LPL Financial Shares Owned By Insiders vs. Net Income
| LPLA Stock | USD 327.93 0.24 0.07% |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.29 | 0.3035 |
|
| |||||
| Net Profit Margin | 0.08 | 0.1061 |
|
| |||||
| Pretax Profit Margin | 0.12 | 0.1437 |
|
| |||||
| Return On Assets | 0.11 | 0.1027 |
|
| |||||
| Return On Equity | 0.54 | 0.5129 |
|
|
For LPL Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of LPL Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well LPL Financial Holdings utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between LPL Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of LPL Financial Holdings over time as well as its relative position and ranking within its peers.
LPL |
LPL Financial's Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
Is Investment Banking & Brokerage space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of LPL Financial. If investors know LPL will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about LPL Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.165 | Dividend Share 1.2 | Earnings Share 13.32 | Revenue Per Share 153.926 | Quarterly Revenue Growth 0.232 |
The market value of LPL Financial Holdings is measured differently than its book value, which is the value of LPL that is recorded on the company's balance sheet. Investors also form their own opinion of LPL Financial's value that differs from its market value or its book value, called intrinsic value, which is LPL Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because LPL Financial's market value can be influenced by many factors that don't directly affect LPL Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between LPL Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if LPL Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, LPL Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
LPL Financial Holdings Net Income vs. Shares Owned By Insiders Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining LPL Financial's current stock value. Our valuation model uses many indicators to compare LPL Financial value to that of its competitors to determine the firm's financial worth. LPL Financial Holdings is rated below average in shares owned by insiders category among its peers. It is rated second overall in net income category among its peers making up about 1,591,417,910 of Net Income per Shares Owned By Insiders. At present, LPL Financial's Net Income is projected to increase significantly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the LPL Financial's earnings, one of the primary drivers of an investment's value.LPL Net Income vs. Shares Owned By Insiders
Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.
LPL Financial |
| = | 0.67 % |
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
LPL Financial |
| = | 1.07 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
LPL Net Income Comparison
LPL Financial is currently under evaluation in net income category among its peers.
LPL Financial Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in LPL Financial, profitability is also one of the essential criteria for including it into their portfolios because, without profit, LPL Financial will eventually generate negative long term returns. The profitability progress is the general direction of LPL Financial's change in net profit over the period of time. It can combine multiple indicators of LPL Financial, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Operating Income | 1.6 B | 1.7 B | |
| Income Before Tax | 1.4 B | 1.5 B | |
| Total Other Income Expense Net | -186.8 M | -177.5 M | |
| Net Income | 1.1 B | 1.1 B | |
| Income Tax Expense | 378.5 M | 397.5 M | |
| Net Income Applicable To Common Shares | 972.6 M | 1 B | |
| Net Income From Continuing Ops | 1.1 B | 1.1 B | |
| Non Operating Income Net Other | -22 M | -20.9 M | |
| Interest Income | 88.7 M | 44.9 M | |
| Net Interest Income | -186.8 M | -177.5 M | |
| Change To Netincome | -14.2 M | -13.5 M | |
| Net Income Per Share | 13.88 | 14.58 | |
| Income Quality | 0.48 | 0.46 | |
| Net Income Per E B T | 0.74 | 0.51 |
LPL Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on LPL Financial. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of LPL Financial position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the LPL Financial's important profitability drivers and their relationship over time.
Use LPL Financial in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if LPL Financial position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in LPL Financial will appreciate offsetting losses from the drop in the long position's value.LPL Financial Pair Trading
LPL Financial Holdings Pair Trading Analysis
The ability to find closely correlated positions to LPL Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LPL Financial when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back LPL Financial - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling LPL Financial Holdings to buy it.
The correlation of LPL Financial is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as LPL Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LPL Financial Holdings moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for LPL Financial can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your LPL Financial position
In addition to having LPL Financial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Emerging Markets ETFs Thematic Idea Now
Emerging Markets ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Emerging Markets ETFs theme has 29 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Emerging Markets ETFs Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Correlation Analysis. You can also try the AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
To fully project LPL Financial's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of LPL Financial Holdings at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include LPL Financial's income statement, its balance sheet, and the statement of cash flows.