Update shared on25 Sep 2025
Fair value Decreased 2.43%Analysts have modestly lowered their price target for LPL Financial Holdings to $442.38, as integration of Commonwealth Financial Network and near-term growth concerns temper catalysts despite strong recent earnings and supportive macro drivers.
Analyst Commentary
- Bullish analysts see potential for multiple re-rating and upside as LPL Financial integrates Commonwealth Financial Network, with earnings dilution and asset growth slowdowns seen as already priced in.
- Recent Q2 earnings beat, despite lower client cash balances, supports increased price targets and positive sentiment among several analysts.
- Some downward revisions and Neutral/Hold ratings reflect concerns over the company's de-emphasis on near-term growth during Commonwealth integration, leading to fewer share catalysts in the next 12-18 months.
- Interest rates, credit franchise strength, and expectations of supportive macro conditions (inflation, tariffs, credit volumes) are viewed as positive drivers by bullish analysts.
- Bearish analysts note that consensus growth estimates may be too high in the near term, and absence of accelerating asset flows limits probability of share re-rating.
What's in the News
- BofA raised its price target on LPL Financial to $469 from $453 and reiterated a Buy rating, reflecting updated models post-Q2 earnings (Periodicals).
- First Horizon Bank transitioned approximately $12 billion in broker and advisory assets to LPL Financial's institution services platform in August 2025, with more assets expected to onboard in the coming months (Key Developments).
- No shares were repurchased by LPL Financial from April 1 to June 30, 2025; total buyback under the program remains at 36.4 million shares for $3.28 billion since 2014 (Key Developments).
- LPL Financial was dropped from the Russell 1000 Defensive Index as of June 28, 2025 (Key Developments).
- LPL Financial was also removed from the Russell 1000 Growth-Defensive Index on the same date (Key Developments).
Valuation Changes
Summary of Valuation Changes for LPL Financial Holdings
- The Consensus Analyst Price Target has fallen slightly from $453.42 to $442.38.
- The Future P/E for LPL Financial Holdings has fallen from 29.89x to 28.11x.
- The Net Profit Margin for LPL Financial Holdings has risen from 8.45% to 8.92%.
Disclaimer
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