LPL Financial Holdings said on October 26, 2023 that its board of directors declared a regular quarterly dividend of $0.30 per share ($1.20 annualized). Previously, the company paid $0.30 per share.
Shares must be purchased before the ex-div date of November 8, 2023 to qualify for the dividend. Shareholders of record as of November 9, 2023 will receive the payment on November 27, 2023.
At the current share price of $224.52 / share, the stock’s dividend yield is 0.53%.
Looking back five years and taking a sample every week, the average dividend yield has been 0.91%, the lowest has been 0.37%, and the highest has been 2.41%. The standard deviation of yields is 0.41 (n=236).
The current dividend yield is 0.92 standard deviations below the historical average.
Additionally, the company’s dividend payout ratio is 0.08. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company’s 3-Year dividend growth rate is 0.20%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 1191 funds or institutions reporting positions in LPL Financial Holdings. This is a decrease of 70 owner(s) or 5.55% in the last quarter. Average portfolio weight of all funds dedicated to LPLA is 0.39%, a decrease of 3.09%. Total shares owned by institutions decreased in the last three months by 2.03% to 86,143K shares. The put/call ratio of LPLA is 0.63, indicating a bullish outlook.
Analyst Price Forecast Suggests 21.12% Upside
As of October 5, 2023, the average one-year price target for LPL Financial Holdings is 271.93. The forecasts range from a low of 245.43 to a high of $304.50. The average price target represents an increase of 21.12% from its latest reported closing price of 224.52.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for LPL Financial Holdings is 10,000MM, an increase of 2.65%. The projected annual non-GAAP EPS is 19.42.
What are Other Shareholders Doing?
Janus Henderson Group holds 3,380K shares representing 4.47% ownership of the company. In it’s prior filing, the firm reported owning 3,306K shares, representing an increase of 2.19%. The firm increased its portfolio allocation in LPLA by 2.28% over the last quarter.
Wcm Investment Management holds 2,457K shares representing 3.25% ownership of the company. In it’s prior filing, the firm reported owning 2,447K shares, representing an increase of 0.41%. The firm increased its portfolio allocation in LPLA by 7.84% over the last quarter.
VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 2,424K shares representing 3.21% ownership of the company. In it’s prior filing, the firm reported owning 2,435K shares, representing a decrease of 0.46%. The firm decreased its portfolio allocation in LPLA by 1.34% over the last quarter.
Capital Research Global Investors holds 2,198K shares representing 2.91% ownership of the company. In it’s prior filing, the firm reported owning 1,009K shares, representing an increase of 54.09%. The firm increased its portfolio allocation in LPLA by 119.71% over the last quarter.
Kayne Anderson Rudnick Investment Management holds 2,066K shares representing 2.73% ownership of the company. In it’s prior filing, the firm reported owning 2,016K shares, representing an increase of 2.41%. The firm increased its portfolio allocation in LPLA by 51.38% over the last quarter.
LPL Financial Holdings Background Information
(This description is provided by the company.)
LPL Financial is a leader in the retail financial advice market and the nation’s largest independent broker/dealer*. The Company serves independent financial advisors and financial institutions, providing them with the technology, research, clearing and compliance services, and practice management programs they need to create and grow thriving practices. LPL enables them to provide objective guidance to millions of American families seeking wealth management, retirement planning, financial planning and asset management solutions.
Additional reading:
- Seventh Amendment, dated July 18, 2023, among LPL Financial Holdings Inc., LPL Holdings, Inc., certain subsidiaries of the Company, as Subsidiary Guarantors (as defined therein), the Incremental Revolving Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, letter of credit issuer and swingline lender, and the lenders and parties party thereto from time to time.
- List of Subsidiary Guarantors and Issuers of Guaranteed Securities
- List of Subsidiary Guarantors and Issuers of Guaranteed Securities (filed herewith)
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