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LPL Financial Holdings Inc.
NASDAQ: LPLA Financials Cap Markets 🔎 Screen
🏹 Trader: 🎯 Near 52W High 💎 VCP Breakout | BRS 62 Forming View all →
$27.4B
Market Cap
32.7
P/E
1.03
PEG
13.1%
ROCE
20.9%
ROE
1.42
D/E
11.3%
OPM
-11.4%
% from 52W High
67
α RS
🔍 LPLA is showing a high-conviction setup because it matches 5 of 39 tracked screener presets, RS Rating is 67, and it's within 11.4% of its 52-week high. Net: Broad signal stack, not a recommendation. ? Conviction RS Rating 52W High
Sources
Conviction 5/39 · RS Rating 67 · 11.4% from 52W high
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🌏 Global Investor Returns
Currency-adjusted total returns for LPLA including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
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By Category
📊 Sector Averages
About

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 institutions in the United States. The company’s brokerage offerings include variable and fixed annuities, mutual funds, equities, fixed income, alternative investments, retirement and 529 education savings plans, and insurance; and client cash programs consist of Federal Deposit Insurance Corporation (FDIC) insured bank sweep vehicles, and a client cash and money market account. It also provides fee-based platforms that provide access to mutual funds, exchange traded funds, stocks, bonds, certain options strategies, unit investment trusts, institutional money managers, and no-load multi-manager variable annuities. In addition, the company offers retirement solutions for commission and fee-based services that allow advisors to provide brokerage services, consultation, and advice to retirement plan sponsors. Further, it provides other services comprising tools and services that enable advisors to maintain and grow their practices; trust, investment management oversight, and custodial services for estates and families; an advisor-facing trading and portfolio rebalancing platform; insurance brokerage general agency services; and technology products, including proposal generation, investment analytics, and portfolio modeling. The company was formerly known as LPL Investment Holdings Inc. and changed its name to LPL Financial Holdings Inc. in June 2012. LPL Financial Holdings Inc. was founded in 1989 and is based in San Diego, California.

Key Ratios Snapshot
📈 Growth Pattern
📊 Quick Scorecard
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⭐ Superinvestors Holding LPLA
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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 120.5K $36.3M 0.06% Mar 2026
Steve Cohen Point72 Asset Management 50.6K $15.2M 0.02% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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3-Statement Financial Model
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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$1.6B
+24% YoY (Gross profit)
Operating Income
$635M
+30% YoY (Adjusted pre-tax income)
Operating Margin
39.3%
+?pp YoY
Net Income
$379M
+39% YoY
What Went Right
  • Record adjusted EPS of $5.84, up 29% YoY
  • Organic net new assets of $23B, 4% annualized growth, with record recruiting pipeline
  • Core G&A came in below outlook at $519M, prompting lower full-year guidance to $2.14-2.165B
What to Watch
  • Client cash balances declined $2.2B sequentially to $56.9B; July cash fell another $2.8B due to advisory fees
  • Payout rate expected to rise ~80bps in Q3 due to seasonality and advisory pricing reductions
  • Commonwealth asset retention currently mid-80s, still working toward 90% target
Management Guidance
  • 2026 Core G&A lowered to $2.140-2.165B
  • Q3 Core G&A expected $540-560M
  • Q3 payout rate expected to increase ~80bps; ICA yield expected +10bps; service fee +$5M; transaction revenue -$5M
  • Q3 promotional expense ~$95M; D&A +$8M; TA loan amortization ~$150M; tax rate ~26.4%
  • Commonwealth run-rate EBITDA raised to ~$435M
  • Q3 share repurchases planned ~$300M under new $2.5B authorization
Investor Lens
The thesis is stronger after this call. Organic growth reaccelerated to 4% annualized with recruiting pipelines at record levels, positioning for mid-to-high single-digit growth over time. The company continues to beat its own cost guidance, lowering 2026 Core G&A while investing in AI and Commonwealth integration. Management is also monetizing pricing changes as expected and returning more capital via accelerated buybacks, with a $2.5B authorization approved. Key watch items remain cash sweep economics and Commonwealth retention, but the overall execution trajectory is positive.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record EPS and better organic growth support a strong quarter
Revenue
Gross profit came in at $1.618B, up $26M sequentially and up 24% YoY. Commission and advisory fees were $486M, down $1M QoQ; client cash revenue was $457M, down $3M; service and fee revenue was $209M, down $2M. Transaction revenue rose to $83M on record volumes.
Profitability
Net income was $379M, or $4.74 diluted EPS, up 39% YoY. Adjusted EPS hit a record $5.84, up 29% YoY.
Margins
Adjusted pre-tax margin was approximately 39.3%. Payout rate rose 22bps sequentially to 87.4%, and Core G&A was $519M, below the low end of guidance.
Balance Sheet
Corporate cash was $430M, down $137M sequentially. Leverage ratio was 1.9x. Share repurchases accelerated to $309M in Q2, and a new $2.5B buyback authorization was approved in July.
Key Risks
Management flagged elevated competitive recruiting environment and continued TA level pressure. Client cash balances remain under pressure, down $2.2B in Q2 and another $2.8B in July due to advisory fee seasonality. Commonwealth onboarding risk remains, with asset retention in the mid-80s and a target of 90%.
Outlook
Management expects improved organic growth in H2 with mid-to-high single-digit growth over time. Q3 guidance includes Core G&A of $540-560M, ~$95M promotional expense, and payout rate up ~80bps.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-07-30
Q2 saw record client assets of $2.6T, 4% organic growth, and record adjusted EPS of $5.84. Operational efficiency improved, Commonwealth integration progressed, and technology investments like Latitude and Cyan enhanced advisor productivity.
Q1 2026 Q1 2026 2026-04-30
Delivered strong organic growth and record adjusted EPS despite lower equity markets. Recruiting pipelines and asset retention remain robust, with ongoing investments in technology and efficiency. Integration of Commonwealth and Mariner acquisitions progressing well.
Q4 2025 Q4 2025 2026-01-29
Achieved record assets and earnings in 2025, driven by strong organic growth, major acquisitions, and disciplined expense management. Integration of Commonwealth and Atria progressing well, with robust recruiting pipelines and stable cash balances.
Q3 2025 Q3 2025 2025-10-30
Record Q3 results with $2.3T in assets, 25% EPS growth, and strong advisor recruiting. Commonwealth integration is on track with 80% asset retention, and cost initiatives are driving margin improvement. Expanded offerings and technology upgrades support continued growth.
Q2 2025 Q2 2025 2025-07-31
Q2 2025 saw record assets of $1.9T, 16% EPS growth, and strong organic net new assets despite macro uncertainty. The firm completed the Atria onboarding, is closing the Commonwealth deal, and maintained 98% asset retention, with efficiency gains driving margin improvement.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
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Information Sources:
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