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Here's What Key Metrics Tell Us About LPL Financial (LPLA) Q1 Earnings
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For the quarter ended March 2024, LPL Financial Holdings Inc. (LPLA - Free Report) reported revenue of $2.83 billion, up 17.2% over the same period last year. EPS came in at $4.21, compared to $4.49 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $2.68 billion, representing a surprise of +5.89%. The company delivered an EPS surprise of +11.67%, with the consensus EPS estimate being $3.77.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how LPL Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Total Advisory and Brokerage Assets - Brokerage Assets: $647.9 billion compared to the $628.54 billion average estimate based on four analysts.
Total Advisory and Brokerage Assets: $1,440.9 billion compared to the $1,376.57 billion average estimate based on four analysts.
Total Advisory and Brokerage Assets - Advisory Assets: $793 billion versus the four-analyst average estimate of $748.03 billion.
Number of advisors: 22,884 versus the four-analyst average estimate of 22,925.
Net New Assets (NNA) - Net new advisory assets: $16.2 billion versus $17.02 billion estimated by three analysts on average.
Total Net New Assets: $16.7 billion versus the three-analyst average estimate of $23.65 billion.
Revenue- Advisory: $1.20 billion versus $1.17 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +25.8% change.
Revenue- Commission: $746.45 million versus the five-analyst average estimate of $683.53 million. The reported number represents a year-over-year change of +23.6%.
Revenue- Service and fee: $132.17 million versus $125.50 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +11.1% change.
Revenue- Transaction: $57.26 million versus $56.06 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +17% change.
Revenue- Commission- Sales-based: $385.24 million versus the two-analyst average estimate of $359.69 million.
Revenue- Commission- Trailing: $361.21 million compared to the $346.77 million average estimate based on two analysts.
Shares of LPL Financial have returned +2.8% over the past month versus the Zacks S&P 500 composite's -2.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Here's What Key Metrics Tell Us About LPL Financial (LPLA) Q1 Earnings
For the quarter ended March 2024, LPL Financial Holdings Inc. (LPLA - Free Report) reported revenue of $2.83 billion, up 17.2% over the same period last year. EPS came in at $4.21, compared to $4.49 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $2.68 billion, representing a surprise of +5.89%. The company delivered an EPS surprise of +11.67%, with the consensus EPS estimate being $3.77.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how LPL Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Total Advisory and Brokerage Assets - Brokerage Assets: $647.9 billion compared to the $628.54 billion average estimate based on four analysts.
- Total Advisory and Brokerage Assets: $1,440.9 billion compared to the $1,376.57 billion average estimate based on four analysts.
- Total Advisory and Brokerage Assets - Advisory Assets: $793 billion versus the four-analyst average estimate of $748.03 billion.
- Number of advisors: 22,884 versus the four-analyst average estimate of 22,925.
- Net New Assets (NNA) - Net new advisory assets: $16.2 billion versus $17.02 billion estimated by three analysts on average.
- Total Net New Assets: $16.7 billion versus the three-analyst average estimate of $23.65 billion.
- Revenue- Advisory: $1.20 billion versus $1.17 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +25.8% change.
- Revenue- Commission: $746.45 million versus the five-analyst average estimate of $683.53 million. The reported number represents a year-over-year change of +23.6%.
- Revenue- Service and fee: $132.17 million versus $125.50 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +11.1% change.
- Revenue- Transaction: $57.26 million versus $56.06 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +17% change.
- Revenue- Commission- Sales-based: $385.24 million versus the two-analyst average estimate of $359.69 million.
- Revenue- Commission- Trailing: $361.21 million compared to the $346.77 million average estimate based on two analysts.
View all Key Company Metrics for LPL Financial here>>>Shares of LPL Financial have returned +2.8% over the past month versus the Zacks S&P 500 composite's -2.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.