LPL Financial Q4 adjusted EPS beats estimates

LPL Financial Holdings

29/01/2026 21:18

Overview

Wealth management firm's Q4 adjusted EPS rose 23%, beating analyst expectations

Total advisory and brokerage assets increased 36% yr/yr to $2.4 trillion

Company completed onboarding and integration of Atria, boosting platform strength

Outlook

LPL Financial plans 2026 core G&A expenses of $1,775-1,820 mln, excluding Commonwealth Financial Network

Including Commonwealth expenses, 2026 core G&A expected at $2,155 mln-2,210 mln

Company expects 90% asset retention and $425 mln run-rate EBITDA from Commonwealth Financial Network

Result Drivers

ASSET GROWTH - Total advisory and brokerage assets increased 36% yr/yr to $2.4 trillion, driven by strong advisory asset growth

GROSS PROFIT INCREASE - Gross profit rose 26% yr/yr to $1,542 mln, attributed to asset base expansion and improved operating leverage

NET NEW ASSETS - Organic net new assets were $23 bln, impacted by onboarding from First Horizon Bank and separation from misaligned OSJs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Adjusted EPS
Beat
$5.23
$4.93 (12 Analysts)
Q4 EPS
$3.74
Q4 Net Income
$301 mln
Q4 Gross Profit
$1.54 bln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the investment banking & brokerage services peer group is "buy"

Wall Street's median 12-month price target for LPL Financial Holdings Inc is $426.00, about 16.1% above its January 28 closing price of $366.90

The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nGNX7J5XlW

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)