NASDAQ
LPLA
Last Price
US $321.35
KEY FIGURES
MKT CAP
$25.7B
EPS
TTM
$11.24
PEG
TTM
N/M
P/E
TTM
28.58x
P/S
TTM
1.41x
YIELD
0.37%
GROWTH
Revenue Y/Y
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
LPL Financial Holdings Inc. cash flow to debt ratio of -5.83% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial risk - Healthy cash flow growth.
LPL Financial Holdings Inc.'s free cash flow has decreased 248.64% from $-284.94M last year to $-993.42M, signaling decreasing performance
Financial risk - Healthy debt to equity ratio.
LPL Financial Holdings Inc.'s debt to equity ratio is 1.39, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
LPL Financial Holdings Inc.'s debt has decreased relative to shareholder equity from 1.96 last year to 1.39 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
LPL Financial Holdings Inc. has a net debt to EBITDA ratio of 2.85x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
LPL Financial Holdings Inc.'s interest coverage ratio of 4.25 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
LPL Financial Holdings Inc.'s profit margin has decreased (-42.27%) in the last year from 8.55% to 4.93%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
LPL Financial Holdings Inc.'s short-term assets of $8.81G exceed its short-term liabilities of $3.64G
Decreasing performance - ROA.
LPL Financial Holdings Inc.'s return on assets of 4.78% is lower than the 5.00% threshold, indicating inefficient asset utilization
Increasing performance - Absolute return on equity.
LPL Financial Holdings Inc.'s return on equity of 17.04%, is higher than 15.00%, indicating good performance
Decreasing performance - Earnings quality.
LPL Financial Holdings Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation
Increasing performance - Earnings stability.
LPL Financial Holdings Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Decreasing performance - Free cash flow.
LPL Financial Holdings Inc. has negative free cash flow, indicating the company is burning cash rather than generating it
Decreasing performance - FCF yield.
LPL Financial Holdings Inc. has negative free cash flow, indicating cash burn
Decreasing performance - Healthy earnings growth.
LPL Financial Holdings Inc.'s yearly earnings has decreased -18.48% since last year from $1.06G to $863.02M, signaling decreasing performance
Increasing performance - Healthy revenue growth.
LPL Financial Holdings Inc.'s yearly revenue has increased 37.18% since last year from $12.39G to $16.99G, signaling increasing performance
Increasing performance - ROIC.
ROIC 6.98% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
LPL Financial Holdings Inc.'s 3-year revenue CAGR of 25.47% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
LPL Financial Holdings Inc. had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
LPL Financial Holdings Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
LPL Financial Holdings Inc. has insufficient data to evaluate this check.
Overvalued - Earnings yield.
LPL Financial Holdings Inc. has an earnings yield of 3.50%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
LPL Financial Holdings Inc. is overvalued relative to its fair value price of 113.13 based on EBITDA multiple model
Undervalued - EV/EBITDA.
LPL Financial Holdings Inc. has an EV/EBITDA ratio of 14.62x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
LPL Financial Holdings Inc. has no meaningful EPS growth rate; PEG ratio cannot be computed.
Undervalued - P/B ratio.
LPL Financial Holdings Inc. has a price-to-book ratio of 4.53x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
LPL Financial Holdings Inc. has a price-to-sales ratio of 1.41x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
17.04%
Return on equity
ROIC: 6.98%
Valuation History
28.2X
Price to Earnings
EV/EBITDA: 13.2X
Cash flow
Profit margin
23.68%
(FY vs FY)
EBITDA Y/Y
19.15%
(FY vs FY)
Cash flow Y/Y
-
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $321.35
—
Default assumptions
EBITDA Multiple
Fair Value
Market $321.35
-64.80%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.