company’s stock, valued at approximately $1,490,838.75. The trade was a 21.26 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 34,465 shares of company stock worth $12,562,070 in the last 90 days. 1.30% of the stock is currently owned by corporate insiders.

Institutional Trading of LPL Financial

A number of hedge funds have recently bought and sold shares of the company. California State Teachers Retirement System grew its position in shares of LPL Financial by 3.1% in the fourth quarter. California State Teachers Retirement System now owns 113,287 shares of the financial services provider’s stock valued at $36,989,000 after purchasing an additional 3,425 shares during the period. 111 Capital purchased a new stake in LPL Financial in the 4th quarter valued at about $358,000. Lansforsakringar Fondforvaltning AB publ acquired a new position in shares of LPL Financial during the 4th quarter valued at about $7,851,000. Siemens Fonds Invest GmbH purchased a new position in shares of LPL Financial during the 4th quarter worth about $271,000. Finally, Universal Beteiligungs und Servicegesellschaft mbH acquired a new stake in shares of LPL Financial in the fourth quarter worth approximately $6,821,000. Institutional investors and hedge funds own 95.66% of the company’s stock.

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.