Is LPL Financial a Buy?
LPL Financial (NASDAQ: LPLA) -- the largest independent broker-dealer in the U.S. -- has quietly posted solid returns for investors over the past few years. Last year the stock returned 14.6%, outperforming the financial sector, and this year it is up about 24% year to date, buoyed by a major acquisition and several new clients that it brought on board.
With a solid fourth quarter under its belt -- as well as some major investments and acquisitions that should spur growth down the road -- is LPL Financial a buy?
LPL is the largest independent broker-dealer in the U.S., almost twice as big as its next-largest competitor in terms of annual revenue. LPL rang up $5.9 billion in net sales last year, a 4% gain from the year before. In the fourth quarter, revenue rose 9% to $1.6 billion. Assets grew 18% year over year to $903 billion, with organic assets not from acquisitions up 8.8% year over year.
Source Fool.com
